Dear Mr Shreekanth
I aged 70 years had fixed deposits amounting to approx 10 lakh jointly with my elder sister aged around 83 years. These fixed deposits has FIRST NAME of my my sister and second name of mine. During end of April 2016 my sister died and the banks credited the entire fixed deposit amounts to the saving bank account jointly held with we both, on my request.
Later the entire amount from the joint account of my sister & me was transferred to my individual saving bank account. My specific question is that whether the entire fixed deposit amount which was credited to my account, me being 2nd depositer, will be treated as my income as far as the income tax rules are concerned ??
As per my understanding the said credited amount is not my income as I was a joint depositer at tthe time of opening of these fixed deposits. I know that now on wards I will account the interest which will accrue over this amount, to calculate income tax. Please reply
1 Answers
Dear Sir,
The interest income accrued on Joint deposits can be borne by both the holders. As your sister is no more, her legal heirs (or you) can file her ITR (tax filing for the deceased) and can include this income in her tax return.
Do you mean to say that the entire 'source of funding' to deposit account is from her income only? Does she has legal heirs?
Did bank deduct any TDS? If yes, on whose name the TDS certificates have been issued?
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