ITR filing guide: How to report NSC and Kisan Vikas Patra interest

Interest earned from National Savings Certificate (NSC) and Kisan Vikas Patra (KVP) is taxable under 'Income from Other Sources'.

NSC interest is reinvested annually, making it eligible for deduction under Section 80C under the old tax regime, subject to the overall limit.

KVP interest does not qualify for Section 80C deduction, unlike NSC.

Taxpayers must report the interest accrued on NSC and KVP correctly in their ITR to avoid errors and omissions.

For NSC, interest income is added as income from other sources, and the same amount can be claimed as a Section 80C deduction when reinvested.