Public Provident Fund

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Rajat (Querist)
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06 October 2008 Can a wife deposit 70K in husband's PPF A/c and claim 80C exemption. In the same year husband has deposited 70K in minor son's A/c and is claiming 80C exemption in his file.

Husband/s PPF A/c and minor son's PPF A/c is opened in different branches.

Minor son's income is being clubbed with father i.e. husband

S.Srinivasaraghavan

S.Srinivasaraghavan (Expert)
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06 October 2008 1) deduction is claimed by wife or Husband?
2) In the second case of minor yes.

Rajat

Rajat (Querist)
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06 October 2008 Sir, both husband and wife are claiming exemption u/s 80C in their respective file

Wife doesnt have PPF A/c, so she deposited 70K - by cheque from her bank A/c in husband's PPF a/c and claimed deduction u/s 80C.

On the other hand, husband deposited 70K - by cheque from his A/c into his minor son's PPF A/c and claimed deduction u/s 80C.

Minor Child's income(nominal) is being clubbed with husband.

So in such a situation can both husband and wife claim deduction u/s 80c ?

I read somewhere that one cannnot deposit more than 70K in PPF A/c including the deposit made in minor son's PPF A/c

If above statetment is true..will it have any impact on above mentioned situation.

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S.Srinivasaraghavan

S.Srinivasaraghavan (Expert)
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06 October 2008 1) wife can claim 80c deduction in her return in respect of her contribution to PPF account of her husband subject to a maximum of Rs 70000, but within the overall limit allowed by 80C.
2)Husband can make a simlar claim for duduction in respect of his contribution into the PPF account of his minor child.