Filing the income tax form can be tricky if you aren’t all too familiar with the scores of jargon and technicalities that come with it. But a little help can go a long way. So, through this post, we want to help the senior citizens who need to fill the Form 15H. For the uninitiated, Form 15G or 15H need to be filled out and submitted towards the beginning of a fiscal year to the relevant financial entity, usually to a bank. This is done to avoid TDS on the interest income earned.
So, here’s all you need to know about the Form 15H
What is Form 15H?
With the help of Form 15H, you can save some money from TDS deductions on the interest income you have earned from fixed deposits. You can opt for a fixed deposit either through banks or non-banking financial institutions. Fixed deposits with NBFCs can fetch you a higher rate of interest every year, making it more appealing than a regular fixed deposit in a bank. NBFCs have become an increasingly popular choice among the masses for a plethora of financial needs. For instance, availing a personal loan through online platforms like Finserv MARKETS gets you lucrative interest rates and instantaneous approvals. If you apply for a personal loan through Finserv MARKETS, you can avail up to Rs 25 lakhs within a matter of a day, seamlessly.
Now, coming back to the Form 15H, you are required to submit it at banks or post offices that offer their services online. While not all, some banks do offer the facility to submit Form 15H digitally as well.
Meant for senior citizens, these forms need to be submitted every fiscal. If you don’t want the bank to deduct TDS on the interest income that you have earned, this form should be submitted towards the beginning of the financial year. Check eligibility of Form 15H.
Now, let’s look at the structure of the Form 15H and what are the details you need to fill:
- Your name, age, vocation and other basic details
- Investment related information
- Money invested
- Timeline of your investments
- Estimated amount of return
- Previous year of assessment
- Information about dividends earned
- Interest applicable on your investments
Conditions you must fulfill to submit Form 15H
- You are an Indian individual. Businesses or consortia can’t submit this form.
- You are or will be 60 at the time of submitting the form.
- There is no tax burden on your total income.
While it’s primarily aimed at providing tax relief to senior citizens who have nil monthly income by helping them save tax on the interest income earned through fixed deposits, Form 15H can help reduce your tax liability in some other cases too. Let’s look at some of them at a glance:
You can avail tax benefit on EPF if you decide to withdraw your EPF amount before 5 years of employment. However, if your EPF balance is more than Rs 50,000 and you want to withdraw this amount before 5 years, you can submit Form 15H.
Corporate bond income
You can benefit from deduction if the income exceeds Rs 5,000.
Post office deposit income
You can enjoy tax relief on income you have earned through your post office deposits as well. For this, all you need to do is to submit the Form 15H at the online post offices.
TDS on rent
In case the rent you pay throughout a year exceeds Rs 1.8 lakh, you can avail tax benefit with the help of this form.
What you need to fill Form 15H
- You must have a PAN card. If not, a tax deduction at the rate of 20% is levied.
- Keep your submission acknowledgment safely. It might come in handy if there’s any inconsistency or issue with the financial entity.
- Submit the details that you have submitted with other banks too.
With these quick pointers and cues, filling out your Form 15H will be easier and time-taking. Just remember the important points discussed above and submit your form towards the beginning of the financial year to minimize your tax liability. By investing in schemes that are tax exempt, you can easily maximize your savings. Moreover, filling out these forms can also come in handy if you decide to avail any loan in the future. Thankfully, getting a loan has become seamless with the surge in digital awareness and easy accessibility to digital platforms that offer you a bouquet of loans at your fingertips. For instance, if you apply for a personal loan on Finserv MARKETS, you can easily repay it over a flexible tenure that suits your financial requirements. This period can vary anywhere between 12 to 60 months. Finserv MARKETS has made loans widely accessible through minimal documentation and zero collateral requirement while ensuring efficient disbursal of the loan amount to meet your pressing needs.
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