Chennai
30 Aug 06
Gentlemen,

As per income tax rules savings upto Rs.1 Lakh is expemted from tax under sec 88, in the specified schemes including PPF. whereas prevailing PPF rules peermit savings upto Rs.70,000. This is disadvantage to the persons interested in savings under PPF by investing upto Rs.1 lakh and avail tax benifit.

If concerned authorities look at this anomoly and issue suitable amendments, it will be useful to the investors,

It is also understood that computer programmes in various banks permit max deposit of R.70,000 as per present restrictions.

Kindly provide suitable solution to this problem.

Thanking you,

Very truly yours,
Ranga Rao