Doing This Can Help You To Get More Profit On Maturity Of PPF Account

Public Provident Fund (PPF) is a great investment option. It is invested for a long period. Investing in PPF is not only safe, but also offers the full benefit of tax exemption. There is no risk in investing in it. Investments in PPF are fully protected by the government.

The Public Provident Fund is one of the best investment options for self-employed professionals and employees not covered by EPFO. In addition, people who do not have any organized structure of jobs or business can also get more benefits by investing in PPF for long term. PPF can benefit even after maturity.

The investment in PPF, interest on it and the amount received on completion of maturity period, all three are completely tax free. PPF account matures after 15 years. In this, even after maturity, he gets a chance to pursue it.

PPF account does not pay interest continuously, but it keeps adding to your PPF account. While withdrawing money from this account, you get interest along with the principal amount, but there is no tax on this amount.

In order to transfer the amount deposited in PPF account to your savings account, a form has to be submitted to the bank or post office, in which the details of PPF and savings account have to be submitted. Apart from this, along with the signed form, the original passbook and cancelled check also have to be submitted.

Even after the PPF account is matured, the account can be extended further. If the new contribution account is to be increased, a form has to be filled. After maturity the PPF account advances in a 5-year block. It can be carried forward any number of times. It is important to note that in order to do this, the form will have to be filled out within a year after the maturity period is over.

If you do not withdraw money after PPF account matures or do not choose any other option, then your PPF maturity date automatically increases for 5 years. However, there is no more contribution to it. But tax free interest continues to be paid on the balance amount.

PPF account can be withdrawn only once in a financial year. After maturity of PPF account, its extension can be done as per its wish. No separate document is required for this.

(Source: hindi.asianetnews.com)

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