Tax Saving Investment Sukanya Samriddhi Yojana

Hlifestyle
26 Apr, 2024

Tax Saving Investment Sukanya Samriddhi Yojana: Sukanya scheme i.e. SSY is a savings scheme of the Government of India. It is a scheme launched by the Central Government under the Beti Padhao, Beti Bachao scheme. The objective of Sukanya Samriddhi Yojana is that girls born in economically weak families do not have to face financial crisis in future.

Introduction

• Under Sukanya Samriddhi Yojana, only two daughters of the family can be made beneficiaries. But in some cases this number may increase.

• If there is already a daughter in the family and then twin or more girls are born together, then they will also be made beneficiaries of the scheme.

• In case of simultaneous birth of twins or more than two girls, the girl child born later will not be eligible under this scheme.

• A girl kid who has been legally adopted will also benefit from the program.

Under the Beti Padhao, Beti Bachao scheme, the Central Government started Sukanya Samriddhi Yojana. SSY was started so that girls born in economically weak families do not have to face financial crisis in future. Sukanya is a small savings plan that has been in operation for a while. Parents invest in Sukanya Yojana in the name of their daughters. They can also get income tax exemption on investment in SSY. Besides this, a big fund is collected in the name of daughters. Investments are made in Sukanya Samriddhi Yojana before the daughters complete 10 years of age.


  • Name of the scheme: Sukanya Samriddhi Yojana
  • Who started : the central government
  • The objective of Sukanya Samriddhi Yojana is to strengthen the future of girls financially. To collect money for their marriage and education
  • Eligibility: Girls age should not be more than 10 years.
  • How many girls will get the benefit? Beneficiaries will be the family's two daughters.
  • Objective: To provide financial strength for marriage and higher education of girls.

Unique characteristics of the Sukanya Samriddhi Yojana (SSY)

In line with this plan, the girl child's parents or guardians register an account in her name. So that they can get financial assistance for their marriage or pursuing higher education. It is necessary to invest for at least 15 years in the account opened under Sukanya Samriddhi Yojana. Interest at the rate of 7.6% is being given on the investment made in the account for the financial year 2022-23. If investors invest Rs 1.5 lakh or more in a year under Sukanya Samriddhi Yojana, they also get tax exemption. That is why investors are advised to invest in this scheme to accumulate a large amount of money for their daughters in future.

How many daughters in the family will get the benefit?

• Under Sukanya Samriddhi Yojana, only two daughters of the family can be made beneficiaries. But in some cases this number may increase.
• If there is already a daughter in the family and then twin or more girls are born together, then they will also be made beneficiaries of the scheme.
• In case of simultaneous birth of twins or more than two girls, the girl child born later will not be eligible under this scheme.
• A girl kid who has been legally adopted will also benefit from the program.


Benefits of Sukanya Samriddhi Yojana

• This is a government saving scheme. Which has been started by the Central Government with the aim of brightening the future of daughters.
• This is a government scheme, hence there is no market risk in it. That means you get guaranteed returns.
• Sukanya Samriddhi Yojana is a small savings scheme launched for a long term. wherein the annual compounding advantage is accessible. This means that one can get good returns even with less investment.
• Adopted girl i.e. adopted daughter is also included in this.
• Only two daughters of the family will get the benefit of the scheme.
• An investor can make investments under the Sukanya Samriddhi Yojana based on his financial situation. In a fiscal year, investments in this can be made for as little as Rs 250 and as much as Rs 1.5 lakh.
• Some amount can be withdrawn from the account even after the girl turns 18 years of age or passes class 10th. However, you can only take money out of the account once a year.
• Sukanya Samriddhi Yojana has been kept tax free by the Government of India. The amount invested in it, the interest received on it as well as the amount received on maturity is also tax free. That is, Sukanya Samriddhi Yojana provides tax benefits to investors along with savings.
• If needed, the account can be easily transferred from one post office to another or from one bank to another. But this is done only when the account holder has moved somewhere else from the original place. In such a case, they will have to show proof of shift. After which the account opened under Sukanya Samriddhi Yojana will be transferred.

Age limit of Sukanya Samriddhi Yojana

Parents or any family member can open an account under Sukanya Samriddhi Yojana in the name of girls below 10 years of age. Under this scheme it is mandatory to invest for 15 years. Its maturity period is 21 years.


Sukanya Samriddhi Yojana Interest Rates

The government sets the interest rate that is available on this small savings plan. The interest rate has been reduced from 8.4% to 7.6%. The interest received on this is now completely tax free.

  1. financial year interest rates
  2. FY 2022-23 – Q1, April to June 2022 7.6%
  3. FY 2021-22 – Q4, January to March 2022 7.6%
  4. FY 2021-22 – Third Quarter, October to December 2021 7.6%
  5. FY 2021-22 – Q2, July to September 2021 7.6%
  6. FY 2021-22 – Q1, April to June 2021 7.6%
  7. FY 2020-21 – Fourth Quarter, January to March 2021 7.6%
  8. FY 2020-21 – Third Quarter, October to December 2020 7.6%
  9. FY 2020-21 – Q2, July to September 2020 7.6%
  10. FY 2020-21 – Q1, April to June 2020 7.6%
  11. Financial Year 2019-20 – Fourth Quarter, January to March 2020 8.4%
  12. FY 2019-20 – Third Quarter, October to December 2019 8.4%
  13. FY 2019-20 – Q2, July to September 2019 8.4%
  14. FY 2019-20 – Q1, April to June 2019 8.5%
  15. FY 2018-19 – 4th quarter, January to March 2019 8.5%
  16. FY 2018-19 – Third Quarter, October to December 2018 8.5%
  17. FY 2018-19 – Q2, July to September 2018 8.1%
  18. FY 2018-19 – Q1, April to June 2018 8.1%

Process to open account in Sukanya Samriddhi Yojana

1. To open an account in Sukanya Samriddhi Yojana in the name of daughters, the guardian of the parents will have to obtain the application form of the scheme from the bank or post office.
2. Read and fill all the information asked in the application form carefully such as name of parents or guardian, name of the child, age etc.
3. Many documents will also have to be submitted along with the application form. Like income certificate of parents, birth certificate of the girl child.
4. Go to the bank or post office from where you had received the application form and submit it.
5. After this entire process, application will be made in Sukanya Samriddhi Yojana.
How to check account balance in Sukanya Samriddhi Yojana
You can check the balance of Sukanya Samriddhi Yojana account even sitting at home. But you must have your login credentials. The login credentials are provided by the Bank. However, this facility is not available in all banks. Therefore, before opening an account under Sukanya Samriddhi Yojana, ensure to know the login credentials of the bank. After collecting the login credentials from the bank, go to the internet banking portal of the bank. There will be an option to check balance on the home page itself. By clicking on this you will be able to see the balance of Sukanya Samriddhi account.


Rules for withdrawing money deposited in Sukanya Samriddhi Yojana

The amount can be withdrawn from the account after the scheme matures i.e. after 21 years of opening the account under Sukanya Samriddhi Yojana or when the girl child turns 18. Or after the girl passes class 10th, fifty percent amount can be withdrawn for further education also. If the beneficiary wants, he can make the withdrawal all at once or in installments. A maximum of 50 percent of the balance remaining in the account at the end of the previous financial year can be withdrawn.


When can you close the account in Sukanya Samriddhi Yojana?

However, it is necessary to invest in Sukanya Samriddhi Yojana for 15 years. But in some situations the account can be closed prematurely.

1. In case of death of the girl child – If the girl child in whose name the account has been opened under Sukanya Samriddhi Yojana dies, then the account is closed.
2. On death of the guardian – The account can be closed even on the death of the guardian by whom the account is operated.
3. In case of suffering from a fatal disease – The account can be closed prematurely even if the account holder suffers from any fatal disease.
4. On settling abroad or getting married – If the girl child settles abroad. Or if she gets married abroad before she turns 21, the account will also be closed.
5. In case of weak financial condition – Many times such cases have come to light that the financial condition of the parents becomes so weak that they are unable to pay the investment amount. Even in such a situation the account can be closed.

Income tax benefit in Sukanya Samriddhi Yojana

Sukanya Samriddhi Yojana, launched for daughters, is also special because investors get many tax benefits through it. First of all, the amount invested in the scheme, interest received and maturity amount are tax free. Not only this, under Section 80C of the Income Tax Act 1961, investors can avail tax benefit of up to Rs 1.5 lakh every year on the original amount invested.

Online application for Sukanya Samriddhi Yojana

You can also download the application form for opening an account under Sukanya Samriddhi Yojana from the RBI website or the official sites of some other institutions. Apart from the official site of Reserve Bank of India, the application form can also be downloaded through the official website of The India Post, official websites of public sector banks like SBI, PNB, BOB, and official websites of private sector banks included in the scheme like Axis Bank, ICICI Bank. Can be done.


Sukanya Samriddhi Yojana Calculator

The amount which is given to the applicant on maturity is calculated through the calculator. In this, it is calculated assuming that each installment was the same. In this, no investment is required from 15th to 21st year. Calculation is done on the basis of old investment only. To know the amount received on maturity in Sukanya Samriddhi Yojana through the calculator, the age of the girl child and the amount of contribution will have to be mentioned. For which a formula is used.

Sukanya Samriddhi Yojana Calculation Formula - A=P(1+r/n)^n


In which A means compound interest, P means original investment amount, R means interest rate on investment, N means compound interest in one year and T means duration i.e. total number of years.

According to this formula, if you invest Rs 1000 every year in Sukanya Samriddhi Yojana, then the total amount of investment in 14 years will be Rs 14000. On which you will get the maturity amount of approximately Rs 46,821 in 21 years. By investing Rs 2000 every year, the maturity amount will more than double to Rs 93,643. That means you will get the benefit of compound interest.

Under Sukanya Samriddhi Yojana, you are investing Rs 1 lakh in a year. The investment period is 15 years. This indicates that you invested a total of Rs. 15 lakh. According to 7.6% interest rate, after 21 years you will get interest of approximately Rs 3,10,454.12. That means at the time of maturity you will get Rs 43,95,380.96. Which will be tax free.


Documents required for Sukanya Samriddhi Yojana

• Birth certificate of the girl child,
• Identity certificate of the girl child,
• The parents' and child's Aadhar card,
• Affidavit of guardian in case of twin or triplet girls.
• Permanent address in passport size photos of parents or guardians
• All other documents required by the bank or post office


Changes in Sukanya Samriddhi Yojana

• Now any girl will be able to operate the account after she turns 18 years old. Initially this age was kept at 10 years. However, there is still a debate going on regarding the issue of control being handed over to girls at the age of 18.
• Earlier you had to deposit at least Rs 250 in a year under Sukanya Samriddhi Yojana. Failure to do so was declared a defaulter under the scheme. But now it is not so. If for some reason you are not able to deposit even Rs 250, there will be no change in the interest rate nor will you be declared a defaulter.
• Earlier there were only two reasons for premature account closure. First on the sudden death of the girl child and second on the daughter becoming an NRI. But now the account of Sukanya Samriddhi Yojana can be closed even in case of any life-threatening disease and death of a parent or guardian.

Frequently asked questions

1. Can a loan be taken against the account of Sukanya Samriddhi Yojana?

No, no such option is given in it. Once the account is opened, 50 percent of the amount can be withdrawn from the account only if the girl turns 18 or has passed class 10th.

2. Sukanya Samriddhi Yojana is also for sons?

The Central Government has started Sukanya Samriddhi Yojana only for daughters.

3. Is there any relaxation given in the age limit of Sukanya Samriddhi Yojana on the basis of caste?

No, the benefit of Sukanya Samriddhi Yojana can be availed only when the age of the girl child is below 10 years.

4. How many accounts can be opened in the name of a girl child under Sukanya Samriddhi Yojana?

Only one account can be opened in the name of the girl child under Sukanya Samriddhi Yojana. Mother or father or any other guardian cannot open an account separately.
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