Tds

This query is : Resolved

Debashis Mandal (Querist)
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18 October 2011 Respected Experts
If an Account holder of any Bank has got some interest income from that Bank FDs which attract TDS, but if the Person is submitting a Form 15G then that TDS will not be deducted.
But is there any Provision under Income Tax Act that if the said interest income exceeds Rs50000 then whether the Assessee is submitting Form 15G or not that does not make any difference, but the bank will deduct TDS.
Again is there any provision that if the said interest income from that particular Bank branch exceeds maximum exemption limit of an individual under income tax act then whether form 15 G has been submitted or not TDS will automatically be deducted out of that interest income.
Pls clarify
Thanks
Debashis Mandal

CA VISHAL RANA,CS,B.Com,AMFI

CA VISHAL RANA,CS,B.Com,AMFI (Expert)
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18 October 2011 FORM 15G DECLARATION BY ASSESSE "MY INCOME IS NOT LIABLE TO TAX BECAUSE INTEREST FROM FD LESS THAN MAXIMUM EXEMPTION SLAB"...SO BANK NOT REQUIRED TO DEDUCT TDS IF INTEREST EXCEEDS 50000...BUT IF INCOME MORE THAN EXEMPTION SLAB THEN DECLRATION BY ASSESSE TREATED AS VOID....BANK MAY BE DEDUCT TDS OR NOT ...BECAUSE BANK DEFEND HIMSELF BY DECLARATION FILEED BY THE ASSESSE..IT IS NOT OBLIGATION ON BANK...BANK MAY DEDUCT TDS ON SUO MOTO