Finance Minister has increased Limit Under Section 80C of the Income Tax Act to Rs. 1.50 Lakh vide Budget 2014 w.e.f. Assessment Year 2015-16 and now CBDT has inconformity with the 80C amendment increased the Limit for Investment in Bank Term Deposit for the Purpose Section 80C to Rs. 1.50 Lakh from earlier limit of Rs. 1 Lakh.
NOTIFICATION NO. 63/2014, Dated: November 13, 2014.
(INCOME‐TAX)
S.O. 2906(E). In exercise of the powers conferred by clause (xxi) of sub-section (2) of section 80C of the Income-tax Act, 1961 (43 of 1961), the Central Government hereby makes the following amendments to the the Bank Term Deposit Scheme, 2006, namely:-
1. (1) This scheme may be called the Bank Term Deposit (Amendment) Scheme, 2014. (2) It shall come into force on the date of its publication in the Official Gazette.
2. In the Bank Term Deposit Scheme, 2006, in para 3, in clause (1), for the words “one lakh rupees” , the words “one hundred and fifty thousand rupees” shall be substituted.
[F.No.142/09/2014-TPL]
(Raman Chopra)
Director (TPL-II)
Note: The principal Scheme was published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (ii),vide number S.O. 1220(E) dated the 28th July, 2006 and subsequently amended by notification number S.O. 2127(E), dated 13th December 2007.
I have deposited 1,50,000 in one deposit in October 2014, before the above notifications.
Do get rebate for full amount or not ?
I have deposited Rs.1.5 Lac (Rs.1.0 lac & Rs.0.5 lac separately) in Tax saver FD before issue of above notification. Is the full amount eligible for rebate u/s 80C? Please advise.
I have invested some amt in 80c scheme for 5 years .Whether the interest earned is taxable?
.
Good information.
Subhash Chandra Podder, FCA
excellent informative article
Sir..
What is meaning by term deposite
The effective date should be from the date of the Finance Act. The notification appears to have been unduly delayed.
Regards.
R Balasubramanian , Chennai-59.
For NRI interest is tax free.
Sir
Is bank term deposit scheam under section 80c beneficial to nri also