Tds on bank fdr interest relating to previous years.

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

17 June 2014 Sir,

I am offering the Interest on my long term FDRs on RECEIPT BASIS showing the entire Interest received on maturity. However the bank is deducting TDS on the interest on FDRs on quartely basis and remit the same to the IT department then & there in the previous years. My question is whether I can take the TDS of previous Assessment years and also the current TDS on maturity of the current Assessment year in the current Assessment year in which I offer the entire interest for Tax pruposes?

Thanking you,
V.ARUNACHALAM
17-06-2014.

Nikhil Kaushik

Nikhil Kaushik (Expert)
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17 June 2014 you can carry forward the tds credit through income tax return tds sheet. it provides for option of carrying forward of tax credit to subsequent assessment years

CS,CA F,Numrologi TusharSampat

CS,CA F,Numrologi TusharSampat (Expert)
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17 June 2014 pls mention any section which allows carry forward of tds credit.

Nikhil Kaushik

Nikhil Kaushik (Expert)
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17 June 2014 please refer Rule 37BA(3)(i) "Credit for tax deducted at source and paid to the Central Government, shall be given for the assessment year for which such income is assessable"

to give effect to this rule, ITR forms have been amended to allow carry forward of credit to the year in which income is finally offered to tax.

Querist : Anonymous

Querist : Anonymous (Querist)

18 June 2014 Sir,
i am thankful to you for your timely and immediate response.
I forgot to mention that there was a FD matured in the last assessment year but it was automatically renewed by the Bank and it is yet mature again. The Interest and TDS relating to that FD was omitted by me to include in the return on the presumption that the FD is yet to attain the receipt status. Can I include the same in the year in which the FD again is available for payment, taking into account the entire interest & TDS for the entire periods (both the previous tenure and the current tenure)
I am sorry that I am unable to present the case with ease and easily understandable by all.
Kindly clarify.

Thanking you,
V.ARUNACHALAM.
18-06-2014.

Nikhil Kaushik

Nikhil Kaushik (Expert)
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18 June 2014 for that you need to account for the interest received in last year (at the time of maturity and reinvested). And reflect the TDS in the TDS_TCS sheet. I assume you have already filed the return. So kindly revise the same. You may will have to claim the credit in that assessment year itself because the income was also assessable in that year itself as it accrued as well as received in that year itself.

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