Jan 20, 2023
Banks to report all interest income paid to account holders
Banks and post offices will now have to report all the amounts paid as interest to depositors as part of the move towards pre-filled income tax forms. The income tax department has abolished the threshold of Rs 5,000 above which any interest paid to a depositor had to be earlier reported.
In a recent notification, the Central Board of Direct Taxes has said that banks will have to report “any interest income exceeding Rs zero” for all account and deposit holders in a financial year excluding Jan Dhan Accounts. The notification is effective January 5.