RD

POSTED BY Finance Student ON April 30, 2013 12:04 pm ONE COMMENT

Please help me.

1. I have a RD of 5 years 1000rs/month. The total amount, including Interest, I will get, do I need to pay Tax on whole amount?

2. I had an ULIP of 5Yrs payment schedule. I stopped that after 2yrs of payment. They told I will get the money after 5 yrs which would be around 60% of what I paid approx. So do I need to pay TAX on that received money? NOTE : I didnot mention that ULIP in 80c in those two respective FYs.

One reply on this article “RD”

  1. Dear Finance Student, I’m trying to answer your queries.

    1. Only the interest part is taxable. For example against the basic investment of 60000 Rs. (1000*60 month), if the maturity amount is 90000 Rs. the interest part of 30000 Rs. is taxable. It ‘ll be added into your income from all other sources & ‘ll be taxed at your slab rate.

    2. The surrender amount is tax free to you.

    Thanks

    Ashal

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