Tds on rd

This query is : Open

Querist : Anonymous

Querist : Anonymous (Querist)

24 November 2015 Dear Learned Members, request you to please advise on the below question of mine: I did an RD with SBI and there is a monthly deduction of certain amount from my SB account towards the RD, they have not yet paid the interest as the maturity is in June 2016, but they have deduct the TDS for the year 2015-16. I wanted to know whether the interest not yet earned/credited to my account is eligible for TDS...Pls advise ASAP - Thanks

CA ROHIT JAIN

CA ROHIT JAIN (Expert)
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24 November 2015 TDS is to be deducted at the time of credit or payment, whichever is earlier. The bank has although not paid it to you but has credited the amount of interest in your RD account(not saving), Ask them for a statement of your RD account, it will contain the details of interest credited by bank on your RD.