is post office rd taxable?
Hi,
I personally have a post office RD so I can tell you that the money you put in a Post Office RD (Recurring Deposit) is not taxable, but the interest you earn on it is taxable. For example, when my RD matured, I received the full amount I deposited plus the interest. The deposited money was tax-free because it was just my own savings, but the interest part was added to my income, and I had to pay tax on it based on my income tax slab. So, the RD amount is not taxable only the interest you earn from it is taxable.