Title: Can I use fixed deposit interest money for paying income tax?

Question: I am a Govt employee and paying income tax which is deducted from my salary. I made fixed deposit of 150000 Rs for 3 and half month and getting approx 2900 Rs as interest. Now my query is that can I use that money for paying income tax. Income tax amount which I pay is much more than the amount which I am getting as interest credit. (2) Another query is that is it legal to make fixed deposit for particular duration?

Answer ID: 63549Posted on: Aug 31, 2020

Bismillah hir-Rahman nir-Rahim !

(Fatwa: 396/351/SN=04/1437) (1) You may do so. (2) No, fixed deposit is purely interest based dealing which is not allowed in anyway. يَمْحَقُ اللّهُ الْرِّبَا وَيُرْبِي الصَّدَقَاتِ الآية [البقرة : 276]