Tax Deduction at Source (TDS) in respect of Mahila Samman Savings Certificate (MSSC) – DOP

Income-tax (Thirteenth Amendment) Rules, 2023 - CBDT

Applicability of Tax Deduction at Source (TDS) in respect of Mahila Samman Savings Certificate (MSSC) – Department of Posts Order dated 31.05.2023

SB Order No. 13 / 2023

No. FS-13/1/2023-FS-DOP
Government of India
Ministry of Communications
Department of Posts
(F.S. Division)

Dak Bhawan, New Delhi — 110001
Dated: 31.05.2023

All Head of Circles / Regions

Subject: Applicability of Tax Deduction at Source (TDS) in respect of Mahila Samman Savings Certificate (MSSC) — Regarding.

Mahila Samman Savings Certificate (MSSC) scheme has been notified as a scheme in which TDS under Section 194A of Income Tax Act, 1961 (43 of 1961) vide Notification No. S.O. 2189(E) dated 16th May 2023 issued by Ministry of Finance, Department of Revenue, Central Board of Direct Taxes. A copy of the notification is attached herewith.

2. Accordingly, TDS deduction under Section 194A (Tax deduction on Interest other than “Interest on securities”) is applicable on the interest income earned through the following schemes notified by Central Government.

(i). Senior Citizens Savings Scheme (SCSS)
(ii). Mahila Samman Savings Certificate (MSSC)

3. Hence, if the aggregate amount of interest credited or paid to the payee in respect of SCSS and MSSC schemes during a Financial Year exceeds the following threshold limit, TDS is required to be deducted.

Payee category Threshold limit in ₹
Senior Citizen
(individual resident in India who is of the age of sixty years or more at any time during the relevant previous year.)
Others 40,000/-


4. This may be circulated to all the Offices for information and wide publicity among the public.

5. This is issued with the approval of competent authority.

Encl: As above.

Yours faithfully

Asst. Director (SB-I)

(Department of Revenue)
New Delhi, the 16th May, 2023

S.O. 2189(E).—In exercise of the powers conferred by sub-clause (c) of clause (i) of sub-section (3) of section 194A of the Income-tax Act, 1961 (43 of 1961), the Central Government hereby notifies that the Scheme. namely the Mahila Samman Savings Certificate, 2023, made in exercise of the powers conferred by section 3A of the Government Savings Promotion Act, 1873 (5 of 1873) and notified vide notification number G.S.R. 237(E) dated the 31st March, 2023 published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i), shall be a Scheme framed for the purposes of said sub-clause.

2. This notification shall come into force from the date of its publication in the Official Gazette.

[Notification No. 27/2023/F. No. 370142/11/2023-TPL]

Source: Department of Posts

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