What is the default TDS rate on FD Interest for NRIs?

The default rate is 30%. This is what your bank or AMC deducts if you haven't claimed DTAA benefits. With DTAA, this can drop to 7.5-15% depending on your country.

How much can I save on FD Interest?

Typical savings range: ₹5,000 - ₹60,000/year. The exact amount depends on your country's DTAA rate and your investment size.

Income type guide

Fixed Deposit Interest TDS

Banks deduct 30% TDS on FD interest for NRIs. DTAA rates range from 7.5% to 15% depending on your country — saving you 15-22.5% on every rupee of interest earned.

How it works

What happens to your fd interest as an NRI

When an NRI earns interest on Fixed Deposits in India, the bank is required to deduct TDS at 30% (plus cess) under Section 195 before crediting the interest. This is much higher than the 10% deducted for resident Indians.

30%

Default TDS rate

Varies

DTAA rate by country

FD Interest rates by country

What each country's treaty says

Sorted by savings potential. 30 countries with a DTAA benefit, 0 with the same rate.

Nigeria

Article 11 — one of the BEST interest rates among all DTAAs

Default → DTAA

30%→7.5%

Save 22.5%

Oman

Article 11 — BETTER than UAE's 12.5%!

Default → DTAA

30%→10%

Fixed Deposit Interest TDS

What happens to your fd interest as an NRI

What each country's treaty says

Overpaying on fd interest?