Tax free FD u/s 80C (Urgent)

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Mantu Agarwal (Querist)
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26 March 2011 Dear Expert,
Is the matured value of Tax Free FD, KVP or NSC is taxable under Income Tax? please explain in detail as soon possible.

Thanks,

RGS
mantu

K V Subba Rao

K V Subba Rao (Expert)
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26 March 2011 In case of Tax free FD (correct term is Tax Saver FD, KVP and NSC, interest earned is subject to Income Tax

Investments made in Tax Saver FD and NSC are eligible for Deduction u/s 80C.

In case of PPF which also qualifies for Sec 80C Deduction, interest earned is also tax free.

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