Tax Savings in FY25: Save Big with Sukanya Samriddhi Yojana for Daughters — Know How Much Benefit You Can Get

Tax Saving Alert FY25: If you are planning to secure your daughter’s future and save on taxes at the same time, the government’s Sukanya Samriddhi Yojana (SSY) is a perfect scheme for you. Launched by the government in 2015 under the “Beti Bachao, Beti Padhao” initiative, this scheme offers not only excellent returns but also significant tax benefits under Section 80C of the Income Tax Act.

Let’s explore how you can maximize your tax savings through SSY in the financial year 2025.

SSY Scheme: Ideal for Tax Benefits and Future Security

Under the Sukanya Samriddhi Yojana, you can claim a tax deduction of up to ₹1.5 lakh annually on the amount invested. However, you must remember that this benefit is available only if you opt for the Old Tax Regime.
In the New Tax Regime, Section 80C benefits are not applicable.

SSY Falls Under the EEE Category

One of the biggest advantages of SSY is that it falls under the EEE (Exempt-Exempt-Exempt) category:

• Invested Amount: Tax-exempt under Section 80C.

• Interest Earned: Completely tax-free.

• Maturity Amount: Fully exempt from taxes.

This triple tax advantage makes SSY a highly attractive long-term investment option for parents and guardians of girl children.

Who Can Open an SSY Account?

• The SSY account can be opened by parents or legal guardians for a girl child below 10 years of age.

• The account can be opened at post offices or any authorized banks across India.

• The account remains operational till the girl turns 21 years old or gets married after the age of 18.

• Only one SSY account can be opened for one girl child, and a maximum of two accounts per family is allowed.

Special Provision:
In case of the birth of twins or triplets, parents can open a third SSY account as an exception. However, this third account cannot be opened if a girl is born after twins or triplets.

Deposit Limits and Duration

• Minimum Deposit: ₹250 per year.

• Maximum Deposit: ₹1.5 lakh per year.

• Deposits are required for 15 years from the date of account opening.

• After 15 years, no further deposits are needed, but the account continues to earn interest until maturity.

Interest Rate Update:
From January 1, 2024, SSY offers an 8.2% per annum interest rate, which is compounded annually. The interest rate is reviewed quarterly by the government.

How to Open an SSY Account?

Opening an SSY account is a simple process:

Visit your nearest post office or an authorized bank branch.

Fill the SSY application form.

Submit necessary KYC documents:

• Girl child’s birth certificate.

• Parent or guardian’s identity proof (PAN, Aadhaar, Driving License, etc.).

• Address proof of the parent or guardian.

Make an initial deposit via cash/cheque/draft.

You can also download the SSY application form online from the official RBI website or participating banks’ websites.

Transfer Facility

The SSY account can be easily transferred anywhere across the country (between banks and post offices), providing flexibility for families relocating within India.

Why SSY is a Smart Choice in FY25?

• Assured returns with government backing.

• Long-term wealth creation for your daughter's education and marriage.

• Triple tax benefits (EEE category) for optimal savings.

• Low minimum investment amount makes it accessible for all income groups.

Final Thoughts

If you are looking for a safe, high-return, and tax-efficient investment option for your daughter’s future, Sukanya Samriddhi Yojana is an excellent choice in FY25.
However, to claim the tax benefits, ensure you opt for the Old Tax Regime when filing your income tax return.

Disclaimer: The information provided is based on current government schemes and tax laws. Always consult a financial advisor for personalized advice regarding investments and tax planning.