Current Affairs · Taxation
Under the current Tax Deducted at Source (TDS) regime in India, concerning the payment of interest on deposits other than interest on securities, what is the mandatory action required by a bank when a non-senior citizen customer receives a total interest income of 48,000 in a financial year but fails to furnish a valid PAN?
- 1Deduct TDS at the rate of 5 percent under the small depositor scheme
- 2No TDS deduction is required as the amount is below 50,000
- 3Deduct TDS at the rate of 20 percent as per Section 206AA✓
- 4Deduct TDS at the rate of 10 percent as per Section 194A
Correct answer
Deduct TDS at the rate of 20 percent as per Section 206AA
Download Single Question PDF
Save this question and verified answer as a clean study sheet with live clickable link.
Share with Friends & Study Groups
Challenge your peer aspirants on WhatsApp or Telegram to solve this question!
Preparing for Current Affairs?
Practice full-length Current Affairs mock tests with real exam timers, instant score analysis, and all-India ranking.
Want more practice questions on Taxation?
Solve complete topic-wise tests with detailed solutions on GkGet.
Related Practice Questions
Recommended practice questions in Current Affairs · Taxation