I am holding debenture of PFC (BSE: 7PFCL31). I received annual interest on 22nd Jan 2024 but received only 90% of actual interest.
Is the deduction of 10% is TDS or any other charges. If it is deduction, then will it be shown in Income Tax AIS. I have 2 demat, and in both accounts, 10% less interest is received. Kindly clarify if anyone has any idea on it.
The deduction of 10% from your interest payment is likely TDS (Tax Deducted at Source). TDS under Sec 193 of the Income Tax Act, 1961 (Amended as per Finance Act, 2023 w.e.f 01/04/2023) – Applicable to Interest paid on Listed Debentures.
The deducted amount should be reflected in your Form 26AS, which is a consolidated statement of all the taxes deducted from your income. You can access this form online through the Income Tax Department’s website.
If you have multiple demat accounts, it is possible that the TDS has been deducted separately for each account. You can check the Form 26AS for each account to verify this.
yes, it is TDS. TDS of 10% is deducted if interest income is greater than 5K (same logic for dividend). Yes it will appear in in AIS. Generally company also sends form 16 to registered mail id in next quarter
TDS is not yet shown under AIS. Also, I have received Interest of Rs. 12,565 on 24th Jan from G-Sec, there full interest was received and no TDS was deducted. Are they exempted?
TDS filing is not real time. It takes time to update AIS / Form 16.
Generally happens at end of quarter or early next quarter.
yes Gsec are exempted from TDS. Some perks of lending money to govt 