Friday, 9 October 2015

Update on TDS on RD + Fixed Deposit

Just wanted to share an important announcement that is usually misinterpreted by many of our clients. As per the new Finance bill 2015, effective from 1st June 2015, the interest earnings on Recurring Deposits would also be subject to TDS at the banks. This means that going forward, interest earnings for Fixed Deposit and Recurring Deposit across all the branches of the bank would be subject to TDS beyond the exemption limit. Previously, the exemption limit was made available at branch level but now the rule has been amended.

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