Budget 2019: TDS limit on interest from post office, bank deposits hiked to Rs 40,000

In a major relief to small savers, the TDS threshold on interest on bank and post office deposits has been raised to Rs 40,000 in the Interim Budget for 2019.20.

With an eye on the 2019 parliament and state assembly elections, Maharashtra announced a New Year bonanza on Tuesday: It would implement the 7th Pay Commission's recommendations for all government employees. PTI Photo/ File

NEW DELHI: In a major relief to small savers, the TDS threshold on interest on bank and post office deposits has been raised to Rs 40,000 in the Interim Budget for 2019.20. Presenting the budget, Finance Minister Piyush Goyal announced that the TDS threshold on rental income had been increased from Rs 1.8 lakh to Rs 2.4 lakh. The earlier TDS threshold on the interest on such deposits was Rs 10,000. The proposal will benefit senior citizens and small depositors who depend upon income from interest on deposits in banks and post offices, he said while presenting Budget 2019-20.