Form 15G and Form 15H to Save TDS on Interest Income

Form 15G and Form 15H are self-declaration forms required to be furnished by the assessee to the bank. Bank will deduct TDS when the interest income is more than ₹10,000.00 in a year. You can submit Form 15G or Form 15G to avoid TDS on interest if you fulfil some conditions.

The TDS rate for interest income is 10%. If you do not furnish PAN details, the TDS rate will be higher @20%.

Form 15G is for assessee other than senior citizen while form 15H is for senior citizens

Form 15G

These forms are valid for one financial year. therefore do check whether you satisfy the conditions for filling them each year and submit them at the start of each financial year.

Conditions you must fulfil to submit Form 15G:

  • You are an Individual or HUF
  • You must be a resident Indian
  • You should be less than 60 years old
  • The total interest income for the year is less than the minimum exemption limit of that year, which is Rs 2,50,000 for a financial year.

Conditions you must fulfil to submit Form 15H:

  • You are an individual
  • You must be a Resident Indian
  • You are 60 years old or will be 60 years old during the year for which you are submitting the form
  • Tax calculated on your Total Income is nil

Recommended Read:-

Submit Form 15G and Form 15H

The Ministry of Finance has amended the income tax rules for the submission of Form 15G and 15H on 29th September 2015 through a notification. These rules have been referred to as Income Tax (14th Amendment) Rules, 2015 and are applicable from 1st October 2015. These rules allow the taxpayer to submit the forms in any of the following modes.

  • Paper Form
  • Electronically after duly verifying through an electronic process in accordance with the procedures, formats, and specified standards.

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