Modi govt scheme for girl child: Interest rate hiked for THIS small savings scheme – Taxation, eligibility, other details

Modi govt scheme for girl child: PM Narendra Modi-led government had in January 2015 launched Sukanya Samriddhi Yojana as part of the Beti Bachao, Beti Padhao campaign. Under this small savings scheme, an account can be opened at any India Post office or branch of authorised commercial banks. Interest earned under the scheme is tax free.

Modi govt scheme for girl child: Interest rate hiked for THIS small savings scheme – Taxation, eligibility, other details

Modi govt scheme for girl child: In a cheer for the common man, the Modi government on Friday announced an increase in the interest rates of small savings schemes. The government has raised the rate on Sukanya Samriddhi Yojana by 20 basis points for the January-March 2024 quarter.

In addition, the government has increased the interest rate on 3-year term deposit scheme by 10 basis points for the last quarter of FY2023-24 However, the interest rates for other small savings schemes, majorly operated by post offices, have been retained.
Modi Government Scheme for Girl Child

PM Narendra Modi-led government had in January 2015 launched Sukanya Samriddhi Yojana as part of the Beti Bachao, Beti Padhao campaign. Under this small savings scheme, an account can be opened at any India Post office or branch of authorised commercial banks.

Sukanya Samriddhi Yojana Interest Rate
The scheme currently provides an interest rate of 8 per cent (For Oct-Dec 2023 quarter). It has now been hiked by 20 basis points and for the Jan-Mar 2024 quarter, the scheme will offer 8.2 per cent interest.

Sukanya Samriddhi Yojana Taxation
The interest earned is tax free under Income Tax Act. Moreover, Sukanya Samriddhi Scheme has a provision for tax saving under 80C of Income Tax.

Sukanya Samriddhi Yojana Eligibility
An account under the scheme can be opened by the guardian in the name of girl child below the age of 10 years; only one account can be opened in India either in Post Office or in any bank in the name of a girl child.

This account can be opened for maximum of two girls in a family. Provided in case of twins/triplets girls birth more than two accounts can be opened.
Meanwhile, a Sukanya Samriddhi Yojana account can be opened with minimum initial deposit Rs 250. The minimum deposit amount in a financial year is Rs 250 and maximum deposit can be made up to Rs 1.50 lakh (in multiple of Rs.50) in a FY.