Hi All,
As part of my retirement plan and in order to have adequate cash-flow , I have created few FDs in reputed Banks. I would like to have few tips to manage my interest income without leaving much for Income Tax.
I run a small startup. I would like to know, whether my income from FD interests can be treated as general income and show expenses against that to reduce taxable income ?
Appreciate any tips...
Thanks,
Krish
Interest on Fixed deposit will be part of P/L account, under indirect incomes, and it can not be set off any expenditure.
Hai..
Your Interest income is taxable under the income from other sources. No expenditure can be deducted from it. so it is taxable.
no expenditure is allowed on interest income
Thanks for the answers.....One more followup question...let us say that, the interest income from a single bank branch is less than Rs 1.5 lakhs per annum and there is no TDS deduction at the branch. Can I conseal that income from declaring it in the IT Returns ?
CAclubindia
