PPF proceeds are tax-free even for NRI investors

PPF proceeds are tax-free even for NRI investors

Under the PPF Scheme, NRIs are not eligible to open a PPF account. However, they are allowed to contribute towards PPF in India on a non-repatriation basis till maturity of the PPF account that was opened when he/she was resident in India. On 3 October 2017, a notification was issued by the ministry of finance amending the provisions of the PPF Scheme stating that a resident who opened an account under the PPF scheme subsequently becomes a non-resident during the continuity of the PPF account until it attains maturity, the account shall be deemed to be closed from the date of change of residential status from resident to non-resident. However, the above amendment notification has been kept in abeyance till further instructions. Accordingly, an NRI can continue to contribute towards PPF in India on a non-repatriation basis till maturity if the PPF account was opened when he/she was resident in India.

Read More at Livemint News date : 9 Aug 2018, Thursday

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