My grand father recently died. He put my name as a nominee to his bank account. Around one lakh rupees are there in savings account and one lakh rupees FD is there. Still 2 years are there for FD to mature @8.75% interest. Every month interest amount is adding to SB account.
I'm an income tax payer.What are the options in front of me to get that amount. How can I handle that savings account?
As interest rate is higher for FD, is it possible to wait till maturity? Plz clarify.
3 Answers
Hi,
May I know if your grandfather has any other legal-heirs?
Anyone else is going to claim this money?
Kindly note that the Savings account balance and FD (with interest) is a tax-free amount to you.
As a nominee, you have two options. One is to continue the FD till maturity with the same interest rate. Second is to withdraw it immediately. In case of withdrawal, banks will generally not charge any penalty.
Kindly go through this article:
https://www.relakhs.com/nominee-legal-heir-will-importance/
https://www.relakhs.com/gift-income-tax-rules-detailed-guide/
His son i.e My father is there.My grand father can not write any Will.Moreover he doesn’t have any properties on his name.Only fixed deposits are there.
One more point is, as a legal heir you can file the ITR of your grandfather and the interest income can be shown as his taxable income.
Is it possible to file ITR of a dead person by a legal heir?Who will put signature on ITR form?
Hi,
Yes, it is possible.
User should register as a Legal Heir to do e-Filing on behalf of the deceased. Deceased person's PAN and Legal Heir's PAN should be registered in the e-Filing portal. If Deceased person PAN is not registered in the portal then the Legal Heir can register on behalf of the deceased person. This is a new feature provided for Individual user only.
Following are the steps for registration of Legal Heir:
Step 1 − LOGIN to e-Filing application and go to 'My Account' --> Submit Service Request --> Register as Legal Heir.
Step 2 − Provide the necessary details and attach a zip file containing the below documents
1. Copy of the Death Certificate
2. Copy of PAN card of the deceased
3. Self attested PAN card copy and
4. Legal Heir certificate.** or Affidavit in presence of a Notary Public
** Following documents will be accepted as Legal Heir certificate.
1. The legal heir certificate issued by court of law.
2. The legal heir certificate issued by the Local revenue authorities.
3. The certificate of surviving family members issued by the local revenue authorities.
4. The registered will.
5. The Family pension certificate issued by the State/Central government. Step 3 − Click Submit. Step 4 − The request will be sent to the e-Filing Administrator. Step 5 − The e-Filing Administrator will review/verify the request and approve/ not approve as applicable . For more details, kindly visit IT dept's e-Filing portal..
2. Copy of PAN card of the deceased
3. Self attested PAN card copy and
4. Legal Heir certificate.** or Affidavit in presence of a Notary Public
** Following documents will be accepted as Legal Heir certificate.
1. The legal heir certificate issued by court of law.
2. The legal heir certificate issued by the Local revenue authorities.
3. The certificate of surviving family members issued by the local revenue authorities.
4. The registered will.
5. The Family pension certificate issued by the State/Central government. Step 3 − Click Submit. Step 4 − The request will be sent to the e-Filing Administrator. Step 5 − The e-Filing Administrator will review/verify the request and approve/ not approve as applicable . For more details, kindly visit IT dept's e-Filing portal..
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