Income Tax

Income tax provisions relevant to banking, savings, and investment.

Articles

Income Tax on Bank Deposits: TDS, Form 15G/15H, and Section 80C

Interest income from bank deposits is taxable, and banks deduct TDS above a threshold. Here is how to manage that, and how tax-saving deposits fit under Section 80C.

26 Jun 2026 · 2 min read

Frequently Asked Questions

No — TDS is only a deduction at source against your eventual tax liability. You still need to report total interest income in your income tax return and settle any additional tax due, or claim a refund if TDS deducted exceeds your actual liability.

No — Form 15G/15H can only be submitted by depositors whose estimated total income for the year is below the taxable threshold; submitting it when not eligible can attract penal consequences.