City investing company liquidating

The sum invested towards this will be deducted and will not be a part of the taxable income.However, one must note that the interest earned on such term deposits will be taxable based on the tax bracket of the individual.A FD is a type of financial instrument offered by banks and it allows individuals to deposit sums of money for fixed periods of time, like 1 month, 6 months, 1 year, 5 years etc.In general, fixed deposit accounts offer a higher interest rates than savings accounts.

Instead, interest will be paid only upon completion of the fixed deposit tenure along with the principal amount.

There are various types of fixed deposit accounts that are available in India and investors can choose from the wide range of investment options based on personal and financial needs.

This is one of the most common fixed deposit accounts.

An FD account with a higher deposit amount will attract higher fd interest rates and likewise.

The individual can choose to deposit a certain amount of money for a minimum of one month and a maximum of five years.

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A fixed deposit account is provided under either a cumulative or non-cumulative deposit scheme.

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