Thanks. This is my exact question, just trying to understand this with an example. Say an fd of 100000 @ 10% interest for a year. Now after Q2, a TDS of Rs. 1000 was deducted. Then instead of the maturity value of Rs. 110000 as mentioned on the fd certificate, the maturity value will be 110000-1000(TDS)-Interest amount on 1000 for 2 quarters? Is this correct?
And do banks mention, maybe on the fd statements or somehwere else, how much is the loss in fd interest % due to the fact that interest was not given on the TDS amount? Like the original fd was @ 8% intrerest, after tds deduction, how much was the actual interest rate?
Also from this financial year onwards what is the interest limit for seniors and non senior citizens on which no tds is deducted?