Hi, I have a "fixed deposit" in India (similar to a certificate of deposit, I believe). The interest deposited in the fixed deposit is automatically added to the principal and renewed for another year. I do not receive 1099-INT form from the foreign banks. My question is when should I include the interest in my "interest income"? Does it need to be included every year when the interest is added to the account, though I don't have access to the interest as the interest is reinvested automatically? Or the taxes are paid when I have access to the interest. I want to make sure that I am not making any mistake in declaring. Thank you very much for your assistance.
