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 Section 10 of the Income-tax Act, 1961

Raise MIS limit
February, 24th 2007

It is the earnest hope of millions of middle-class savers that the ensuing Union Budget will increase the investment limit for single investors in the MIS (Monthly Interest Scheme) in Post-Office Savings Banks from Rs 3 lakh to Rs 6 lakh, and for joint investment, from Rs 6 lakh to Rs 12 lakh.

The rate of interest should be increased to 10 per cent and the rate of bonus paid on maturity should be increased to 12 per cent p.a. This suggestion is in the interest of the masses of small investors and the safety and security of their investments made from their hard-earned money and often their life's savings.

This class does not belong to the creamy layer of the society and is afraid of "gambling" in the stock market. A proactive move such as this will be a boon to millions of small investors across the country and also a way of increasing post-office revenues.

Hansraj Bhat
Mumbai

 
 
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