Tax Savings in FY25: Government scheme for daughters will save tax; Know how much will be the benefit

 

Tax Savings in FY25: Government scheme for daughters will save tax; Know how much will be the benefit

Tax Savings in FY25, SSY: In this scheme, taxpayers can claim tax deduction by depositing up to Rs 1.5 lakh under Section 80C every year. The benefit of Section 80C can be availed only in the old tax regime.

Tax Savings in FY25, SSY: Government scheme for better future of daughters Sukanya Samriddhi Account Scheme (SSY) is also a great scheme for tax savings. This account can be opened in the name of a daughter below 10 years of age in a post office or authorized bank. This scheme was started by Modi government in 2015. In this scheme, taxpayers can claim tax deduction by depositing up to Rs 1.5 lakh every year under Section 80C. Know that at present there are two types of tax regimes in the country. New tax regime and old tax regime. The benefit of Section 80C can be availed only in the old tax regime. Let us know the details of the scheme…

SSY: Included in EEE category

Sukanya Samriddhi Account has been placed in the EEE category of investment. This means that, along with the money invested and interest, the maturity amount will also not be taxed. Under the existing tax rules of Sukanya Samriddhi Yojana and under Section 80C of the Income Tax Act, 1961, you can avail tax deduction up to Rs 1.5 lakh annually on the principal amount invested.

SSY: Who will be able to open an account

SSY account can be opened in banks and post offices and the account can be operated till the age of 21 years or till the person gets married after the age of 18 years. Parents or legal guardians of a girl child below 10 years of age can open an SSY account in the name of the girl child. The interest rates for SSY are 8.2 percent per annum from January 1, 2024. Interest rates are reviewed every quarter by the government.

The age of the girl child should be less than 10 years at the time of opening the account. More than one Sukanya Samriddhi account cannot be opened for a girl child. At the same time, only two SSY accounts can be opened for a family.

However, there is also a rule that if a girl child is born before the birth of twins or triplets or if triplets are born together, then a third account can be opened. If a girl child is born after the birth of twins or triplets, a third SSY account cannot be opened.

SSY: What is the deposit limit?

One can deposit minimum Rs 250 and maximum Rs 1.5 lakh annually in SSY account. You will have to deposit at least the minimum amount every year for 15 years from the date of account opening. After this, interest will continue to be received in the account till maturity. Whether any deposit is made in the account or not.

SSY is a long term investment plan as it gets the benefit of compounding interest annually. In such a situation, even if you invest less, you will get good returns in the long run. The account can be freely transferred from one part of the country to another (bank/post office).

SSY: How to invest

Sukanya account can be opened through the nearest post office or any designated bank branch. You will have to submit KYC documents like passport, Aadhar card along with the form and cheque/draft of initial deposit. Application forms can be obtained from post offices or designated government/private banks. You can also download the application form from RBI website.

Here you should know that the information of the parents or guardian who opens the account on behalf of the girl child is also important. Such as, name of the girl child (primary account holder), name of the parent or guardian who opened the account (joint holder), birth certificate of the girl child, identity card of the parent or guardian (PAN, Aadhar card, driving license, etc.), Address proof will have to be submitted along with the application form.