Maturity and Benefits of Kisan Vikas Patra

How to Invest

Kisan Vikas Patra can be purchased from any Post Office by filling a form and depositing the amount in cash or by cheques or demand drafts with the filed form and your photographs.

The Post Office will issue a Certificate called Kisan Vikas Patra with your name, amount, date of maturity and amount on the date of maturity.

Who Can Invest

You can invest in Kisan Vikas Patra if you are a citizen of India and an adult; in your own name, or on behalf of a minor. A trust is also eligible to invest in KVP. Two adults can jointly buy KVP.

Tax Benefits

Kisan Vikas Patra is that mode of investment which allows interest on the amount invested by any person and accumulates it till the maturity of the policy.

This Kisan Vikas Patra tax benefit can be utilized by any person. For this a person has to fill up a Kisan Vikas Patra form for its subscription.

After subscription installments amounts on maturity gets accumulated and on Kisan Vikas Patra maturity, the sum amount along with the interest money is returned to the investor.

This Kisan Vikas Patra form is a general form and can be filled by any person. Kisan Vikas Patra tax benefit form can be taken from any nearest postal office without any fees or charge.

Terms and condition related to the entire process is included and mentioned in this Kisan Vikas Patra form. This Kisan Vikas Patra form describes about the terms and condition and rules of applying for the said investment.

Who is legally capable to invest, limitations, investments and drawings every aspect is described with the Kisan Vikas Patra tax benefit form. Amount of Rs.100 up to any amount of limit can be invested in this Kisan Vikas Patra tax benefit plan.

But, for withdrawing a minimum amount of Rs.500 is to be kept in account. The Kisan Vikas Patra maturity part describes the terms and conditions about the maturity and its amount to be refunded to the investor.

Reinvestment facility on completion of time period is mentioned in this Kisan Vikas Patra maturity part. No such major tax benefit is available on these Kisan Vikas Patra tax benefit plan but, guarantee for exemption from taxation is given with it. No kind of tax or deduction is imposed on the Kisan Vikas Patra maturity.

Hence, people just have to complete the Kisan Vikas Patra form and submit it with the required amount of fees as mentioned in it. Yet, here, one thing which must be noted that any sort of premature encashment is not allowed according to the terms and conditions of Kisan Vikas Patra maturity aspect.

Thus, with all these aspects, this plan is the best option to generate and accumulate a huge amount of amount by simple investments which also helps with nil tax benefit deductions in it.