Dear Sir/Madam,
I made a FD on 29/06/2014 for 1 year which got matured on 29/06/2015.I was in dilema whether to renew it for 1 year.I informed the bank 8 days after the maturity date to mature the FD.Now since the bank waited for 8 days for communication relating to auto-renewal,is bank liable to pay me interest for the additional 8 days and deduct TDS thereon?
Yes, interest will be paid to you for the waiting period also and tds to be deducted thereon. You would see that the renewal date written on your fd would normally be without taking the waiting period into consideration. However , if it is not then you would not get any interest and n9 5ds deduction for the time concerned.
R P S K & Associates
Nashik
CA Inter
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