Doubles Money
Kisan Vikas Patra (KVP)
Verified Indian financial mathematics, statutory regulations, and step-by-step actionable breakdowns.
Expected Yield~7.5% p.a. (doubles in ~115 months)
Lock-In Tenure2.5 Years minimum
Risk LevelZero Risk
Tax StatusTaxable as Slab
Overview & Statutory Background
Kisan Vikas Patra is a small savings certificate from India Post. Your investment compounds annually at the notified rate and doubles in a fixed number of months (about 115 at 7.5%). Rates are revised quarterly for new investments.
Key Features & Operational Guidelines
Minimum ₹1,000 with no maximum limit
Available in multiples of ₹100
Transferable between persons and across post offices
Can be pledged as collateral for loans
Who is Eligible to Invest?
- •Any adult resident Indian, minor through guardian, or joint holders up to three adults
- •Trusts may invest; NRIs and HUFs cannot
Indian Taxation Breakdown
| Stage | Tax Treatment |
|---|---|
| Initial Investment | No Section 80C deduction. |
| Interest & Returns | Interest is taxable as per slab; no TDS at source. |
| Maturity / Withdrawal | Interest is taxed on accrual or at maturity depending on accounting method. |
Advantages & Limitations
Key Advantages (Pros)
- ✓Sovereign guarantee
- ✓No investment ceiling
- ✓Easy to pledge for loans
Important Limitations (Cons)
- ✕No tax deduction on investment
- ✕Interest taxable
- ✕Fixed rate is locked, regardless of future hikes
Kisan Vikas Patra (KVP) FAQs
At 7.5% it matures in about 9 years and 7 months (115 months). The maturity period changes whenever the notified interest rate changes for new certificates.
Calculate Compound Returns
Use our interactive calculators to simulate exact growth schedules for this asset.