I'm not a resident of India but my bank has deducted TDS for interest I received from savings A/C. Is this OK?

I'm not a resident of India but my bank has deducted TDS for interest I received from savings A/C. Is this acceptable?

Basically I do NOT have any income whatsoever in India, so I do not fall in any tax bracket. Should the bank still deduct taxes in the form of TDS?

From my understanding bank TDS is a form of income tax and there should not be any income tax up to Rs 1,50,000

If this is an error with the bank, then how can I get the TDS money back?

Experts please advise.

As per Tax Deduction Rules in India, Bank will deduct TDS on credit or payment (whichever is earlier) of Interest to a particular Customer. No deduction of TDS limit is Rs. 10,000/= only for Bank Interest per financial year. After that Bank have to deduct TDS as per rate of TDS for Interest.

If any customer does not fall under the tax liability, they can claim for tax refund to the Income Tax Department by filing their Income Tax Return as per prescribed Return Form stating all TDS deducted by the Deductors.

Otherwise there is another option for filing Form 15H to the Deductor, stating that your income is not upto the taxable income. But this Form you have to submit before deduction of TDS.

Once TDS deducted, then there is only option to get back it, by filing your Income Tax Return to the Income Tax Department.

I think your bank A/c is a NRO savings account for which TDS is applicable from Zero,you have to file your incometax return and claim refund.I think the limit of Rs 10000/- free from TDS is not applicable for NRIs.

If you are not a resident of India, you should not be having a savings bank a/c. You should convert that to an NRI a/c.

But if your stay overseas is temporary and short, you cannot claim NRI status.

As long as it is a savings a/c, TDS will be applied.

TDS is to be deducted
but now u have to file the IT return to get back the TDS