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Income tax query regarding interest on nsc

Amolsaharan (CA Practice ) (67 Points)

30 October 2012

A client didn't show accumulated interest on NSC in past years. now NSC has been matured.can he show interest income in ITR. IS he can be held for income concealment?

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3 Replies

@VaibhavJ (Believe!! Live your dreams!) (33516 Points)
Replied 30 October 2012

Hi,

If he has showned Investment in NSC then its deemed that Interest Income is accrued on it.

He can not be held for concealment however for short payment of TDS he will be penalised.

Rgds//Vaibhav

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Amolsaharan (CA Practice ) (67 Points)
Replied 30 October 2012

sir tds? is he liable to pay tds? I want to explain the issue once again. I have bought nsc 5 years ago. and didn't show the accrued interest in the previous itr's. now nsc has been matured. and accrued interest along with principal recieved. what will be the tax treatment in my ITR of this year

Amolsaharan (CA Practice ) (67 Points)
Replied 30 October 2012

thanks a lot sir..as client havn't shown the interest income in the previous years. now how many option is left for the client. if he shows the interest income in the current year. how many penalty will he face.