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If i receive rs 7500 interest from saving bank and rs 4500 from post office saving ho much deduction i can claim?

Ashim kr Ray (social service) (1685 Points)

25 June 2016

Sir, In the above matter can i claim more than 10000 U/S 80TTA as deduction rate is Rs 10000 for saving in bank & 3500 for saving in post office. please.

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6 Replies

DILEEP KUMAR.A (Executive Finance) (475 Points)
Replied 25 June 2016

Hi Ashim,

As per S. 80TTA you are eligible to claim interest received from savings account with a bank, co-operative bank and Post office savings deposit, which is all put together the exemption is 10,000/-

As per Sec. 10(15)(i), you are eligible for exemption up to Rs. 3500 in a single account and Rs. 7000 in a joint account of post office savings deposit.

So now you can cliam deduction of Rs 8500/- under 80TTA and exemption of Rs 3500/- under S. 10(15)(i) are any other permutations & combinations based on the above provisions.

Hope you understood.

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Ashim kr Ray (social service) (1685 Points)
Replied 25 June 2016

so sir,

All total i have receive intersted amounting Rs1200 , i.e 7500 from bank & 4500 from post office.so in my case how much i am eligible to claim deduction from this section.

Ashim kr Ray (social service) (1685 Points)
Replied 25 June 2016

I.e Can i get rebate Rs 12000 u/s 80TTA if yes then when i plot in ITR 4 it restricted up to Rs 10000 only.

Ruchi (CA) (1410 Points)
Replied 25 June 2016

Post office savings account interest is exempt from tax u/s 10(15) upto an overall limit of rs 3500 only. However, it is also eligible for 80tta deduction. So you should first utilise the exemption of rs. 3500 fully and claim the balance u/s 80tta. That way, your 80tta deduction would be 7500+1000 and exempt income would be 3500 u/s 10(15).

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Ashim kr Ray (social service) (1685 Points)
Replied 25 June 2016

thank you my doubt has been fully cleared.

shivam khanna (Grasper) (24 Points)
Replied 18 April 2018

I am reading study material of CA IPCC and there they are not giving 3500 exemption u/s 10(15) they are only providing deduction u/s 80TTA If you want to confirm that then it is latest study material of CA IPCC available on ICAI SITE module 3 chapter 7 question no. 18 pg no. 7.52