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  Smart Strategies for Investing in Mutual Funds: A Guide to Maximising Your Returns One of the most well-liked investing options for people looking for expert management and diversification without having to choose individual equities is a mutual fund. One of the easiest ways for people to accumulate wealth over time is through mutual fund investments. Mutual funds combine the capital of numerous individuals to invest in a diverse portfolio of stocks, bonds, and other securities, in contrast to direct stock market investing, which necessitates considerable time, study, and risk tolerance. Mutual funds are a well-liked option for both new and experienced investors due to their expert management and diversification. But merely investing in a mutual fund and crossing your fingers seldom yields the best outcomes. A comprehensive approach that matches the appropriate fund selection and management strategies with your financial objectives, risk tolerance, and investment timeline is nece...
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What is the difference between PM Care Fund and Prime Minister Relief Fund?

What is the difference between PM Care Fund and Prime Minister Relief Fund?

 


A National Relief Fund for dealing with natural disasters in India was established in 1948 at the time of independence. Despite its presence, the present Central Government has set up another National Relief Fund, PM Care Fund. Now there is a question in the minds of the people that what is the difference between these two relief funds, why was there a need to establish this new PM Care Fund? Let us know the difference between these two funds in this article.

 

What is the Prime Minister's National Relief Fund?

 

The Prime Minister's National Relief Fund was established by former and late Prime Minister Jawaharlal Nehru in January 1948. The main purpose of its establishment was to help the displaced refugees of Pakistan. Currently, the funds raised under this scheme are used to provide immediate relief to the families of those killed in earthquakes, cyclones, floods, tsunamis and other natural disasters and to victims of major accidents and riots.

 

Apart from this, the expenses of medical treatment like kidney transplant, heart surgery, acid attack and cancer treatment etc. are partially supported to the needy. The best feature of this fund is that it is audited every year. Due to which the country keeps track of how much donation has come and how much has been spent?

 

What is PM Cares Fund?

 

PM Cares Fund has been established by the current Prime Minister, Narendra Modi on 27 March 2020. The main objective of the Central Government behind its establishment is to arrange finance to deal with any kind of emergency like COVID-19 epidemic in India. The most critical criticism of the PM Cares fund was that it would not be audited by any reliable institution. But now the auditor has also been appointed for this. PM Cares Fund has full form; "The Prime Minister's Citizen Assistance and Relief in Emergency Situations Fund."

 


Basis of comparison

PM National Relief Fund

PM Cares Funds

Purpose of establishment

To help displaced people from Pakistan

To help the poor people affected by COVID19

Date of Establishment

January 1948

27 March 2020

Chairman

Prime minister

Prime minister

Member

Congress President and representative of FICCI and Tata Trusts

The Home Minister, Finance Minister and Defense Minister are members of the Trust while the PM can nominate 3 other eminent personalities from particular areas as members of the Trust.

Type of expenditure

For natural calamities, accidents and riot victims and medical treatment like kidney transplant, heart surgery, acid attack and cancer treatment etc.

To deal with any kind of emergency like COVID-19 epidemic.

Tax exemption

All contributors who donated to PMNRF are exempted from income tax under Section 80 (G).

The entire amount donated by the person, institution or company will come under the tax exemption.

Auditor

It is audited by an independent auditor outside the government. Currently, M/s SARC Associates Chartered Accountants are its auditors.

It was decided to appoint M/s SARC Associates Chartered Accountants, New Delhi as the auditor of PM Care Fund itself, the auditor of PM National Relief Fund. This decision was taken during the meeting held on 23 March 2020, Trustees of PM Care Fund.

 



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