Key Features of the Sukanya Samriddhi Scheme: In the Sukanya Samriddhi Yojana (scheme) (SSY), parents are encouraged to invest in their daughters. As part of the government’s Beti Bachao Beti Padhao initiative, SSY offers attractive tax benefits and incentives to help girls secure their finances. Here are some of its key features.
Girls under the age of 10 can open an SSY account with their parents.
It is possible for a parent to open only one SSY account for a girl child.
If the minimum amount is not deposited, a fine of Rs 50 will be imposed. In a financial year, you can deposit a minimum of Rs 250 and a maximum of Rs 1,50,000.
In the name of a girl child, only one account can be opened.
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Under Section 80C of the Income Tax Act, investments in SSY can be deducted from taxable income up to Rs 150,000 per year.
Tax-free interest and maturity amounts are earned.
At the age of 18, a beneficiary can withdraw 50% of the corpus from a SSY account to cover the costs of higher education.
SSY accounts mature after 21 years from their opening date.
Beneficiaries gain control of their SSY accounts once they turn 18.
If a beneficiary turns 18 before the account is closed, it can be closed prematurely.
From one post office/bank to another, the account can be transferred anywhere in India.
The SSY offers an interest rate of 8.2 percent, slightly higher than the Public Provident Fund’s 7.1 percent. However, these rates are subject to change.
