PPF rules at a glance
- Rate: 7.1% a year for October–December 2026, reviewed every quarter.
- Deposit: ₹500 minimum and ₹1.5 lakh maximum per financial year.
- Tenure: 15 full financial years, extendable in blocks of 5 years with or without new deposits.
- Tax: EEE — deposits qualify for 80C (old regime), and interest and maturity are tax-free.
Deposit before 5 April
Interest is calculated on the lowest balance between the 5th and the end of each month. Depositing the yearly amount before 5 April earns interest for all 12 months.
FAQ
What is the PPF interest rate now?
7.1% a year for October–December 2026, unchanged for several quarters.
How much will ₹1.5 lakh a year in PPF become in 15 years?
About ₹40.68 lakh at 7.1%, of which about ₹18.18 lakh is tax-free interest.
Is PPF interest taxable?
No. PPF has exempt-exempt-exempt status: interest and the maturity amount are fully tax-free.