Ppf in minor's name

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

08 August 2013 I have a query, need your help.

1.) I already have a PPF account in my name, can I open another PPF account in my child's name?
2.) Can I deposit 1+1 = 2 lacs in a year in both the accounts?
3.) The interest earn by child's PPF will be tax free?
4.) Is there any entry age for minors? My baby is only 2 months old now.

Many thanks.

CMA Ramesh Krishnan

CMA Ramesh Krishnan (Expert)
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08 August 2013 Yes, you can open and deposit in PPF of your children. and 80C maximum cap will be Rs.1 lakh only. interest on PPF account earned by minor will be clubbed with parents income. but interest on PPF is exempted u/s.10(11)

there is minimum age limit for minor

CA Prashant Gupta

CA Prashant Gupta (Expert)
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08 August 2013 yes, you can open new account in child's name
you can deposit amount in PPF but maximum deduction for you will be 1 lac only in 80C
PPF interest is exempt so no taxable worry