Budget 2022 countdown has begun and so have the demands and expectations. The Institute of Chartered Accountants of India has written to the Ministry of Finance looking for big hike in the limit of Public Provident Fund(PPF).
The association of Chartered Accountants has suggested the annual limit for contribution to PPF be increased to Rs 3 lakhs from the present ceiling of Rs 1.5 lakhs. The institute believes PPF is the only safe and tax efficient saving option available for self-employed assessees.
Managed by the Central Government, PPF or Public Provident Fund is one of the most popular saving schemes among Indian households as both the money in the PPF account and the returns it generates are guaranteed.The PPF scheme offers an attractive interest rate of 7.1% and since it comes under the Exempt-Exempt-Exempt (EEE) category of tax policy the principal amount, the maturity amount, as well as the interest earned is exempt from taxes.
Budget 2022: The first step to the countdown begins with GDP today