Do I need to file Advance Tax?

gotodes · Post by **gotodes** » Sat Apr 03, 2010 3:42 am

Hello,

I have an NRO account in india and have NRO FDs associated with that account. I file taxes in India. However I had a question whether I can avoid filing the advance taxes on the interest income of these FDs since the bank automatically deducts the maximum TDS (of about 30%) on March 31st.

Currently I do file advance taxes in the break down of 30%, 30% and 40%. As far as I know, theres a penalty of 10% or something if you don't file advance taxes. But if the bank is keeping the max cap, then do I need to file the advance taxes? I feel its just a hassle to pay the advance taxes, then apply for a refund later and wanted to see how this can be avoided.

Thank you all in advance for your input on this

dbs · Post by **dbs** » Sat Apr 03, 2010 6:06 pm

My understanding is that when there is TDS then advance tax payment is not necessary. I am no tax expert, so you should get opinion from some one more knowledgable.