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Deduction of saving a/c bank

Varun Kaura (Article) (29 Points)

21 September 2016

Can saving bank charges and deduction under section 80TTA be claimed simultaneously for income tax purpose???

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12 Replies

Rahul Shah (Assistant Chartered Accountant) (196 Points)
Replied 21 September 2016

Saving Bank interest upto Rs 10000 is deducted Under 80 TTA.

While Bank Charges on saving bank Interest can t be claimed under section 80 TTA

Varun Kaura (Article) (29 Points)
Replied 22 September 2016

Thanks for your response... But my question is can we claim saving account bank charges along with 80TTA Deductions or not?? For example:- If interest is Rs. 15000/- and bank charges are Rs. 2000/- then can I claim Rs. 2000 for bank charges and Rs. 10000/- as deduction u/s 80TTA?? Waiting for your reply...

Naresh Kansala (Visit www.nkansala.in for more article) (1425 Points)
Replied 22 September 2016

No, we can't because banks charges are for the bank facilities they provides and not w.r.t. interest income.

j kesava Rao (Retired Executive Director(RINL)) (81 Points)
Replied 22 September 2016

but still the expenses are related to the in

j kesava Rao (Retired Executive Director(RINL)) (81 Points)
Replied 22 September 2016

Sorry my query was not completed. The expenses charged by bank was against my interest income i.e., I don't need a bank account if I don't get that interest and I argue why I should be changed with their expenses.

j kesava Rao (Retired Executive Director(RINL)) (81 Points)
Replied 23 September 2016

In continuation to my above argument by business is to earn income and I had chosen Savings account route so why I should be deprived of Expenditure debited by bank against my Interest income.

Rahul Shah (Assistant Chartered Accountant) (196 Points)
Replied 23 September 2016

Sir, Bank Charges is Something sort charges that are collected by bank for provoding certain facility so it was never connected to earning bank interest so it was not allowable 80 TTA

Kajal Jain (Freelancer-Chartered Accountant) (551 Points)
Replied 23 September 2016

no,only interest can be claimed under 80 TTA..
the bank charges can't be deducted

j kesava Rao (Retired Executive Director(RINL)) (81 Points)
Replied 23 September 2016

For argument's sake I putting forth.

FCA surbhi jain (FCA) (897 Points)
Replied 25 September 2016

Only saving bank interest can be claimed as deduction u/s80TTA. Not the bank charges.

FCA surbhi jain (FCA) (897 Points)
Replied 25 September 2016

And that to upto Rs.10000. So,varun ji u can claim deduction of saving interest Rs. 15000 upto Rs.10000. And bank charges of Rs.2000 can't be claimed under 80TTA.