Are you eligible to claim deduction in respect of interest on savings bank accounts?

Q1: Can NRIs claim deduction under Section 80TTA?

A1: Yes, NRIs can also avail a deduction under Section 80TTA.

Q2: Which types of accounts can NRIs open in India?

A2: NRIs are allowed to open only NRE and NRO accounts in India.

Q3: Which accounts qualify for the deduction under section 80TTA?

A3: The deduction under section 80TTA can be claimed for interest earned on savings accounts held with a bank, co-operative bank or a post office.

Q4: What is the maximum deduction allowed under Section 80TTA?

A4: Section 80TTA provides a deduction up to Rs. 10,000 in aggregate to an individual or a Hindu undivided family.

Q5: Are there any exemptions for interest earned on NRE accounts?

A5: Interest earned on NRE accounts is exempted from tax under the Income Tax Act, so there is no need to claim deduction u/s 80TTA for such interest.