Multiple choice general knowledge

Tax deducted at Source. It is deducted by the banks if the interest earned on your FD exceeds Rs in a financial year

  1. 20000

  2. 10000

  3. 30000

  4. none of the above
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

TDS (Tax Deducted at Source) is deducted by banks on interest earned from Fixed Deposits if it exceeds Rs. 10,000 in a financial year. This threshold was introduced to tax interest income at source for small investors, making option B correct.

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