Can I claim deduction on my fixed deposit of 5 years?

Can I claim tax exemption on fixed deposits of five years in any co-operative bank?
- Venkat

You cannot claim a tax deduction on your investments in any fixed deposits with a five-year tenure. You will have to invest in tax saving/saver fixed deposits that come with a five-year tenure to claim a tax deduction under Section 80C of the Income Tax Act. Tax-saving fixed deposits have a lock-in period of five years and they qualify for a tax deduction of up to ₹1.5 lakh under Section 80C.

This article was originally published on February 22, 2018.