Is it NRE Bank Interest taxable for Resident Individual ?
UTUBE TV (14 Points)
06 July 2022
JJJ
(Need help)
(673 Points)
Replied 06 July 2022
A resident is not supposed to have an NRE account.
In any event, all Bank interest is taxable for everyone, whether they are resident or not. The difference is that the banks are required to deduct TDS for interest paid to the non-resident, whereas there is no deduction for residents.
At the end of the year, it will make no difference in the tax calculation.
CA Puja Sharma
(Chartered Accountant)
(4972 Points)
Replied 06 July 2022
If the individual is Non-Resident, then interest accrued on the NRE account is exempt.
JJJ
(Need help)
(673 Points)
Replied 06 July 2022
Originally posted by : CA Puja Sharma | ||
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If the individual is Non-Resident, then interest accrued on the NRE account is exempt. | ![]() |
Agreed! But first they need to decide if they are resident or not!
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