RBI releases Bhaskar panel report draft

 

 

 

 

RBI released a draft paper of the committee on financial benchmarks. RBI had announced constitution of a committee under Vijaya Bhaskar in June to study issues relating to financial benchmarks and submit the report by December 31. While the existing system was found generally satisfactory, the report recommends several measures to strengthen the benchmark quality, setting methodology and governance framework. "In line with the international move towards greater regulatory oversight of the benchmark setting process, the report reviews the existing regulatory powers of RBI over the financial benchmarks and recommends suitable amendments of the RBI Act," the banking regulator said in a press release on its website. RBI has invited public comments on the draft report.

 

 

Tax implications of various Bank Deposit products

The tax season is on. You must have invested in various bank deposits. What is the tax implicaitons of various bank deposit products ?

In Banks you will normally have Savings Bank Account, Current Account, Sweep Account, Recurring Account, Fixed Deposits, Cumulative Deposits. Let us know the tax implications one by one.

Savings Bank Account: Banks do not deduct any tax on the interest earned by you on your Savings Bank account balance. But the interest earned is Taxable. Its your responsibility to add it to your total income and pay tax accordingly. But the good thing is that if you are individual or HUF you can get tax exemption of Rs.10000 under Section 80 TTA on your interest earned on SB deposits.