Interest on fixed deposit

Page no : 2

CA Neelesh Sharma (2) (69 Points)
Replied 06 July 2012

yes it must be taxable under the head "INCOME FROM OTHER SOURCES"

Lohith H P (Student) (45 Points)
Replied 06 July 2012

Yes, it is Taxable uner Income from Other sources.

Neel Patel (Account Person) (26 Points)
Replied 10 September 2012

Yes, interest earned on fixed deposit is taxable, after Rs. 10,000 of interest accrued per annum. Bank will deduct tds on it @ 10% provided you have given PAN number. It may be a good time to open a fixed deposit and lock in at high levels before the interest rate cycle.

Rajan (Senior Executive) (21 Points)
Replied 19 October 2012

Can i appoint multiple nominees against 1 FD ?

Kamlesh (Article Assistant) (137 Points)
Replied 19 October 2012

So if I have 190000 tution income, and 9500 interest on s.b. a/c,so total income 199500,no deduction of tds,no pf,no lic, so i m not liable to pay tax on 9500?

Manvi Mehrotra (CA Practice ) (35 Points)
Replied 20 October 2012

The interest income earned through fixed deposit is taxable, if the interest amount exceeds Rs 10,000, in any financial year. This income is added to your total income under Income from other sources and then taxed as per the income slab. A very important point to note is that the interest income from fixed deposits are taxed on accrual basis and not when actually received. This means that the tax on interest income earned at the end of financial year have to be paid even if the interest is credited at a later yea

Neel Patel (Account Person) (26 Points)
Replied 18 December 2012

The interest earned on your FD is fully taxable. If the interest amount exceeds Rs 10,000 in a year, the bank or corporate house will deduct 10.3% tax at source before you get the amount. When you invest in a bank fixed deposit, you can easily get a loan against it without having to break it. This is similar to a personal loan.

Narendra Pratap (Financial Adviser) (27 Points)
Replied 29 May 2014

I think Yes, It is under Taxed through Income from Other sources.

Also

I think BankBazaar have done pretty good job by creating a tool for Calculating Fixed Deposit which include Initial Investment, Interest Rate and Duration of investment. One can check it on website.

Just for Knowledge. Hope this helps in better way.