Fixed deposit from saving Salary

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A person with an annual income below the tax-filing threshold saved between £70k and £100k annually from their salary, plus gratuity and PF, accumulating around £1.2 million. They are concerned about potential issues with the IT department if they make a fixed deposit with these savings. The advice given is that while there might be scrutiny for large fixed deposits, it's manageable by filing an Income Tax Return (ITR) and explaining the funds come from past savings. Filing an ITR, even with income below the taxable limit, is recommended to avoid issues.

Amandeep Singh

Amandeep Singh (Querist)
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28 March 2022
20%
Dear Sir,

My annual income is less then basic limit So i never filed ITR but saving from salary Rs.70 k to 1 lac from 2013 also received some graudity and PF amount from my previous company. Can I face any issue from IT department if I make fixed deposit
From my savings approximately Rs.12 Lacs please suggest.

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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29 March 2022 No problem but file ITR in view of fixed deposit more than 10 lacs.

Amandeep Singh

Amandeep Singh (Querist)
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29 March 2022 Dear Sir,
I file ITR for Rs.240000/- (annual income) + interest of fixed deposit or any more Kindly advise

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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29 March 2022 No more just file ITR of the above income.
The income upto 5 lacs exempt.

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Amandeep Singh

Amandeep Singh (Querist)
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29 March 2022 Sir,
Someone told me if you make fdr for Rs.12 Lacs it department send to you notice for showcase notice it's any reality or totally myth please suggest sir

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CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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29 March 2022 It's reality but you can reply that it's out of past savings. No notice will be received file ITR. No need to worry.

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Amandeep Singh

Amandeep Singh (Querist)
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29 March 2022 Dear Sir,
Thank you vary much Sir,

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