POMIS
pronounced: [P-O-M-I-S]
POMIS stands for Post Office Monthly Income Scheme.
It is a government-backed, low-risk small savings scheme operated by India Post that offers a fixed monthly interest payout at 7.4% per annum on deposits ranging from ₹1,000 to ₹9 lakhs for a single account and up to ₹15 lakhs for a joint account. The tenure is 5 years, and the deposit qualifies for Section 80C tax deduction only when reinvested through a 5-year time deposit facility. The interest is fully taxable as income from other sources.
Key Facts
| Fact | Value |
|---|---|
| Interest Rate | 7.4% p.a. |
| Tenure | 5 years |
| Maximum Limit | ₹15 lakh |
| Interest Compounding | Monthly |
| Tax Section | SECTION 80C |
Example
Under Section 80C, you can claim up to ₹1.5 lakh/year for PPF, ELSS, life insurance premiums, EPF, home loan principal, NSC, and tuition fees. Combined with 80D health insurance (up to ₹1 lakh for family), a taxpayer can save up to ₹62,400/year in taxes at 30% bracket.
Frequently Asked Questions
Last updated: 2 June 2026