ICICI

Fixed deposit interest


Singh Kamboj   25 June 2019

Singh Kamboj

 8 likes  200 points

| My Other Post

a person Indian origin but working outside India and open account in India, transfer his salary in his account and open fixed deposit but bank deducted TDS on his fixed deposit interest.

1 Like
avater

Dhirajlal Rambhia (KVO Merau Kutchh)     25 June 2019

Dhirajlal Rambhia
KVO Merau Kutchh 
 9003 likes  91882 points

View Profile | My Other Post

Yes, bank should mandatorily deduct TDS when interest income exceed 10000/-

Singh Kamboj   25 June 2019

Singh Kamboj

 8 likes  200 points

View Profile | My Other Post

can this person file return and claim TDS and at the time of registration of pan no. the status of this person show resident or NRI

prasad (Student CA Final )     25 June 2019

prasad
Student CA Final  
 36 points

View Profile | My Other Post

Give me clarity on Account which he is using whether NRE a/c or NRO a/c

avater

Amrita sharma (Financial Advisor)     10 October 2019

Amrita sharma
Financial Advisor 
 26 points

View Profile | My Other Post

According to Income Tax rules, the TDS rate on fixed deposit interest rate is 20% if you do not provide your PAN Card to the bank. Senior Citizens (those above 60) can get up to Rs 50,000 per year in FD interest tax-free and no TDS will be deducted for interest received up to Rs 50,000 per annum for them.

 

avater

Suresh Thiyagarajan (Student)     10 October 2019

Suresh Thiyagarajan
Student 
 249 likes  3946 points

View Profile | My Other Post

1. According to sec 195 TDS will be deducted @ 30% in case of interest from FD to be payable to a non-resident. Because this income is accrued or arises in India and hence it is taxable in India. 
2. It is important to note here that there are two kinds of accounts with respect to Non-resident. NRE and NRO account. Both accounts can be maintained by NRI.
3. NRE account denotes foreign income and this will not be taxable in India. NRO account represents income earned in India and this will be subject to tax. 
4. If you have utilized your salary income to invest in FD, then the resultant interest income will be taxable in India and TDS u/s 195 @ 30% will be deducted on the same. 
5. This person can file return and claim TDS as refund provided his Indian income is below basic exemption limit. Before that PAN needs to be applied. 
Please correct me if the above solution has an alternative view. 


Leave a reply

Your are not logged in . Please login to post replies

Click here to Login / Register  




Popular Discussion


view more »