05 February 2018
Dear Sir, One of my cousin have invested in RD from 1st april 2015 @ 6000 per month, the tenure of RD is five years...
So my two questions
1. Is there is any exemption available under 80 c for deposits made in RD
2. In which year the interest component will be taxable because if the RD continues for five years, he will get annualised interest @ 8.4 or if breaks in between interest rates will be lower..
So whether interest should be taxable in the year of maturity to know the exact amount of interest for tax payments
Expert :
Anonymous
Expert :
Anonymous
(Expert)
06 February 2018
1. No...
2. When he earn taxable income the RD interest calculatd as Interest Income....
Querist :
Anonymous
Querist :
Anonymous
(Querist)
06 February 2018
so according to you the taxability will be at the time of maturity...
Or i have to calculate interest on due basis yearly and shows in ITR to avoid overall burden in the year of receipt
CAclubindia
