National Savings Certificate (VIII Issue)

 

Name of the Scheme

Interest

Maturity Period

Limit of Deposit

I. T. Benefit

NSC VIII Issue

8.16%

6 years

Min. Rs. 100

Max. No Limit

In the Union Budget 2005 the Tax benefit is given upto the deposit of Rs. 1,00,000

 

Who Can Purchase

An adult for himself or on behalf of a minor, jointly by two adults, a minor, a Trust.

 

How to Purchase

Certificates in denominations of Rs. 100, Rs. 500, Rs. 1000, Rs. 5000 & Rs. 10,000 may be purchased. In addition to cash, locally executed cheques, pay orders or demand drafts drawn in favour of the Post Master are also accepted.

 

 

Rate of Interest and Tax Benefit

Interest is compounded half yearly and paid after the maturity period of 6 years  along with the principal. Rs. 1000 shall become Rs. 1601 on maturity.

The Scheme is beneficial to the tax payers. The deposited amount and the accrued interest for the first 5 years is qualified for tax relief u/s 80 (C) of I. T. Act.

Interest accrued each year on a certificate of Rs. 10,000 are as follows:

Financial year

Interest accruable Rs.

Financial Year

Interest accruable

2005-2006

-

2009-2010

1033

2006-2007

816

2010-2011

1117

2007-2008

883

2011-2012

1208

2008-2009

955

 

 

 

Encashment

A certificate can be encashed at the Post Office of its issue. A certificate may also be encashed at any other Post Office. If the officer-in-charge of that Post office is satisfied on verification from the office of its registration that the person presenting the certificate for encashment is entitled thereto.

 

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RushatiINDIA & Associates

60(24/16) Vivekananda Road, Sukantapally

PO: Sheoraphuli, Dist: Hooghly, WB, India

Pin: 712 223

Phone: +91- 9433235073

Email: [email protected]

Web: www.geocities.com/rushatiindia

 

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