Question

How is the income tax calculation on bank saving account interest earned

Answer 1

Explanation:

Banks are required to deduct tax when interest income from deposits held in all the bank branches put together is more than Rs.40,000 in a year (Prior to FY 2019-20, it was Rs.10,000). A 10% TDS is deducted if PAN details are available. It is 20% if the bank does not have your PAN details.

Answer 2

Explanation:

banks are required to deduct tax when interest income from deposits helps in all the bank branches put together is more than Rs 40000 in a year prior to to f y 2019-20 it was Rs 1000