Clarification on TDS on Interest on Fixed Deposit, Under Section 194A of Income Tax Act, 1961

IT Department has clarified that Interest on FDRs made in name of Registrar General of Court or depositor of fund on directions of Court, will not be subject to TDS till the matter is decided. However, once Court decides ownership of money lying there, provisions of section 194A will apply.

Sources: Manupatra Newsline