B-Comparison of SB interest on Investment of a sum of Rs.60,000 for a fixed period of 5 year

 

Sr.

Scheme

Rate of Intt

Annual Intt/

PM intt

Amt of Intt

Amount at the end of fifth year

Income Tax Concession

Remarks

1

5 yrTD

7.5%

 

4628.152 pa

23140.76

83140.76

No

Intt calculated- compounded on quarterly basis.

Intt will be paid annually

2

MIS

8%

400 pm

24,000.00

84,000.00

No

Intt calculated annually

Intt paid monthly

 

 

 

 

29,156.00

89,156.00

No

If monthly intt will reinvest in RD on auto credit system on request basis.  Bonus not included being premature.

3

PPF

8%

 

28,159.68

88,159.68

Yes.

Investment amt will qualify for tax deduction.

4

SCSS

9%

1,350 per qtr

27,000.00

87,000.00

No

Intt calculated annually and payable quarterly

5.

RD

7.5%

 

25,780.00

 

85,780.00

No

Amt is for comparison purpose only. Actual intt is 12,890 for monthly deposit of Rs.1000/- for 5 years. Intt calculated on compounded quarterly basis.

6

KVP

 

 

26,137.80

86,137.80

No

Normal maturity period of KVP is 8yr 7months.

7

NSC

 

 

22,614.00

82,614.00

Yes

Normal maturity period of NSC is 6 yr. If certificate is encashed prematurely after 5yr, a deduction will be made from the value. Investment amt will qualify for tax deduction.

 

 

 

 

28,824.00

88,824.00

Yes

As per rate of intt accruing annually. Amt not be paid physically.