PPF Account Declaration / Nomination (India)

A PPF Account Declaration / Nomination in India records a formal statement by which the declarant affirms the facts or commitments it sets out.

The Public Provident Fund is one of India's most popular and tax-efficient long-term savings instruments. PPF accounts earn interest at a rate declared quarterly by the Ministry of Finance — currently 7.1% per annum for FY 2024-25 — compounded annually and credited at the end of each financial year. The interest earned is fully exempt from income tax under Section 10(11) of the Income Tax Act 1961, contributions up to ₹1,50,000 per financial year qualify for deduction under Section 80C, and the maturity proceeds are fully exempt from income tax. This EEE (Exempt-Exempt-Exempt) tax treatment makes PPF one of the most tax-efficient savings instruments available to Indian residents.

The PPF Scheme 2019 replaced the PPF Scheme 1968, introducing several updates including the enabling of online PPF management through internet banking, the ability to make partial premature closure after 5 years for specified reasons (life-threatening illness and higher education), and continued eligibility for existing accounts of individuals who subsequently become NRI (existing NRI PPF accounts continue until maturity but no new accounts can be opened by NRIs).

Nomination under Rule 10 of the PPF Scheme 2019 allows the account holder to name one or more persons as nominees, specifying the percentage share of each. In the event of the account holder's death before maturity, the nominee(s) can claim the balance by submitting Form G (Claim Form) to the bank or post office along with the death certificate and their own KYC documents. The PPF balance paid to nominees is entirely exempt from income tax. Significantly, PPF accounts are not attachable under any court decree or order, making them protected savings even in bankruptcy or insolvency proceedings — a unique feature distinguishing PPF from most other financial instruments.

The minimum annual contribution to maintain an active PPF account is ₹500, and the maximum is ₹1,50,000 per financial year across all PPF accounts (including accounts held as guardian for a minor). The PPF account has a fixed tenure of 15 years, extendable in blocks of 5 years with or without fresh contributions.

A PPF account and nomination in India are governed by the Public Provident Fund Scheme 2019, notified by the Ministry of Finance under the Government Savings Promotion Act 1873. Nomination is made under Rule 10 of the Scheme; interest is exempt under Section 10(11) and contributions qualify under Section 80C of the Income Tax Act 1961, giving PPF its EEE tax treatment. PPF balances are protected from attachment under any court decree.

A PPF Account Declaration and Nomination Form is needed in several specific situations related to opening, maintaining, or managing a PPF account in India.

New PPF account opening: Any resident Indian individual opening a PPF account for the first time at a bank branch or post office must complete the account opening form (Form A under the PPF Scheme 2019) and submit the nomination form simultaneously. Submission of nomination is mandatory under the scheme rules.

Nomination update after life events: Major life events typically require updating the PPF nomination: marriage (the spouse is often added as nominee); birth of children (children added as nominees); death of an existing nominee (the nomination must be updated to name a new person); divorce (the ex-spouse should be replaced as nominee). The nomination can be changed at any time by submitting Form D to the bank or post office.

Adding a guardian for minor nominees: When a minor is named as a PPF nominee, the account holder must simultaneously appoint a guardian who will receive the PPF balance on behalf of the minor if the account holder dies while the nominee is still a minor. If the originally appointed guardian subsequently becomes unavailable, a new guardian must be nominated using the appropriate form.

Guardian opening account for minor: A parent or legal guardian opening a PPF account in the name of a minor must submit the account opening declaration with the minor's details, the guardian's details, and KYC documents for both. Note that no nomination is permitted for minor accounts — the guardian is the beneficial owner.

KYC update and account reactivation: PPF accounts that have become inactive (due to failure to make the minimum ₹500 annual contribution) require reactivation by paying a ₹50 penalty per missed year plus the minimum contribution for each missed year. The reactivation form requires updated KYC information and may require updating the nomination if the existing nominee details are outdated.

Maturity extension: When a PPF account reaches the 15-year maturity, the account holder can extend it in 5-year blocks (Form H for extension with contributions, or the account continues automatically without contributions). The extension declaration must be submitted within one year of maturity to retain the contribution-with-withdrawal option.

A complete PPF Account Declaration and Nomination Form must contain specific information required by the Ministry of Finance's PPF Scheme 2019 and accepted by PPF-holding banks and post offices.

Account holder identification: Full name of the account holder exactly as per PAN and Aadhaar; date of birth; father's name or spouse's name; residential address (current address where correspondence will be sent); PAN (mandatory for PPF accounts — required for income tax deduction claims under Section 80C and for TDS-exempt status); and Aadhaar number (mandatory for KYC compliance under the Prevention of Money-Laundering Act 2002).

Account details: Bank name and branch (or post office name) where the PPF account is to be held; mode of operation (self, jointly with — not applicable for PPF, which is a single-holder account); and the initial deposit amount (minimum ₹500).

Nominee details: Full legal name of each nominee (up to multiple nominees under the 2019 Scheme); relationship of each nominee to the account holder; date of birth of each nominee; residential address of each nominee; and the percentage share of each nominee (all shares must total 100%). If any nominee is a minor, the date of birth must be provided and a guardian must be appointed.

Guardian details: Full name, relationship to the minor nominee, and address of the appointed guardian who will receive the PPF balance on behalf of the minor nominee in case of the account holder's death before the minor turns 18.

Declaration: The account holder declares that: they are an Indian resident (not an NRI — NRIs cannot open new PPF accounts); they do not hold any other PPF account in their own name (only one PPF account per individual is permitted); all information provided is correct; and they authorise the bank/post office to credit PPF interest to the account annually and to allow only the operations permitted under the PPF Scheme 2019.

Signature and witness: The form must be signed by the account holder in the presence of the bank officer (or attested by a Notary for post office submissions in some cases). The bank officer countersigns, confirming verification of KYC documents.

KYC documents: Original PAN card and Aadhaar card must be presented for verification. A recent passport-size photograph is typically required. Address proof (if Aadhaar address differs from current address) may be required in some cases.

A PPF account and nomination in India are governed by the Public Provident Fund Scheme 2019, notified by the Ministry of Finance under the Government Savings Promotion Act 1873. Nomination is made under Rule 10 of the Scheme; interest is exempt under Section 10(11) and contributions qualify under Section 80C of the Income Tax Act 1961, giving PPF its EEE tax treatment. PPF balances are protected from attachment under any court decree. Forms-legal.com provides this template as a starting point for India-compliant documentation.