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<h1>TDS Guidelines for 8% Savings Bonds: Interest Over 10,000 Rupees Subject to Deduction from June 1, 2007.</h1> The circular addresses the application of Tax Deduction at Source (TDS) on 8% Savings (Taxable) Bonds, 2003, effective from June 1, 2007. TDS applies to interest exceeding 10,000 rupees per financial year, regardless of the bond purchase date. TDS rates vary by recipient type and residency status. Forms 15G and 15H can exempt eligible individuals from TDS under specific conditions. For cumulative investments, TDS is based on annual interest accruals. Charitable institutions require an exemption certificate for TDS relief. The circular advises banks to apply these clarifications and issue instructions to relevant branches.