Naini Tax Saver
Naini Tax Saver Fixed Deposit :
In the Finance Act 2006, Section 80C of Income Tax Act 1961 was amended to include deposits placed with a scheduled bank to qualify for deduction under 80C. The amount of investment up to Rs.1,00,000 under the notified deposit scheme will be eligible for deduction under Section 80 C of Income Tax Act for individuals / Hindu Undivided Families. In terms of the amendment a deposit scheme has been introduced with certain value added features for the benefit of customers.
- All individuals and HUF are eligible to invest in the product. It is most suitable for income tax payers like salaried persons, higher and middle-income group, retired persons etc.
- The firms, companies, trust, societies, clubs, institutions, corporate etc. are not allowed to invest under the product.
Period Of The Deposit:
Minimum 5 years with a maximum tenure up to 10 years.
Minimum & Maximum Amount :
- Minimum amount shall be Rs. 100/- & in multiples of Rs. 100/-
- For availing Tax benefit maximum amount in a financial year - Rs. 1/- lac under Section 80C of Income Tax Act.
Premature Withdrawal Of The Deposit :
Premature withdrawal of the deposits made under the scheme shall not be allowed before completion of 5 years except in case of death of the depositor.
Interest Payment & Tax Liability :
- Interest will be computed on quarterly rest basis.
- Deposit can be accepted under our RIDS/FDR scheme.
- In case of any request for prepayment of any time deposit before its due date, the Bank may do so after completion of minimum 5 years period, at its discretion and pay interest at 1% below the rate ruling on the date of making deposit, for the period for which the deposit has actually remained with the Bank.
- Interest on the deposit is liable to tax / TDS.
Loan / Overdraft Against The Security Of The Deposit :
NO loan and / or any type of credit facility shall be considered against the security of the deposit. The deposit cannot be taken as collateral security also.
Nomination facility is available.