Documents Required for Tax-Saver FDs

Posted on Monday, January 27th, 2025 | By IndusInd Bank

Do you want to save on taxes and, at the same time, earn higher returns with zero risk? A tax-saver Fixed Deposit (FD) offers an excellent way to achieve both goals. However, before you can start investing, it’s important to have the right documents ready. 

From identity proof to address verification, being prepared with the right paperwork speeds up the process and ensures your FD investments comply with all regulations.

Get all the insights below!

What is a Tax-Saver Fixed Deposit?

A tax-saver FD is a special category of fixed deposits offered by banks. The interest earned on this type of FD is taxable, but the principal invested qualifies for a deduction under Section 80C of the Income Tax Act, 1961.

Key features of a tax-saver FD include:

Note: As per the regulations, auto-renewal is not permitted for tax-saver FDs.

Documents Required for Tax-Saver FD

To open a tax-saver FD, you need to provide certain documents as part of the Know Your Customer (KYC) process. The two most essential documents are:

1. PAN Card

A Permanent Account Number (PAN) card is a mandatory requirement for most financial transactions in India, and opening a tax-saver FD is no exception. This alphanumeric number, issued by the Income Tax Department, helps the government track your tax liabilities and financial activities. 

2. Aadhaar Card

The Aadhaar card, issued by the Unique Identification Authority of India (UIDAI), is another critical document for opening a tax-saver FD. It contains your biometric and demographic data and serves as proof of both identity and address. 

Other Acceptable Identity and Address Proof

Apart from the Aadhaar card, the following documents qualify as Officially Valid Documents (OVD) for verifying your identity and address:

• Passport
• Driving licence
• Voter’s identity card issued by the Election Commission of India
• Job card issued by NREGA and signed by a state government officer
• Letter from the National Population Register 

Also Read: Comprehensive Guide On How To Calculate Fixed Deposit Interest Rates

How to Open a Tax-Saver FD with IndusInd Bank? 4 Easy Steps

IndusInd Bank offers multiple ways to book a tax-saver FD online. You can do it through the IndusMobile App, IndusNet banking portal, and web application. The steps for each are: 

Web Application (Open to both IndusInd and Non-IndusInd Customers)

Step 1: Verify your PAN and Aadhaar details for authentication.

Step 2: Provide your personal and FD-specific details.

Step 3: Complete the mandatory video-KYC process.

Step 4: Fund your FD via the available payment methods.

IndusMobile App (Exclusive to Current IndusInd Customers)

Step 1: Log in with your mobile banking credentials and select the deposit option.

Step 2: Choose ‘Create Fixed Deposit’ and accurately fill out the form.

Step 3: Decide on the sum to transfer to your FD from your savings account.

IndusNet Banking Portal (Exclusive to Current IndusInd Customers)

Step 1: Navigate to the deposit section of your online banking interface.

Step 2: Select ‘Open FD’ and enter all necessary details.

Step 3: Enter the amount you want to transfer from your savings to your FD.

As you can see, booking an IndusInd Bank Fixed Deposit is quick and hassle-free, with a 100% digital process—no physical paperwork or bank visits required. Moreover, you earn best-in-class interest rates that help maximise the growth of your hard-earned savings.

You can also use the FD calculator available on the bank’s website to estimate your future returns and plan your investments better.

Key Takeaways

Tax-saver FDs offer a secure and efficient way to save on taxes and accumulate wealth over the long term. The two critical documents required for opening this type of FD are your PAN card and Aadhaar card. Other acceptable documents include a passport, voter’s ID, driving licence, job card issued by NREGA, and letter from the National Population Register. 

Ready to book a tax-saver FD? Consider the IndusInd Bank Fixed Deposit to enjoy an attractive FD interest rate, along with the convenience of a 100% digital, hassle-free booking process.

Apply now!

Disclaimer: The information provided in this article is generic in nature and for informational purposes only. It is not a substitute for specific advice in your own circumstances. Hence, you are advised to consult your financial advisor before making any financial decision. IndusInd Bank Limited (IBL) does not influence the views of the author in any way. IBL and the author shall not be responsible for any direct/indirect loss or liability incurred by the reader for taking any financial decisions based on the contents and information.