(i)Income from the deposits will be free from Indian Income Tax in terms of Section 10(15)(i) of the Income-tax Act 1961 read with Government Notification No. S.O.653(E) dated August 31 1992.

(ii)The deposit will also be exempt from Gift Tax for one-time gifting, in the case of NRIs only.

(iii) Exemption from Income-Tax will not be available to resident donee and those residents, who being joint holders, become owners of the deposit as survivor of the non-resident depositor.