Dear All,
Suppose i've purchased a NSC of 50000 on 21 april 2013, So whether interest on NSC would be taxable in FY 2013-14 or the same would be taxable from FY 2014-15. And when is the interest accrued to assessee.
Regards
Saurabh
Saurabh Agarwal (articleship) (30 Points)
07 July 2014Dear All,
Suppose i've purchased a NSC of 50000 on 21 april 2013, So whether interest on NSC would be taxable in FY 2013-14 or the same would be taxable from FY 2014-15. And when is the interest accrued to assessee.
Regards
Saurabh
Tribhuvan Aditya Singh
(Student as well as Self-employed)
(3710 Points)
Replied 07 July 2014
CA Pooja Sharma
(Chartered Accountant)
(192 Points)
Replied 08 July 2014
Interest on NSC is taxable as interest is not paid to the account holder but reinvested in NSC. As the interest is reinvested in NSC , we can claim it as a deduction U/s 80C.
Saurabh Agarwal
(articleship)
(30 Points)
Replied 10 July 2014
Thanks, but want to ask whether the interest on NSC is due on 31st march 2014(So as to be taxable in 2013-14) or it would get due on 21st april 2014(So as to be taxable in 2014-15).
Tribhuvan Aditya Singh
(Student as well as Self-employed)
(3710 Points)
Replied 10 July 2014
Abhishek Dugar
(article)
(96 Points)
Replied 11 July 2014
You need to include the interest upto 31st march 2014 in FY 13-14.
CAclubindia
