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By Ashutosh Joshi, PGDM (Finance), B.Com · Page last reviewed:
KVP pays 7.5% a year on certificates bought 1 Oct – 31 Dec 2026: your money doubles in 115 months (9 years 7 months). The interest is taxable and there is no tax deduction.
Key Highlights
- KVP pays 7.5% a year; certificates bought 1 Oct – 31 Dec 2026 double in 115 months (9 years 7 months).
- 7.5% and 115 months have applied since April–June 2023.
- Since 2016 the doubling period has ranged from 110 months (7.8%) to 124 months (6.9%).
- There is no section 123 (80C) benefit, per RBI Handbook Table 111.
KVP is a Post Office certificate that doubles your money over a fixed period. The doubling period is set when you buy, based on the rate in force. Read: safe investment options
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Your next questions, answered
Is KVP worth it after tax?
In the 30% slab, 7.5% becomes 5.16%, a real return of -0.79% at 6% inflation. In the 20% slab it is 5.94% (real -0.06%).
₹1 lakh in KVP or an equity SIP?
KVP turns ₹1 lakh into ₹2 lakh in 115 months, guaranteed. Over the same period, ₹1 lakh at 10% would be about ₹2.49 lakh, and at 12% about ₹2.96 lakh. Those returns are not guaranteed.
Diving Finance view: expert take by Ashutosh Joshi
- KVP is a simple, safe choice for people outside the tax net. In the 30% slab it barely keeps up with 6% inflation, so tax-free PPF usually does better.
This is general guidance, not personal advice. Check your own goals, tax slab and risk appetite.
How it compares after tax and inflation
| Option | Pre-tax | Post-tax (30% slab) | Post-tax (20% slab) | Real return after 6% inflation (30% slab) |
|---|---|---|---|---|
| KVP | 7.5% | 5.16% | 5.94% | -0.79% |
| NSC | 7.7% | 5.30% | 6.10% | -0.66% |
| PPF | 7.1% | 7.10% | 7.10% | 1.04% |
Assumptions in the comparisons: income-tax slabs of 30% and 20% plus 4% cess (31.2% and 20.8%), an illustrative bank FD at 7%, long-run inflation of 6% and equity SIP returns of 10–12%, as used by our author. These are planning assumptions, not forecasts.
Worked example
₹1 lakh doubles to ₹2 lakh in 115 months. Check: 2^(12/115) − 1 = 7.50% a year, compounded yearly. So the 115-month period matches the 7.5% rate. Interest is taxable at your slab rate.
Quarterly rate history (Apr 2016 – Dec 2026)
| Quarter | Rate (p.a.) | Matures in |
|---|---|---|
| 2026-27 · Oct–Dec * | 7.5% | 115 months |
| 2026-27 · Jul–Sep | 7.5% | 115 months |
| 2026-27 · Apr–Jun | 7.5% | 115 months |
| 2025-26 · Jan–Mar | 7.5% | 115 months |
| 2025-26 · Oct–Dec | 7.5% | 115 months |
| 2025-26 · Jul–Sep | 7.5% | 115 months |
| 2025-26 · Apr–Jun | 7.5% | 115 months |
| 2024-25 · Jan–Mar | 7.5% | 115 months |
| 2024-25 · Oct–Dec | 7.5% | 115 months |
| 2024-25 · Jul–Sep | 7.5% | 115 months |
| 2024-25 · Apr–Jun | 7.5% | 115 months |
| 2023-24 · Jan–Mar | 7.5% | 115 months |
| 2023-24 · Oct–Dec | 7.5% | 115 months |
| 2023-24 · Jul–Sep | 7.5% | 115 months |
| 2023-24 · Apr–Jun | 7.5% | 115 months |
| 2022-23 · Jan–Mar | 7.2% | 120 months |
| 2022-23 · Oct–Dec | 7.0% | 123 months |
| 2022-23 · Jul–Sep | 6.9% | 124 months |
| 2022-23 · Apr–Jun | 6.9% | 124 months |
| 2021-22 · Jan–Mar | 6.9% | 124 months |
| 2021-22 · Oct–Dec | 6.9% | 124 months |
| 2021-22 · Jul–Sep | 6.9% | 124 months |
| 2021-22 · Apr–Jun | 6.9% | 124 months |
| 2020-21 · Jan–Mar | 6.9% | 124 months |
| 2020-21 · Oct–Dec | 6.9% | 124 months |
| 2020-21 · Jul–Sep | 6.9% | 124 months |
| 2020-21 · Apr–Jun | 6.9% | 124 months |
| 2019-20 · Jan–Mar | 7.6% | 113 months |
| 2019-20 · Oct–Dec | 7.6% | 113 months |
| 2019-20 · Jul–Sep | 7.6% | 113 months |
| 2019-20 · Apr–Jun | 7.7% | 112 months |
| 2018-19 · Jan–Mar | 7.7% | 112 months |
| 2018-19 · Oct–Dec | 7.7% | 112 months |
| 2018-19 · Jul–Sep | 7.3% | 118 months |
| 2018-19 · Apr–Jun | 7.3% | 118 months |
| 2017-18 · Jan–Mar | 7.3% | 118 months |
| 2017-18 · Oct–Dec | 7.5% | 115 months |
| 2017-18 · Jul–Sep | 7.5% | 115 months |
| 2017-18 · Apr–Jun | 7.6% | 113 months |
| 2016-17 · Jan–Mar | 7.7% | 112 months |
| 2016-17 · Oct–Dec | 7.7% | 112 months |
| 2016-17 · Jul–Sep | 7.8% | 110 months |
| 2016-17 · Apr–Jun | 7.8% | 110 months |
Yearly rates, 2011-12 to 2015-16
| Year | Rate |
|---|---|
| 2015-16 | 8.7(100 Months) |
| 2014-15 | 8.7(100 Months) |
| 2013-14 | Not published by source |
| 2012-13 | Not published by source |
| 2011-12 (from 1 Dec 2011) | Not published by source |
Before 2011-12
Not published by source in a usable form: the NSI table for 1990-91 to 2010-11 does not line up values with years for this scheme, and RBI Handbook Table 111 only gives rates from 1 April 2016. We will add earlier years only from a clean official table.
Rate chart
Key rules
- Minimum ₹1,000, no maximum.
- Money doubles in the period fixed on the purchase date (115 months for Oct–Dec 2026).
- No section 123 (80C) deduction, per RBI Handbook Table 111.
Source: DivingFinance, Kisan Vikas Patra (KVP) Interest Rate (Oct–Dec 2026) & Doubling Period History, https://divingfinance.com/rates/kvp-interest-rate/ (data: National Savings Institute & Ministry of Finance; updated 21 Oct 2026)FAQs
What is the KVP interest rate now?
7.5% a year; money doubles in 115 months.
Is KVP tax-free?
No. Interest is taxable and there is no section 123 deduction.
Does the doubling period change after I buy?
No. It is fixed on the purchase date.
What was the KVP rate in 2020–2022?
6.9%, doubling in 124 months, per the NSI table.
Is KVP worth it after tax?
In the 30% slab, 7.5% becomes 5.16%, a real return of -0.79% at 6% inflation. In the 20% slab it is 5.94% (real -0.06%).
₹1 lakh in KVP or an equity SIP?
KVP turns ₹1 lakh into ₹2 lakh in 115 months, guaranteed. Over the same period, ₹1 lakh at 10% would be about ₹2.49 lakh, and at 12% about ₹2.96 lakh. Those returns are not guaranteed.
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Change log
- 21 Oct 2026 – Page created. Quarterly history from NSI (Apr 2016 – Sep 2026); Oct–Dec 2026 from the DEA order of 30 Sep 2026.
How we collect this data
Rates come from the National Savings Institute (Ministry of Finance) and the Department of Economic Affairs quarterly orders. Scheme rules come from the official scheme notifications on the NSI site and RBI Handbook Table 111. Examples are our own calculations. Read our editorial policy and how we calculate. For information only, not investment advice.