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Form 15H to Save TDS on Interest Income Online in India

7 Mins 04 May 2023 0 COMMENT

The Meaning of Form 15H

Form 15H is a declaration form that can be submitted to the Income Tax Department of India by a resident who is a senior citizen (60 years of age or older) or a resident who is not a senior citizen but whose anticipated total income for the financial year is below the taxable limit.

The person requesting TDS (tax deducted at source) on the interest income from fixed deposits, recurring deposits, or any other interest-bearing instruments can do so by submitting this form to the Income Tax Department.

When to use Form 15H?

In India, the TDS on the interest income from fixed deposits, recurring deposits, or any other interest-bearing instruments are requested using Form 15H. The following considerations should be made when using Form 15H:

  • Eligibility

Only residents who are senior citizens (60 years of age or older) or non-senior citizens whose expected total income for the fiscal year is less than the taxable limit may file Form 15H.

  • Purpose

If the person’s estimated tax due for the financial year is zero, the form is used to request an exemption from TDS on interest income.

  • Submission

The financial institution or bank where the fixed deposit or recurring deposit is held may receive the form. The application must be turned in at the start of the fiscal year for which the exemption is requested.

  • Conditions

The application must be completed with honesty. False information is punishable and may result in legal action.

  • Validity

Form 15H is only valid for one fiscal year. So, the form must be submitted each year if the person wants to take advantage of the TDS exemption.

What is the difference between Form 15G & 15H?

Taxpayers must file Forms 15G and 15H to the Income Tax Department of India to claim their eligibility for non-deduction of tax at source (TDS) on their income. The following are the primary variations between Form 15G and Form 15H:

  • Application

Senior citizens who are 60 years or older and have taxable income below the exemption limit should use Form 15H instead of Form 15G for FD if they are under 60 and have the aforementioned circumstances.

  • Age

The age requirement is the primary distinction between Form 15G and Form 15H. Form 15H is for seniors 60 years or over, whereas Form 15G is for people under 60.

  • Eligible Income

Suppose you want to avoid paying TDS on the interest income from fixed deposits, recurring deposits, and other deposits with banks, post offices, and other financial organisations. In that case, you can submit Form 15G and Form 15H. Form 15H is for senior citizens, while Form 15G is for those under 60.

  • Declaration

An individual’s declaration that their income is below the taxable limit and they are not required to pay any tax is made on Form 15G. Form 15H, on the other hand, is a statement made by a senior citizen stating that their income is below the taxable limit and they do not owe any taxes.

Final Word

The eligibility requirements for the form, the declaration, and the age requirements are the main difference between Form 15G and Form 15H. To prevent any legal issues, it is crucial to thoroughly complete the correct form based on your age and taxable income.

It is crucial to remember that the prerequisites must be satisfied before submitting this form. Thus, it is advised that before filing Form 15H, you thoroughly read and comprehend the instructions. Using this form, senior citizens can lessen their tax obligation and increase their savings.

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