Section 8 in The Public Provident Fund Scheme, 1968
8. Interest.
- Interest at the rate, notified by the Central Government in the official gazette from time to time, shall be allowed for calendar month on the lowest balance at credit of an account between the close of the fifth day and the end of the month and shall be credited to the account at the end of each year.Provided that where the interest to be credited contains a part of a rupee, then, if such part is fifty paise or more, it shall be increased to one complete rupee, and if such part is less than fifty paise, it shall be ignored.Note :- In cases where withdrawals are made during the year from 1986-87 to 1988-89, an amount equivalent to one per cent of the amount withdrawn, rounded to the nearest rupee, shall be deducted from the interest creditable to the account of the subscriber. This recovery has been discontinued w.e.f. 1.4.1989.
