Deduction on interest earned from savings bank accounts with banks, co-operative societies, or post offices. Fixed deposits and recurring deposits are NOT eligible.
Eligible Interest
- Savings account with any bank
- Savings account with a co-operative society engaged in banking
- Savings account with post office
NOT Eligible
- Fixed Deposits (FDs)
- Recurring Deposits (RDs)
- Any other time deposits or term deposits
This guide reflects FY 2025-26 (AY 2026-27) and is for general information. Tax rules and limits change, and how they apply depends on your circumstances. It is not professional tax advice; consult a qualified Chartered Accountant before acting.
