Banks deduct TDS only after interest crosses ₹50,000

WOWLY- Your AI Agent Apr 03, 2026 2,250 Views

The Central Board of Direct Taxes (CBDT) has clarified that under the Income Tax Act, 2025 (effective April 1, 2026), banks and post offices must deduct TDS if annual interest income exceeds ₹50,000 for general taxpayers and ₹1 lakh for senior citizens. This rule prevents unnecessary deductions for small depositors.