Follow Us :

(i) Anytime after the expiry of 5 years from the end of the financial year in which the initial subscription for Public Provident Fund (PPF) Account was made, the subscriber may withdraw 50% of the balance to his credit at the end of 4th year immediately preceding the year of withdrawal or the amount at the end of the preceding year whichever is lower. However, not more than one withdrawal is permitted in one financial year. The application for withdrawal will be made in Form 2.

(ii) A PPF subscriber may withdraw the entire amount standing to his credit, after the expiry of 15 years form the end of the financial year in which the initial subscription was made. He/She may, also, opt to continue with the scheme by subscribing for a further block of 5 years by applying to the deposit offices in Form- 4 before the expiry of one year from the maturity of the account.

(iii) A PPF subscriber may also avail of this facility for a further block of 5 years on the expiry of 20 years (or on expiry of 25 years and so on) from the end of the year in which the initial subscription was made. However, if a subscriber continues to deposit after 15 years without submitting Form 4, he shall not be eligible to enjoy benefits under Section 80C of I.T.Act. These deposits will be treated a irregular and will not earn interest.

(iv) During the extended period of 5 years, a PPF subscriber is eligible to make partial withdrawal not exceeding one in every financial year subject to the condition that total withdrawal during the 5 years shall not exceed 60% of the balance to his credit at the commencement of the period.

(v) Even if the PPF subscriber does not wish to make any further subscription, the balance in his credit shall continue to earn interest.

Also Read-

Deduction U/s. 80C on deposits made after 15 years in PPF A/c without exercising option for continuance of A/c 

Tax effect in case of premature closure of PPF Account

(Republished With Amendments)

Join Taxguru’s Network for Latest updates on Income Tax, GST, Company Law, Corporate Laws and other related subjects.


  1. Deval says:

    Dear Sir
    We have a PPF account which was extended for a block of 5 years in 2013. We have been depositing the minimum amount of Rs.500/- every year. What is the process to withdraw the total amount? I do not wish to continue with the account. can I withdraw the amount immediately?

Leave a Comment

Your email address will not be published. Required fields are marked *

Search Post by Date
April 2024