My Senior Citizen Savings Scheme (SCSS) deposit (Rs. 1.5 lacs) with the Post Office, which is opened 5 years ago, is maturing on 5 Jan 2023.
I have an option to:
(1) renew this deposit for another 3 years
or
(2) close the deposit and get the amount credited to my post office savings account.
As the SCSS deposit is eligible for 80C deduction, can I avail of the deduction on the renewed deposit, for the current AY 2022-23, because this is tantamount to opening a fresh deposit for the AY 2022-23?
What about if I choose the second option and open a fresh new deposit with the maturity amount (of Rs. 1.5 lacs)?
Appreciate experts’ guidance.