I have a post office recurring deposit for the last four years. It will mature in March 2017. What will be the tax implication on it?
The income you earn by way of interest on the recurring deposit is added to your other income, if any, and taxed as per the slab system. No TDS is deducted for interest income upto Rs 10,000 in a financial year. Over and above this limit, TDS will be deducted on the interest earned at the rate of 10%.