Clarification from CBDT regarding Interest received on Term Deposits

[Srivatsan Krishnamachari]

Dear Learned Friends, It is reported in News Papers yesterday that as per the clarification from CBDT, the Tax Payer should revise by March 31st their IT Returns for AY:2014-15 &2015-16 to reflect interest received on term deposits. What is the position if the Assessee's Taxable Income after the allowed deductions taken to account is less than the Taxable limit though such persons received interest on term deposits with banks wherein the Tax was deducted at source and duly remitted to the Department and how about the cases where the returns for AY:2014-15 & 15-16 have already been processed and refunds have already been received. The main point I request for clarification is the 'Income' whether total income or Income which is taxable arrived at after giving effect to all permissible deductions.

Thank You,

With Regards,

K.Srivatsan

AI Summary

CBDT Clarifies Revising Tax Returns for 2014-15, 2015-16 to Include Term Deposit Interest; Compliance Emphasized A discussion on a forum addresses a clarification from the Central Board of Direct Taxes (CBDT) regarding the need to revise income tax returns for the assessment years 2014-15 and 2015-16 to include interest from term deposits. A participant queries whether individuals with taxable income below the threshold, after deductions, need to revise returns if tax has already been deducted at source. A respondent emphasizes the importance of disclosing all income, even if exempt, and suggests compliance if the scheme allows for revising returns. Another participant notes that exempt income need not be shown unless queried by authorities.