Amount of deduction available for nsc after 1st year
This query is : Resolved
18 January 2014
Please help with an example if any deduction can be claimed on the principal amount of NSC after 1st year?
18 January 2014
During the year, when NSCs are purchased, the deduction of amount invested can be claimed u/s 80C for that year.
In subsequent years, the interest accrued on NSC is included in income and the same amount is treated as reinvested in NSCs and hence can be claimed u/s 80C.
On maturity of NSCs, the amount of interest is included in the income but no deduction is claimed u/s 80C because the amount of interest is also received and not reinvested.
In subsequent years, the interest accrued on NSC is included in income and the same amount is treated as reinvested in NSCs and hence can be claimed u/s 80C.
On maturity of NSCs, the amount of interest is included in the income but no deduction is claimed u/s 80C because the amount of interest is also received and not reinvested.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- GSTR-1A How to update Invoice
- Excess salary payment.
- Current Account Opening for Sole Proprietorship with Udyam Certificate - Zero Turnover
- TDS on Purchase of Immovable Property by NRI from NRI
- Stamp Paper for partnership firm change new income tax 2025
- Capital gain from sale of house property
- SFT Cash Deposit in Current Account
- Annual return in Gst
- FORM 26A APPLICABILITY
- When TDS on GST applied
- Cash gift by grand mother to her grand daughter
- Tax amount diff in Gstr1 and 3B in tax compare reports
- Tds on GST in connection with sale to public company
- Restoration of certificate of practice
- Regarding change in correspondence address in SSP portal
- No Compliences after incorporation
- USEFUL LIFE OF USED/SECOND HAND COMMERCIAL VEHICLES
- Claiming TDS deducted by builder on Hardship compensation and Corpus
- Address Change to another state of a Registered Trust with 12AB approval
- Updated return in budget 2026
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
CAclubindia
