Comparive analysis of PPF v/s VPF

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Rishi Gupta (Querist)
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02 February 2009 Could you please tell me which one is better and why.PPF is public provident Fund gives 8% p.a lock in 15yrs and voluntary Pfovident fund gives 8.5% interest and I think both are tax free.

Can anybody give more light on these for Tax purpose u/s 80C.

CA. B.SRINIVASULU

CA. B.SRINIVASULU (Expert)
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02 February 2009 In ppf any person can invest.

Whereas VPF can be paid by an employee who is already covered by PF.

For tax purpose both are same.

But for withdrawal, the period is 15 years in the case of ppf and in the VPF it can be encashed alongwith pf when the person resigns from the job.

Rishi Gupta

Rishi Gupta (Querist)
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03 February 2009 thanks for reply...

I am a salaried employee. I want to invest in risk free avenue. I just want a expert opinion which one i should opt.

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