Definition
Form 15G and Form 15H
Forms 15G and 15H are self-declarations to your bank to avoid TDS on interest income when your total income is below the taxable limit.
Form 15G (for individuals below 60) and Form 15H (for senior citizens) are declarations you submit to your bank or other deductor stating that your total income is below the taxable threshold, so no TDS should be deducted on your interest income.
These forms are especially useful for retirees and low-income earners who would otherwise have TDS cut on FD or deposit interest and then have to claim a refund. Form 15H has a slightly relaxed condition for seniors compared with 15G.
Submit the form at the start of the financial year to each bank where you hold deposits. Making a false declaration when your income is actually taxable can attract penalties, so use them only when genuinely eligible.
Related terms
- Section 80TTBSection 80TTB gives senior citizens a larger deduction on interest income from deposits with banks, co-operative banks and the post office.
- TDSTax Deducted at Source is tax withheld by the payer and deposited with the government on your behalf.
Plain-English explainer from The Dispatch Investors Encyclopedia. General information, not financial advice.