Tax Saver FD Calculator

A tax-saving FD is a 5-year Fixed Deposit that qualifies for Section 80C deduction, allowing you to save up to ₹1.5 lakh per year from taxable income. It has a mandatory 5-year lock-in with no premature withdrawal.

No. While the principal investment gets an 80C deduction, the interest earned is fully taxable as 'Income from Other Sources.' TDS is deducted if annual interest exceeds ₹40,000 (₹50,000 for senior citizens).

ELSS mutual funds have a shorter lock-in (3 years), potentially higher returns (12-15%), and more favorable tax treatment (LTCG above ₹1 lakh taxed at 10%). FDs offer guaranteed returns and zero risk. Choose based on your risk appetite.