There is a circular of about 3 years vintage which states that, in case of a minor's PPF account, the total contribution between the guardian and the minor can only total Rs.70,000. To take an example, say I have an existing PPF account and open one in my son's name. Between the two accounts, the total contribution can only be Rs.70,000 per annum. Please check this.
RE:PPF Account
by S Ray Chaudhury on Nov 30, 2006 05:25 PM Permalink
You are correct. What has been written in the article on this point is just not true. The circular states that in no case interest is payable on contributions of more than Rs.70,000 in a financial year (in more than one account). In case it is detected (at a later date) that such interest has been credited in the account(s) then it will have to be debited from the account.
