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
- About TDS & Income Tax
- Scrutiny and reopening of past returns
- Tax on Deemed Capital Gain
- Regarding ITR filing with more value than showing in AIS/TIS
- Booth for sales promotion
- Type of Capital Gain
- F & O PROFIT REPORTING FOR AY 2026-27
- Exiting partner in partnership firm in gst portal
- FEMA regulation Act. for inward remitance
- Difff in ais receipts and gst turnover
- Can a single LLP in India legally operate multiple unrelated businesses (Travel, Cloud Kitchen, Ecom
- Housing Society-ITR5
- TDS on Rent received on redevelopment of building
- Indian IT Portal issue in computing tax as per UK-India DTAA
- Capital Gains on sale of residential flat
- Upload Level ValidationITR3Category of Defect B/D
- PF Taxable Income
- Clarification on Tax Audit Applicability and Reporting of F&O Transactions in ITR-3
- Interest credited in FY2025-2026 & TDS therein by EPFO does not reflect in AIS or Form 26AS
- 44ad eligble money lending interest
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
