How to pay TDS if all income is from interest only?

Mr Rakesh

As in accounting terms there are two types of method of accounting .i.e. Accural & Cash .....................And almost accural basis is followed by every person. And as per section 194A , it is mentioned that Banker (Payer) is liable to deduct TDS on interest at the time of payment OR at the time of credited such income to the account of payee or any suspense account, WHICH EVER IS EARLIER..........

As bank credit the provisional interest income on your account on yearly basis , so as per the above provison Bank deduct TDS on yearly basis........................

Hope you are clear now.............

Thanks. Reply make its clear but does not make me happy. Possibly to handle this, I must have separate FDs (every year) which mature near the time of payment of TDS & advance taxes & pay TDS & advance tax from these matured FDs. This way possibly I can save some money!! Thanks any way. Best wishes, RAKESH

Mr. rakesh

I u want that TDS shuld no be deducted then ther is one more options you have................. I.e. you can apply to Assessing officer then that AO will issue a certificate on which it is mentioned that TDS on ur income shuld not be deducted OR TDS shuld be deducted at lower rate...........

Thanks.

Thanks.

No need to apply to AO, if your interest income is less than 1,50,000 just furnish Form 15G to the bank.

Thanks.