National Savings Certificate

Salient Features :

• NSC VIII Issue (5 years) – Interest rate of 8.6% per annum w.e.f. 01.04.2012
• NSC IX Issue (10 years) - Interest rate of 8.9% per annum w.e.f. 01.04.2012
• Minimum investment Rs. 100/-. No maximum limit for investment.
• No tax deduction at source.
• Investment up to Rs 1,00,000/- per annum qualifies for Income Tax Rebate under NSC - section 80C of IT Act.
• Certificates can be kept as collateral security to get loan from banks.
• Trust and HUF cannot invest.
• A single holder type certificate can be purchased by an adult for himself or on behalf of a minor or to a minor.
• The interest accruing annually but deemed to be reinvested will also qualify for deduction under NSC - section 80C of IT Act.