Download NSC Interest Calculator in Excel for deduction under section 80C of Income Tax Act, 1961. Interest earned on NSC purchased of last 5 years is taxable in hand of assesses and it also deductible under section 80C up to limit of section ( currently 80 max. limit is 150000).
What is the National Saving Certificate (NSC)?
National Savings Certificate NSC scheme is a fixed income scheme. It is one of the popular savings instruments in India. One can activate this scheme at any Post Office. NSC scheme is the Government of India initiative. Hence it guarantees returns. This savings bond encourages small and mid-income investors to save. Additionally, they can also get a tax benefit. NSC investments up to Rs 1.5 lakhs is exempt from tax under Section 80C of the Income Tax Act. They come with a lock-in period of 5 years. NSC certificates earn fixed interests. The current rate of interest is 6.8%. Like other fixed-income products PPF and Post Office FDs, NSC is also a secure and low-risk instrument. The minimum deposit is Rs 100. There is no maximum limit for investment in NSC. There is no TDS for NSC investments.
On November 12th 2020, Union Finance Minister Nirmala Sitharaman announced another set of stimulus measures under the Atmanirbhar Bharat Abhiyaan 3.0 scheme to incentivize jobs creation in the country. The benefits of this scheme will be given to all the Establishments registered with the Employee Provident Fund Organization (EPFO) and which employ new employees or give employment to those who lost jobs between March 1 2020 and September 30 2020 due to covid-19.
Who are eligible to obtain the benefit? This scheme is a contribution to the PF account of employees who have lost jobs during the period from March 1st 2020 to September 30th 2020 and subsidy to the establishment. Under this scheme government will contribute provident fund (employers and employees share at the rate of 12 per cent of wages) for two years to organizations with employee strength less than 1000. For those companies which are having the strength more than 1,000 employees, the government will provide only employee’s contribution at the rate of 12 per cent of wages. The benefit will be provided to only those employees with wages less than ₹ 15,000 per month. The subsidy in the form of PF contributions will be directly credited into the Aadhaar-seeded EPF account (UAN) of the employee.
Points to be consider for getting the PF subsidy Establishments with less than 50 employees must recruit at least two new employees and organizations with more than 50 employees must employ at least five new employees. The month of September will be considered as the base for the scheme. For organizations with up to 1,000 employees who earn up to Rs 15,000 per month and are registered under EPFO, the 12% contribution of the employees and 12% from the employer – amounting to a total 24% will be borne entirely by the central government.
When the scheme will be become effective? The scheme will be in effect from 1 October 2020 and 30 June 2021, meaning new employment has to take place between this period.
The Delhi government has enhanced monthly dearness allowance for its unskilled, semi-skilled, skilled and other category workers.
The revised minimum wages, including the dearness allowance (DA), will be applicable to unskilled, semi-skilled and skilled categories in all scheduled employments, from April 1st 2020 and October 1, 2020 respectively.
Consider below the chart displaying the amended wage rates of all the categories of workers.
Category
Rate Vide Notification dated 22/09/2019
D.A.(PM) W.e.f April 1st 2020
Total per month W.e.f April 1st 2020
Total per Day W.e.f April 1st 2020
D.A.(PM) W.e.f October 1st 2020
Total per month W.e.f October 1st 2020
Total per Day W.e.f October 1st 2020
Unskilled
14,842.00
₹ 468.00
15,310.00
589.00
182.00
15,492.00
596.00
Semi-skilled
16,341.00
520.00
16,861.00
649.00
208.00
17,069.00
657.00
Skilled
17,991.00
572.00
18,563.00
714.00
234.00
18,797.00
723.00
Clerical and supervisory staff – Non Matriculate
16,341.00
520.00
16,861.00
649.00
208.00
17,069.00
657.00
Clerical and supervisory staff – Matriculate but not Graduate
17,991.00
572.00
18,563.00
714.00
234.00
18,797.00
723.00
Clerical and supervisory staff – Graduate and above
19,572.00
624.00
20,196.00
777.00
234.00
20,430.00
786.00
Below is the definition of category of workers for classification of skill and wages.
(A) Highly skilled-A highly skilled worker is one who is capable of working efficiently and supervises efficiently the work of skilled employees. (B) Skilled- Skilled employee is one who is capable of working independently and efficiently and turning out accurate working. He must be capable of reading and working on simple drawing circuits and process, if necessary. (ELECTRICIAN, MECHANIC, TAILORS, COOKS Comes in skilled category). (C) Semi-skilled– A semiskilled worker is one who does work generally of defined routine nature wherein the major requirement is not so much of the judgment, skill and but for proper discharge of duties assigned to him or relatively narrow job and where important decisions made by others.( GATEKEEPER(CINEMA),ASST. OPERATOR, ASST ELECTRICIAN, BOOKBINDER,WAITER OR BEARER, MALI WITH TECHNICAL EXPERIENCE comes in semi skilled category). (D) Un-skilled- Un-skilled employee is one who possesses no special training and whose work involves the performance of the simple duties which require the exercise of little or no independent judgment or previous experience although a familiarity with the occupational environment is necessary. (UNSKILLED: PEON, CHOWKIDAR, DURBAN, WATCHMAN, CLEANER, SWEEPER, LOADER, HELPER, MALI comes in unskilled category.)