income tax

This query is : Resolved

Rajesh Chopra (Querist)
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05 October 2010 Dear Sir,

If TDS on my Bank fixed deposit is getting dedected @ 10%.

Then at the time of filing return do I have to pay further tax on interest earned on Fixed deposits as my taxable income comes under 30% tax bracket. Is it that 10% paid is final.

Pls explain the correct process

Aditya Maheshwari

Aditya Maheshwari (Expert)
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05 October 2010 Interest on FD taxable at slab rates applicable and not special rates. If ur slab rate is 30% then 30% tax payable.

TDS deducted will be set off against your tax liability.

Murtaza I Bhagat

Murtaza I Bhagat (Expert)
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06 October 2010 Bank has deducted TDS (IT) as per TDS rules..but about you,you have to follow whole IT rules.as per you ask you are in 30% bracket of tax so you have to pay excess of tds deduction but as per adityaji says.ex.suppose 30tax-10tds=20to pay. you have to pay excess.. in may cases people who are not in taxable bracket they received that tds deduciton amount of some of it after calculation..taken back as refund.
so if bank has deducted tds that not means you don't need to pay tax or calculate that income in your other incomes...

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