Income tax on fixed deposit of deceased

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This query is : Resolved

Jev (Querist)

04 April 2018 MY FATHER WAS HAVING A FIXED DEPOSIT IN SBI SINCE YEAR 2015. HE EXPIRED ON YEAR 2016. I BEING THE NOMINEE OF ACCOUNT DECIDED TO CONTINUE HIS ACCOUNT TILL MATURITY. THIS YEAR 2018 THE ACCOUNT IS GOING TO MATURE AND I WANT TO CLAIM IT. WILL, I HAVE TO PAY ANY INCOME TAX ON THE MATURITY AMOUNT I WILL BE RECEIVING.? I SO, THAN AT WHAT PERCENT.
IS THERE ANY WAY TO RECEIVE THE WHOLE AMOUNT WITH PAYING INCOME TAX.

CA Rashmi Gandhi

CA Rashmi Gandhi (Expert)

04 April 2018 No need to pay income tax on such amt as any amount received through will or inheritance is not taxable in IT.

Jev

Jev (Querist)

04 April 2018 Thanx Mem for your reply. But the Bank authorities are telling that they will deduct TDS on the interest of the deposit amount. What will I do in case they will deduct TDS.

K Srinivas, CMA CS

K Srinivas, CMA CS (Expert)

04 April 2018 There are two aspects
1) FD amount received by you as nominee is tax exempt as it is in the nature of inheritance and no tax is payable on such amount

K Srinivas, CMA CS

K Srinivas, CMA CS (Expert)

04 April 2018 2) Interest income from such FD which you get as the nominee will be added to your income and will be taxed as part of your income

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