INCOME TAX6 Sept 2026
Think your salary TDS covers everything? How a ₹15-lakh FD can trigger advance tax penalties on September 15
Many salaried people assume Form 16 settles all tax, but FD interest can leave extra dues. Bank deducts 10% TDS on interest; if you're in the 30% slab, a ₹15-lakh FD at 7% leaves ₹22,260 payable. Advance tax rules require 45% of that by September 15. Miss it, and Section 234C adds 1% interest for three months — paying in March won't remove it.
Key Statutory Highlights
- Your employer’s TDS covers only salary; other earnings like FD interest are not covered.
- On a ₹15-lakh FD at 7%, the bank cuts 10% TDS, but a 30%-slab taxpayer still owes ₹22,260.
- If net tax payable exceeds ₹10,000, pay 45% of the remaining amount by September 15 or Section 234C interest applies.
Actionable Advice for Taxpayers / Founders:Check all non-salary income and TDS; if more than ₹10,000 tax is still owed, pay 45% of the balance before September 15.
Statutory Disclaimer: TaxQue Shorts are AI-assisted editorial briefs for compliance awareness. This brief has not passed every source check; confirm the original notification before acting. This does not constitute formal legal or CA counsel.
TaxQue News Desk
Share: