Dinesh Singh 21 June 2022

Informing bank of ppf holder death

Sir
My father who was 80 yrs old passed away during COVID-19.
Now all the bank accounts and PPF are still in his name. I have not opted to change the same as the income will be added to my income which will bring it in 30% tax bracket.
The main problem is in PPF which I do not wish to avail. The given PPF is more than 15 years old which means it has matured and there has been no contribution done in it for the last 2 years. However I am the nominee in my late Father's PPF account

So if I decide say after 2-3 years end the PPF scheme of my late father will there be a problem with the PPF authorities I have read the PPF act and no where is it mentioned that the death of subscriber needs to be notified in a certain duration.

Am I correct or wrong

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1 Replies

Mahi Manchanda 23 June 2022

Hi,

On the death of a subscriber, the balance in the PPF account is paid on demand to his nominee or successor. However, the balance, if not withdrawn, continues to earn tax-free interest.

In the event of the death of a Public Provident Fund (PPF) subscriber, any money left in their PPF account is passed on to the nominee(s) or the legal heir(s) of the PPF subscriber had registered a valid nomination, the nominee will be able to claim the proceeds from the account by simply filing the Form G, along with proof of death of the subscriber (death certificate).

I hope this answers your question.

Have a good day!