How is form 15H beneficial for senior citizens?

Tax can be a very complicated subject, especially if you are trying to find ways to avoid deductions. For instance, you can avoid TDS being deducted from your interest income, rental income, insurance commissions, insurance maturity receipts, and EPF withdrawals. Among investors and taxpayers, Form 15H is quite popular.

However, you must meet the requirements of the Income Tax Act of 1961. The eligibility criteria, guidance to filling out Form 15H, and the purpose of completing it have all been discussed as below:

Understanding Form 15H

If the interest on a fixed deposit or recurring deposit exceeds Rs 50,000 in a financial year, the banks deduct the tax deducted at source (TDS). This applies to resident senior citizen taxpayers as they can file a declaration to ensure that TDS is not deducted from their deposit interest income. The declaration can be made in Form 15H Declaration under Section 197A(1C) by including all essential information. Your PAN is a required and most crucial field on Form 15H.

You can send the form to the banks, NBFCs, or post offices in charge of paying interest income. Form 15H can usually be submitted online by entering into your internet banking account. However, because many post offices are not yet digital, you may need to submit Form 15H in person at the branch.

Eligibility

A taxpayer must submit Form 15H if they meet the following criteria:

-An individual assessee must be the taxpayer. Companies, HUFs, partnership businesses, and other entities are not qualified to file Form 15H.

-The taxpayer is an Indian citizen.

-He or she is a senior citizen who, at the time of filing Form 15H, is over the age of 60.

-The taxpayer’s overall income tax liability for the fiscal year must be nil.

Things to remember when filling out Form 15H

Make sure the information provided in this form is accurate, correct, and complete in every way before signing the declaration/verification.

If you make a false statement in the declaration, you will be prosecuted under section 277 of the Income-tax Act, 1961, and you will be punished if you are found guilty.

The records pertaining to all of the forms submitted by the assessee should be accessible to the respective assessing officer.

As a result, the evaluating officer can check the form at any time for any misrepresentation or wrong information. Always include the total number of Form 15H that were submitted throughout the fiscal year.

Form 15H is only valid for the current fiscal year. As a result, you must file a new form each fiscal year.