No. F.No. 1 1 3-01/201 1-SB

Governament of lndia Ministrv of Communications & lT

Department of Posts

Dak Bhawan, Sansad,Marg,

New Delhi-110001, Dated: 21.08.2014

All Heads of Circles/Regions

Addl. Director General. APS. New Delhi.

Subject:- Revision of maximum limit of subscription in a financial year of PPF Account.

Sir / Madam

The undersigned is directed to convey the decision of the Min. of Finance (DEA.) for revision of existing maximum limit of subscription in a financial year in the existing PPF accounts as well as new PPF account io be opened on or after 13.08.2014, Now the subscription in a financial year shall be Rs 1,50,000/- in place of Rs 1,00,000/- in PPF accounts. The copy of Gazette Notification No. G.S.R. 588 (E) dated 13.08.2014 issued by MOF (DEA) is enclosed.

2. It is requested to circulate this instruction to all field units and ensure that the instruction is strictly followed.

3. This issues with the approval of Competent Authority.

Encl.. as above

Yours faithfully,

Sd.

(L.K.Sinha)

Assistant Director General (FS-I)

MINISTRY OF FINANCE

(Department of Economic Affairs)

NOTIFICATION

New Delhi, the 13th august, 2014

G.S.R.588 (E). - In exercise of the powers conferred by sub-section (4) of Section 3 of the Public Provident Fund Act, 1968 (23 of 1968), the Central Government hereby makes the following further amendments to the Public Provident Fund Scheme, 1968, namely :-

1. (1) This Scheme may be called the Public Provident Fund (Amendment) Scheme, 2014.

(2) it shall come into force from the date of its publication in the Official Gazette.

2. In the Public Provident Fund Scheme, 1968, -

(i) in paragraph 3, in sub-paragraph (1), for the letters and figures "Rs.1,00,000", the letters and figures

"Rs. 1,50,000" shall be substituted;

(ii) In Form-A, in paragraph.(iv), for the letters and figures "Rs. 1,00,000", the letters and figures

"Rs. 1,50,000" shall be substituted.

[F.No. 1/2/20 1 4-NS.iI]

DR. RAJAT BHARGAV.A., Jt. Secy.

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Public Provident Fund Account

Ideal investment option for both salaried as well as self employed classes.
Non-Resident Indians (NRIs) are not eligible.
Investment up to INR. 1,50,000 per annum qualifies for IT Rebate under section 80 C of IT Act.
The rate of interest on the subscriptions made to the fund on or after 01.12.2011 and balances at credit of the subscriber in the existing PPF account shall bear interest at the rate of eight point seven per cent (8.70%) per annum.
Loan facility available from 3rd financial year upto 5th financial year. The rate of interest charged on loan taken by the subscriber of a PPF account on or after 01.12.2011 shall be 2% p.a. However, the rate of interest of 1% p.a. shall continue to be charged on the loans already taken or taken up to 30.11.2011.
Withdrawal permitted from 6th financial year.
Free from court attachment.
An individual cannot invest on behalf of HUF (Hindu Undivided Family) or Association of persons.

Type of Account	Minimum limit	Maximum limit
Public Provident Fund(Individual account on his behalf or on behalf of minor of whom he is the guardian)	INR. 500/- in a financial year	INR. 1,50,000/- in a financial year