Filing interest earned with Income Tax

[Guest]

Hi,

I have an ICICI savings bank account and earned an interest of ₹ 153759.00 for FY 2017-2018. When I used ClearTax and input the interest amount, it says Tax due amount is ₹ 48000.00. Is this plausible?

Also, I have a Recurring Deposit. Do I need to declare the interest earned for RD as well while tax filing since RD interest have TDS?

Thanks,

Darin

[DR.MARIAPPAN GOVINDARAJAN]

IN respect of interest on savings bank account exemption is only for ₹ 10,000/-, Therefore interest is payable for the balance interest amount.

In respect of RD interest bank may deduct TDS on interest on accrual basis. If it is deducted in such a way you have to declare the interest on RD and pay the balance amount of tax.

AI Summary

Savings account interest exemption limited; excess interest is taxable, and recurring deposit interest must be declared with TDS adjustments. Interest from savings accounts is taxable except for a exemption up to Rs. 10,000, and any excess must be included in income. Recurring deposit interest is taxable on an accrual basis; banks may deduct TDS, but taxpayers must declare full RD interest and pay any balance tax after accounting for TDS.