Ppf of wife and minor child implication on income tax

Hi,

Under PPF, you will get maximum 1.5L deduction. If you invest amount in account of your wife or minor child also, interest income on such fund will be clubbed in your income but exemption will be available.  In such cases, clubbing of income provisions are applicable.  

If your child is major too, you may give amount as a gift to him or her. In such cases, income is not clubbed and income will be of child.

Interest on PPF is fully exempt.

But  if you withdraw the PPF investment before 5 years, exemption will not be available.

You can deposit amount in your wife's and child's PPF account. You will not get any extra tax benefit nor you have to pay extra tax for it.

Thanks Ramesh and Pratik for your answer.  But what do you meant to say by "not get extra benefit " .  My wife will be getting and tax free income and I dont have to pay any extra tax. 

My other quary is ,can my wife show this investment as deduction under 80C in her Income tax file ?

You can get deduction for amount deposited in your account, your wife account and your minor child's account but in any case the amount of exemption doesn't exceed rs. 1,50,000.

Your wife can surely claim such amount as deduction in her return.

https://www.thehindubusinessline.com/portfolio/contribution-to-spouses-ppf-is-tax-deductible/article2932240.ece

https://taxadda.com/investment/ppf-public-provident-fund/