Tax on term deposit interest

I want take loan against term deposit for a short period. Interest payable on such loan 1% above rate of interest paid to me. My question is whether this amount of interest on loan paid by me can be be deducted from the interest on term deposit received by me during that particular financial year. 
e.g Interest received is 1,00,000/- during the financial year & interest paid on loan is 10,000/-
So, whether I will have to pay tax on 1,00,000/- or 90,000/-
Asked 4 months ago in Income Tax from Nashik, Maharashtra
Dear Sir,

You have to pay tax on INR 100000
Abhishek Dugar
CA, Mumbai
773 Answers
5.0 on 5.0
  Talk to Abhishek Dugar
Hello Sir,

Depends if you are filing Business Returns or Salaried. If it is Business return then you can if it is Salaried then you cannot claim the interest outgo.

Trust this clarifies your query. 

Feel free to call back/ get back in case of further clarifications. 

Thanking You. 

Regards,
Rohit R Sharma
BCOM, ACA, LLB-GEN, CERT. FAFP.
Rohit R Sharma
CA, Mumbai
719 Answers
5.0 on 5.0
  Talk to Rohit R Sharma
no
Anuj Agarwal
CA, Aligarh
34 Answers
4.6 on 5.0
  Talk to Anuj Agarwal

Ask a Question

Get tax advice from top-rated chartered accountants. It's quick, easy, and anonymous!
Ask a question

Other Questions

Chartered Accountants

Abhishek Dugar
CA, Mumbai
773 Answers
5.0 on 5.0
Shyam Sunder Modani
CA, Hyderabad
955 Answers
4.9 on 5.0
Rohit R Sharma
CA, Mumbai
719 Answers
5.0 on 5.0
Vishakha Agarwal
CA, Bangalore
213 Answers
5.0 on 5.0
Shiv Kumar Agarwal
CA, Delhi
197 Answers
5.0 on 5.0
Lalit Bansal
CA, New Delhi
76 Answers
5.0 on 5.0
Vishrut Rajesh Shah
CA, Ahmedabad
194 Answers
4.9 on 5.0
B Vijaya Kumar
CA, Hyderabad
290 Answers
5.0 on 5.0
Ria Nagpal
CA, Ahmedabad
28 Answers
5.0 on 5.0
Bhagyashree Kankaria
CA, Pune
26 Answers
5.0 on 5.0