⇒What is Form 15G?Īs per section 197(1) and 197(1A) of the Income Tax Act, 1961, an individual or a person (other than a company or a firm) below 60 years of age must submit a declaration to banks or other financial institutions, stating that his net taxable income if any including this interest income is below the threshold exemption limit of Rs. Here Form 15G safeguards the investors from TDS being deducted on the interest income accrued on their investments.Īlso, the Employees Provident Fund Organisation(EPFO) has made it mandatory vide the provisions of Section 192A to submit Form 15G on EPF withdrawal if the amount withdrawn exceeds Rs.50,000/- and the working period is less than continuous 5 years. This includes interest income from all the branches of a particular bank. Form 15G: As per the Income Tax Rules 1962, an individual aged below 60 years, is required to submit a declaration in Form 15G to the respective entities such as Banks, Financial institution for not deducting TDS on the interest income.īanks generally deduct TDS on the interest income accrued from Fixed Deposits, Recurring Deposits if it exceeds Rs.40,000/-(Earlier this limit was Rs.10,000/-) and Rs.50,000/- for Senior Citizens in a financial year from F.Y 2019-20.
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