Tds on interest on fixed deposit.

prasad Nilugal

GST Practitioner & Accounts

15093 Points Posted on 04 July 2022

Interest on F.D up to 40000/- is exempt from TDS as per section 194A of the Income tax act 1961.

Eswar Reddy S

CFO- at NHTF

58280 Points Posted on 04 July 2022

No tds till the interest is upto 5000/-

However you may submit form 15G/ 15H for non deduction of tds upto Basic exemption limit under income tax act 2.5lacs/5lacs

prasad Nilugal

GST Practitioner & Accounts

15093 Points Posted on 04 July 2022

As per section 194 A , Interest from Bank Co-Op Society, Post office limit is 40000/( Forty thousand) in Other cases limit is 5000/- (Five thousand) . please refer section 194 A .

Eswar Reddy S

CFO- at NHTF

58280 Points Posted on 04 July 2022

@ Prajakta,

How much is your GTI ?

CA Rashmi Gandhi

Chartered Accountant

86505 Points Posted on 04 July 2022

No tax is required to be deducted if aggregate amount of interest credited or paid to the payee in respect of time deposit during the financial year doesn’t exceed 40,000 (in case of senior citizen limit is 50,000)

Mahesh Shah

2478 Points Posted on 04 July 2022

As per your first qs...income on fd will become taxable if it crosses amounts as per income tax act for different age catagory....age below 60,....60 and above.....80 and above......(income limits,)