business
Hidden tax benefits of a savings account
Jul 29, 05:07

Tax-payers under 60 years can claim deduction of up to Rs 10,000 under section 80TTA on interest earned on savings account deposits with banks and post offices. This tax concession is not applicable to fixed deposits. Many tax-payers forget to avail of this tax break while submitting investment declarations to their employers. If you are guilty of this omission, ensure that you declare your savings interest under ‘Income from other sources' in your income tax return forms before claiming the deduction. Tax-payers over the age of 60 are eligible for tax benefits of up to Rs 50,000 on interest earned on savings as well as fixed deposits with banks or post offices.

Savings, FD tax benefits