INCOME TAX5 Sept 2026
Which small savings schemes offer tax benefits with no investment limit? Check the complete comparison
Looking for a government-backed small savings scheme with tax benefits and no upper investment limit? Only two fit: National Savings Certificate and the 5-year Post Office Time Deposit. Both qualify for the Section 80C deduction, but the ₹1.5-lakh limit applies to the tax benefit, not your investment. PPF and Sukanya Samriddhi have tax perks but cap annual contributions at ₹1.5-lakh. KVP has no limit but no 80C benefit.
Key Statutory Highlights
- The National Savings Certificate has a 5-year maturity, starts at ₹1,000, has no maximum investment limit, and qualifies for Section 80C deduction subject to the overall ₹1.5 lakh limit.
- Among Post Office Time Deposits, only the five-year version qualifies for the Section 80C deduction, and this version has no maximum investment limit.
- KVP allows investments with no upper limit but does not offer a Section 80C deduction, while PPF and Sukanya Samriddhi offer tax benefits but have an annual cap of ₹1.5 lakh.
Actionable Advice for Taxpayers / Founders:Check how much you have already claimed under Section 80C this year, then discuss with a tax advisor whether NSC or the 5-year Post Office Time Deposit fits your tenure and liquidity needs.
Statutory Disclaimer: TaxQue Shorts are AI-assisted editorial briefs for compliance awareness. This brief has not passed every source check; confirm the original notification before acting. This does not constitute formal legal or CA counsel.
TaxQue News Desk
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