Benefits of Sukanya Samriddhi Account
In this Article we are providing the benefits of sukanya samriddhi account scheme. There are very few existing saving plans in India that could match the benefits of Sukanya Samriddhi Account for the girl child. Apart from the noble intent this scheme is launched with, it gives excellent opportunity for the parents of the girl child to take tax exception benefits along with securing a financially sound future for their daughter. Lets now talk about the benefits of SSA scheme
Benefits of Sukanya Samriddhi Account Yojana
Sukanya Samriddhi Account as EEE tax exempted
One of the greatest advantages of SSA is that it is EEE tax exempted. EEE tax exemption means that the deposits of the account would be exempted from taxes along with the fact that the proceeds and the maturity amount too would be exempted from taxes under section 80C.
- The amount deposited in SSA would be completely deductible under the section 80C of Income tax. However, the limit for this is only 1.5 lakh, which is also the limit for exemption for taxes under section 80C.
- The interest accrued on the account would also be completely exempted from taxes
- The maturity amount received after the account close would be exempted from taxes
Tax benefits in SSA different than those of PPF
While you invest in PPF, your deposits, interest and maturity amount are completely exempted from taxation under EEE. The same tax benefits would also apply to Sukanya Samriddhi Account. However the later deposit scheme is far better when it comes to securing the future of a girl child.
The way in which this entire scheme is designed gives a lot of financial security to the girl child, which is not in the case of any other investment schemes. This way, if a parent wants to save money, especially for a girl child, SSA proves to be a far better option.
Security for girl child as well as tax benefits
This is one such scheme in which the parents looking for their daughter’s financial security would love to invest. Most of the middle income working class goes after one or the other deposit scheme in order to save on taxes.
Last but not the least, with this scheme being in picture, atleast those parents who have girl child won’t think of any other investment option and thus, SSA would be the perfect choice for them.
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