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Help please....

(Guest)

hi...

a person, whose income is less than 50000/- p.a., wants to deposit his years of earnings in FD, but as he doesnt have PAN card, bank has to deduct 20% of interest as TDS,

please, can you help ... what is the way .. so that he can get full amount of interest...

thanks..

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21 Replies

(Guest)

then that person can fill form 15g/h,if that person comes under any of the condition given in form then tds wont b deducted and whole amt of interest will get transferred to his bnk account,but PAN card no. is mandatory to mention.

1 Like

Deepak Parsai (Future CA) (623 Points)
Replied 25 June 2012

Tds on bank fd will be deducted only if bank interest is above 10000. So he should make fd in such amount so that annual interest remain below 10000. He should make fd in his adult family members. Secondly he should make fd less than 50000, either make it in 2 part e.g. 25-25k or 40-10k in two different branch of bank or in name of 2 family member keeping clubbing provision in mind.

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Deepak Parsai (Future CA) (623 Points)
Replied 25 June 2012

He can also fill form 60 in case of no pan.

1 Like

Rahul Sharma (----------) (8192 Points)
Replied 25 June 2012

Banks deduct tax (TDS), if the total interest earned on all your fixed deposits in the bank is greater than Rs.10,000/- during a financial year. The tax liability for the purpose of TDS was earlier determined at the branch level. The bank branches used to check interest on your fixed deposits at a particular branch only as it was impossible to club the interest earned in other branches. However, after introduction of CBS, some banks are able to club such interests at different branches if Customer ID is same. Thus, if interest earned on fixed deposits in different branches exceeds the threshold, the TDS will be deducted by the system. TDS is also deducted on interest accrued (but not yet paid) at the end of the financial year viz. 31st March every year. The rate at which TDS is deducted varies according to the category of account holders.. n in ur case its clear that the interest that would be earned would be less then 10000.. so tds is not required to be deducted..

answered by CA khushboo

1 Like

Deepak Parsai (Future CA) (623 Points)
Replied 25 June 2012

Not done by all banks and if you have given declaration in form 15G/H or form 60, bank can not deduct tds, bhale hi interest 10,000 se jyada hai.

(Guest)

Thanks a lot, Ashima, Rahul, Deepak, :-) @ Ashima, even for form 15G, pan no. has to be mentioned.. :-(, and Rahul, the person is investing years of earnings, and money from his lands, so his interest amt is more than 10000/-, @ Deepak sir, can we get form 60 at banks..?.. please reply..

(Guest)

if the amt of fd is less than 50000 then pan card no. is nt reqd,whats the amt of fd?

(Guest)

its around 1.5 lacs..,

(Guest)

then i think there is no option that person got to mention PAN,u can do one thing brk it and mk 5 FD's of 30000 each

(Guest)

yahi tho, Ashima, I couldnt find any other option..:(, except for splitting the amount.., which may raise many questions, and even sometimes bankers will not help, and feel bad for that person, he doesnt come under assessee, and even his total interest and his other income, will be within basic exemption limit, but still he has to pay tax.., :(

just having a hope on form 60..

(Guest)

ya ok even i dont know abt form 60.dont worry there r many experts on cci u'll surely get a way

Samiran Mukherjee (PO) (21 Points)
Replied 25 June 2012

Dear CA Friends,

I have a query which I am appending below. Can you guys please help. I am a sailor in Indian Navy and have no knowledge on incometax. My employer has deducted Rs. 13135.00 at source from my salary. I want to file return and claim refund. Please help. My query is....

I and my brother started construction of a house in march 2011.
Our share in the property is 50% each.
My brother paid Rs. 100000.00 in Mar 2011.
I paid Rs. 100000.00 on 03 Apr 2011 from my own source on 03 Apr 2011.
Both of us jointly took home loan on 29 Apr 2011 for the construction.
Till 31 Mar 2012 We Paid Rs. 70000.00 as pre EMI on this loan.
We each paid 50% of this pre EMI amount.

How much tax rebate I can claim and under which section?

How much tax rebate my brother can claim and under which section?

Thanks and regards,

Samiran Mukherjee

*RENU SINGH * (✩ §m!ℓ!ñġ €ม€§ fℓม!ñġ ђ♪gђ✩ ) (21627 Points)
Replied 25 June 2012

Agree with Deepak totally.

And Form no 60 Is used where the person doesn't possess PAN , BUt its untility is more likely as Pan ....and ur interest won't be deducted even if it exceeds the limit of 10000.

Form no 60 is available when one opens its account with Bank . So I guess, U can get the Form no 60 with Bank also.