Savings has an important place in the mobilization
of resources for development expenditure because the investors
would not only get back their money ,but also some interest and
they would therefore prefer to lend money in this way instead
of paying it as outright tax. Further in a developing economy
in which there will be always surplus money available with some
sectors to the extent that the savings are tapped the money available
for circulation is taken away and to that extent pressure on prices
and inflationary trend is reduced. So therefore savings have got
a very important role to play in the sphere of economy. Rupnagar
has important place in the field of Small Savings. The progress
of Small Savings collection in the Rupnagar district during the
last Eleven years is as under:-
Interest Payable/ Rate periodicity
Investment Limits & Denominations.
Salient features Inc. Tax Rebate
|KISAN VIKAS PATRA
||Money Doubles in 8 Years 7 Month. Facility for
||No limit on investment Available in denomination
of Rs.100/-, 500/-,1000/-, 5000/-, 10000/-& 50,000/- in all
Head Post Offices
A single Holder type certificate,may be
issued to: an adult for himself or on behalf of a minor
to a minor: can also be purch ased, jointly by two adu-
lts, 2) a trust.
|* POST OFFICE MONTHLY INCOME SCHEME
||8% per annum. payable monthly.
||Minimum Rs. 6000/- Maximum Rs. 3.Lacs in single
a/c. & Rs.6 Lacs in joint a/c.
Maturity period is 6 Yrs. Can be prematurely encashed,
after one year at 5% discount. However, no such deduction
shall be made if the account. is closed after three years
from the date of opening of such account. Interest & bonus
exempted under Section 80-L I.T. Act.
|15 YEAR PUBLIC PROVINDENT FUND ACCOUNT.
||8% per annum for compunded yearly.
||Minimum Rs.500/- Maxi70,000/- in a Financial
year. Deposits Can be made in lump sum or in 12 monthly installments
||Deposits are qualified for for Income Tax. Rebate
under Section 88-0f I.T. Act. Deposits completely exempted
from Wealth Tax. Interest is completely Tax free. Withdrawal
is permissible every year from 7th. Financial year. Loan facility
available from 3rd, financial year No attachment under court
|POST OFFICE TIME DEPOSIT ACCOUNT
||Interest payable annually but calculated quarterly.
|Minimum Rs. 50/- No Maximum limit.
||Account may be opened by individual,trust,regimental
fund & welfare fund. 2, 3 & 5 year account can be closed after
1 year at discount. Account can be closed after Six month
but before one year with- out, interest. Interest exempt under
sec. 80-L of I.T. Act. Deposits are exempt under Wealth Tax.
|5-YEAR POST OFFICE RECURRING DEPOSIT ACCOUNT.
||On maturity Rs. 10/- Accut. fetches Rs. 728.90
can be continued for another 5 years on year to year basis.
||Minimum Rs. 10/- per month or any amount in
||One withdrawal upto 50% of the balance allowed
multiple of Rs. 5/- No after three year.
|NATIONAL SAVINGS CERTIFICATE (VIII-ISSUE)
||Interest compounded Six monthly payable at maturity.Rs.
10000/- grows to Rs. 16010/-. Annual accrual. rate of interest
on Invesment, or Rs. 1000/- is as under and in proportion
for other denominations.
||Minimum Rs. 100/- No maximum limit Available
in denominations of Rs. 100/- 500/-,1000/-,5000/-,& Rs. 10000/-.
1)A single-holder type certificate can be purchased, by
an adult for himself or an behalf of a minor.
2) A trust Deposit qualify for tax rebate, under Sec. 88
of I.TAct. The interest accruing annually but deemed to
be reinvested will also qua- lify,for tax rebate under Sec.
88-of I.T.Act. Such interest will be entitled led to exemption
under Sec.80-L of I.T.Act.
|DEPOSIT SCHEME FOR RETIRING GOVT. EMPLOYEES
||8% per annum payable half yearly on 30th June
& 31st. December.
||Minimum Rs. 1000/- & in multiples thereof. Maximum
not exceeding the total retirement benefits.
Interest earned is copmletely, tax free.
Only one account can be opened by Retired Central/ State
Govt. employee in own name or jointly with the spouse. The
account can be opened within three months from the date
of receiving the retirement benefits. The scheme will be
operated through bran- ches, of SBI and its sub- sidiaries,
and selected branches of National Banks,at distt.head
quarters Entire balance or part thereof can be withdrawn
after the expiry of 3 years from the date of deposit. Only
one with- drawl, in multiples of Rs 1000/- can be made in
respect of deposits in a calendar year. Premature encashment
can be made after 1 year from the date of deposit but,be-
fore, the expiry of 3 years in which case the interest on
the amount so withdrawn will be payable at 4% from the date
of deposit upto the date of withdrawal. The excess interest
paid will be adjusted at the time of such withdrawal.