Interest from foreign FDs is taxable for residents; claim foreign tax credit via Form 67 and report in ITR with asset disclosure.
This infographic covers taxation of foreign fixed deposits for Indian residents. Residents must declare global income, including foreign FD interest, under ‘Income from Other Sources’ in ITR-2 or ITR-3. DTAA helps avoid double taxation; claim foreign tax credit if TDS is deducted abroad. Convert income using RBI rates and keep documentation for compliance. Non-disclosure can lead to penalties under the Black Money Act.