Investment in the name of minor

If I open a fd for 5 years in the name of my child who is 14 years old now and at the time of maturity tax liability of interest on fd will be borne by me or child. At the time of fd maturity child will be 18+ age. Please suggest 

Replies (3)
Quick Summary
When you open a Fixed Deposit (FD) or Recurring Deposit (RD) for a minor, the interest accrued annually is typically reflected in your PAN and you will be liable to pay tax on it until the child attains majority. However, if the interest doesn't appear in your Form 26AS, you have the option to declare it at the time of maturity. This applies whether the interest is received annually or at the end of the term.

Interest of FD gets accured annualy, and the same will reflect in your PAN till she attains majority. Till then you will be liable to pay tax over it.

What if interest accrued I get at the time of maturity , and who will be liable to pay taxes on interest accrued at th time of maturity say 4 or 5 years whether it is a fd or rd

Please suggest in both cases fd or rd

 

If the interst doesn't reflect in your Form 26AS, you have option to declare it at the time of maturity,

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