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How to report income and claim 100 % exemption for NRE saving bank interest under FORM ITR2

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Interest earned on NRE saving account and FD is fully exempted from tax section 10(4)ii, please advise. How to report this income and claim exemption UNDER ITR 2 under head income from other sources as cannot see the option in the form. 

 

Replies (8)
Same is taxable as received within India.
It will be shown in schedule "income fully exempt" u/s 10(4)

NRE INTEREST EARNED IS NOT TAXABLE IN INDIA fully exempted section 10(4)ii UNTIL STATUS IS NRI ONLY INTEREST RECEIVED UNDER NRO IS TAXABLE.

Advise required how to report income and exemption under form ITR2. 

Thanks Anantha yes this is correct update not the one provided by CA Rashmi. 

Agreed with Anantha , Interest earned on an NRE account and FCNR account is tax-free. Interest on NRO accounts is taxable in the hands of an NRI.

Report the income under the section "Exempt Income". It will not be reported under the head of other sources. 

Is Tds deducted under section 195 ?

Hi all,

I had a further question on this. If an NRE  FD is not mature yet, even then the interest should be reported under Exempt income or not?

Also, where do we list all NRE bank accounts? Appreciate your advice.  Thanks 


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