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grandfather s hands with the savings and the plant growing
Investment in Senior Citizens Savings Scheme is available for deduction under Section 80C subject to the limits prescribed.
Q.I am about 81 years’ old. I desire to go for either Senior Citizens Savings Scheme or single premium Pradhan Mantri Vaya Vandana Yojana. Will I get tax relief under section 80C for the amounts invested in these schemes subject to limit of ₹1.5 lakh. I got no explicit information from Google search. Could you please advise me?
S.N. Bhadra
A. Investment in Senior Citizens Savings Scheme is available for deduction under Section 80C subject to the limits prescribed. Investment in Pradhan Mantri Vaya Vandana Yojana is not covered under Section 80C.
Is PMVVY better than other senior citizen schemes
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Returns are superior to immediate annuity plans, but SCSS can secure better rates for new investors sooner if the cycle turns from here
The relentless fall in India’s interest rates over the last six years has been hard on retirees and regular income seekers. For seniors, exploring special government schemes before bank deposits or debt mutual funds makes a lot of sense, as they offer superior returns with high safety. We take stock of the modified Pradhan Mantri Vaya Vandana Yojana (PMVVY) and stack it up against competing avenues.
Features
PMVVY is a guaranteed pension scheme offered exclusively by the LIC. Open only to individuals who have completed 60 years, it promises regular pension payments at a monthly, quarterly, half yearly or yearly frequency in return for an upfront investment (called a purchase price).
Illustration by Raj Verma
With the current financial year nearing its close, it s time to take stock of your tax-saving investments. In case you opt for the old tax regime, you can claim deductions of up to Rs 1.5 lakh in a financial year under Section 80C. There are other sections also to help you reduce your tax outgo. Do your tax planning activity at the beginning of the financial year to avoid last-minute hiccups. But in case you are late, there s still time to invest and save taxes. A look at the options available for last-minute investors.
Section 80C: The Most Popular