Special Festive Offer: 15% OFF Across All CCI Pro Membership Plans. Subscribe Now!

TDS on FD for Senior Citizen

481 views

Save Share

Join Us Follow Us Add as Source

Sambaji Deshmukh

Retired

21 Points Posted on 03 November 2023

Sir

My name is Sambaji and I am 65 yrs old.

I received an amount of Rs 653,000 from sale of my car.

I want to make a FD in HDFC bank which will give me a interest rate of 7.55% PA

Now I calculated that my total interest will be Rs 49,301.5
I am confused as the HDFC Bank says that I will be charged TDS on amount of Rs 40,000 even though I told him I am a senior citizen.

Is there any change in TDS law to this effect.

Please clarify

Sambaji Deshmukh
Thanne

Replies (3)

Quick Summary

This discussion addresses concerns about Tax Deducted at Source (TDS) on Fixed Deposits (FDs) for senior citizens. A 65-year-old individual received funds from a car sale and planned to open an FD, but was informed of TDS on a portion of the interest. The advice provided clarifies that if a senior citizen's annual income is below Rs 5 lakh, they can submit Form 15H with their FD application to avoid TDS. If TDS is still deducted, it can be claimed back by filing an Income Tax Return (ITR).

Puspendu

Accounts Assiatant

26 Points Posted on 03 November 2023

Don't worry, if your annual income is less than rs 5 lakh then file 15H form along with Fd opening application form, still if they deduct tax then claim the refund by filing itr. for help without any hesitation u can call or whats app me