Tax on accrued fd interest

Even in the case of Cumulative interest fixed deposits, Bank has to deduct TDS every year for interest accrued for that particular year, if 15G/H not submitted & interest crossed Rs.10000. We do likewise in our Allahabad Bank. Only incase of some investments like NSC's, there is an option to investor either to declare interest accrued every year or Whole at maturity at their choice. Do confirm!

Thank you Prem.

I am certain SBI did not report interest or deduct tax. This is their explanation:

"We understand from your email that you wanted to know why Tax is not deducted on Accrued Interest. We have to advise that Bank from time to time take out circular instruction based on RBI directive wherein it is clarified about deduction of Tax on Interest earned by Non Resident would be done only at the time of payment thereof in Cash/ cheque/ draft /any other mode. Hence, Tax on Accrued Interest is not deducted.

 

When to deduct Tax:-

a. In case of Interest payable to non-residents, deduction of tax shall be made

only at the time of payment thereof in cash/cheque/draft/any other mode."

 

My question is, how do I indicate in my IT return that two-third of the interest income has already been reported in previous years? My tax liablity will be substantially higher this year if all the interest is treated as income of current year.

Thanks.