income from interest on money given to father

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This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

16 January 2011 i am an individual who has tuition income below 2.6lacs .ie i dont pay tax ........
i have given a chq of 7.5 lacs to my father in his name saving account ... nw if i take interst on the money is it taxable? should he cut tds ?what is the minimum rate of interest to be charged ?

Guest

Guest (Expert)

16 January 2011 Interest income to be earned from father will be taxable if yiou have taxable income.

Manmohan ACA, CS

Manmohan ACA, CS (Expert)

16 January 2011 Interest on Saving bank A/c is taxable as income from other source , but no TDS should u/s 194A @ 10% !! ... NO minimum rate is specified

Dhirajlal Rambhia

Dhirajlal Rambhia (Expert)

08 October 2021 You can take interest at 12%. No TDS would be deducted by father, provided his accounts are not audited in preceding year. Yes the interest received by you will be taxable.

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