accountant
44 Points
Joined August 2009
U/s 194-A of the Income Tax Act, 1961 tax is to be deducted on the total of interest paid by the bank of FDR.
1. If the interest in between 10,000 the tax shall not be deducted, therefore tax shall be deducted on 12,000 @ 10%
2. From the financial year 2009-10 if receipient do not show his pan no. to the bank, then the rate of tax shall be 20%, otherwise 10%.