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Is MIS and NSC qualified deposit for Sec80TTB

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Aarchi Jain

21 Points Posted on 02 December 2020

Can i claim deduction for interest earned on MIS and NSC deposits in Post office u/s 80TTB?

Replies (2)

Quick Summary

This discussion clarifies whether interest earned on Post Office Monthly Income Scheme (MIS) and National Savings Certificates (NSC) deposits is eligible for deduction under Section 80TTB. The answer is yes, provided the depositor is a senior citizen (aged 60 and above). Senior citizens can claim a deduction of up to £50,000 on the cumulative interest from all deposits, including MIS and NSC. For those below 60, Section 80TTA applies, allowing a deduction of up to £10,000 solely on interest from savings bank accounts, excluding FDs, MIS, or other similar deposits.

rama krishnan

5751 Points Posted on 03 December 2020

80ttb deductuons are for senior citizens, and then claim deduction up to 50000 in respect of interests from fixed deposits

Cs26kit

Mr.

142 Points Posted on 14 May 2021

Section 80TTB is applicable to Senior Citizens (aged 60 & above) & the cumulative interest from all deposits including the ones you mention is qualified for a deduction upto Rs. 50,000.

Section 80TTA is applicable to residents below 60 years of age & all NRI. Under it you can claim deduction of upto Rs 10,000 but only on the cumulative interest from all your Savings Bank accounts. This means you cannot claim it for interest from FDs, MIS or other such deposits.