POSB Order 02/2020 : Deduction of TDS In Respect Of Cash Withdrawal Above Rs. 1 Crore By An Account Holder Of National Savings Schemes.

TDS @2% will be applicable on all cash withdrawals above Rs. 1 crore taken by an account holder in his/her all type of small savings

schemes Accounts /certificates taken together, from 01.04.2019 onwards.

However,For the current financial year (2019-20) as per clarifrcation issued by CBDT, TDS wiII be deducted on cash withdrawals taken on or after 01.04.2019, even if cash withdrirwais are taken in excess of Rs.1 crore from 01.04.2019 to 31.08.2019

• The TDS @ 2% is to be deducted on all subsequent cash withdrawal (from 01.09.2019) to be taken by a customer who has taken cash withdrawals in excess of Rs.1 crore during 2019-20 in his/her all accounts.