NSC calculator
National Savings Certificate maturity
Worked example
Using the default values, nsc calculator gives a maturity value of ₹1,44,903.
| Item | Value |
|---|---|
| Investment | ₹1,00,000 |
| Rate | 7.7% a year, compounded yearly |
| Term | 5 years |
| Growth multiple | 1.45× |
| For every ₹1,000 | ₹1,449 |
What you need
- Investment
- Interest rate
- Term
Questions
Why does NSC interest qualify for 80C?
Because the interest is deemed reinvested rather than paid out. For the first four years you can claim it as a fresh 80C deduction. The fifth year’s interest is paid to you and is taxable.
Important
Interest accrues yearly but is paid only at maturity. The interest for the first four years is treated as reinvested and itself qualifies under 80C in the old regime, which is why NSC is often better than it looks. The final year’s interest is taxable at your slab. There is no upper limit on investment and no TDS.