Earlier
If Interest income was more than 10000,then 10% tds was deducted by banks on FD
Rules were same for all(whether senior citzens or not)
Now
If Interest income was more than 10000,then 10% tds was deducted by banks on FD
However for Senior Citizens
If Interest income was more than 50000,then 10% tds was deducted by banks on FD
Example
FY 2017-18
| PARTICULARS | EARLIER | ||
| FD MADE OF | 100000 | 200000 | 10000000 |
| Interest Earned | 8% | 8% | 8% |
| Interest Income | 8000 | 16000 | 800000 |
| TDS | 0 | 1600 | 80000 |
| Net Interest Income | 8000 | 14400 | 720000 |
FY 2018-19
| PARTICULARS | NOW | ||
| FD MADE OF | 100000 | 200000 | 10000000 |
| Interest Earned | 8% | 8% | 8% |
| Interest Income | 8000 | 16000 | 800000 |
| TDS | 0 | 0 | 80000 |
| Net Interest Income | 8000 | 16000 | 720000 |
