Urgent-interest on fd
This query is : Resolved
03 February 2014
Dear All
Is it possible to provide for tax the interest received on FD on it's maturity even though the same is credited prior to maturity periodically?
Is it possible to provide for tax the interest received on FD on it's maturity even though the same is credited prior to maturity periodically?
03 February 2014
No. The interest on FDR has to be taken on accrual basis.
03 February 2014
there is no condition on accounting it as cash or accrual in Income tax act, since it is taxable under chapter Income from other sources.
normally it is preferred to book on accrual basis to avoid high taxation at a later date. But the payer of Interest will tax (TDS) in the year of accrual
normally it is preferred to book on accrual basis to avoid high taxation at a later date. But the payer of Interest will tax (TDS) in the year of accrual
04 February 2014
Once the interest income is credited periodically as stated in the query, it has to be taken on accrual basis.
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
- CG Tax On residential property
- Post Office RD Interest
- Applicable TDS for Purchase of Flat from NRI
- Building and other construction workers welfare cess act 1996
- Eway bill for machinery reparing
- Bank Accounts in Balance Sheet for ITR 3
- ITR 3 FILING OF AN INDIVIDUAL (PARTNER IN A PARTNERSHIP fIRM)
- Gift of mutual fund units to daughter
- Annual return of gst limit
- TDS ON CASH WITHDRAWALS...
- Reporting of STCG on Property in ITR
- Error while filling exam form November 2026
- Delisted shares sold in off market/ Rebate u/s87A
- In Exports Sales HSN details where to fill
- Opting out" of regime provided under subsection (1A) of Section 115BAC but Form 10IEA is not filed.
- Difference in tax comparison report
- Gst invoice numbering and delivery challan numbering
- Sales amount in Gstr1
- E Commerce GSTR1 & 3B how to file
- GST Cancellation without jurisdiction
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
