Tax deduction for five-year bank FDs and post office deposits (POTD)
Thursday, November 30, 2017, 12:18 PM
The maximum investment of Rs 1,50,000 per year in five years fixed deposits (FDs) with certain banks is eligible for exemption under section 80C. Similarly, a maximum investment of Rs 1,50,000 in five years post office deposits (POTD qualifies for exemption under Section 80C. However, interest accrued on both the schemes is entirely taxable.