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Treatment of fd interest

778 views 2 replies

 

What is the treatment of interest on FD While Making BAL Sht under provision of Sec 44 AB???
Case 1. When FD mature in Current Year.
Case 2. When FD mature in any Next Year.
 
IS propotionate Interest is required to calculate.
or full amount of interest will be treated as income in year of maturity??
 
Replies (2)

Interest accrued till the date of B/S but not due will be considered as income for that F.Y. & charged to tax accordingly.

Assesses following cash sytem need to show interest income fully in the year of maturity.

What giridhar Said is absolutely correct.......


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