5 years fixed deposit - 80c deduction..pls help urgent

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Nikhil Samant (Querist)

29 December 2014 Please tell me whether investment done in Fixed deposits for 5 years with any bank is eligible for 80C deduction or not? or it has to be only deposited with Post office for 5 years for claiming dedcution u/s 80C?

Please reply its urgent

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)

29 December 2014 Tax saving fixed deposits(it should be tax saving) for 5 years with any bank is eligible for deduction u/s 80C.

Nikhil Samant

Nikhil Samant (Querist)

29 December 2014 So while depositing which form i should ask for?

is it only for post office or banks are eligible as sec 80C uses post office for 5 year term deposit

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)

29 December 2014 Banks are eligible ask the bankers about your requirement of 80C deposit they will guide you.

Bhaskaran Chackrapani Warrier

Bhaskaran Chackrapani Warrier (Expert)

29 December 2014 1) P.O. 5 Year Time Deposit is eligible for deduction u/s 80C(2)(xxiv).

2) 5 years Term Deposit with scheduled bank is eligible for deduction u/s 80C(2(xxi). You should make sure that the said deposit is covered under BANK TERM DEPOSIT SCHEME,2006.

Nikhil Samant

Nikhil Samant (Querist)

29 December 2014 thanks a lot sir 1 last question whether banks like bank of baroda, bank of india and axis bank are covered by the said scheme?

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)

29 December 2014 Yes they are covered.

Amol S Joglekar

Amol S Joglekar (Expert)

29 December 2014 All PSU banks, most of the co operative banks are covered under the definition of SCHEDUED bank.
In case of co operative banks, you need to ensure with the concerned bank if it is SCHEDULED.

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