The Income Tax Department creates rules for taxes. They set different levels of taxes called tax slabs. People in these slabs must pay their taxes on time.
If someone doesn’t pay taxes on time, they get a notice from the Income Tax Department. Tax is taken out from the income of people who earn rent or interest from banks, and it’s called TDS.
TDS is based on the tax slabs. The rules for TDS rates are in the Income Tax Act of 1961. If someone’s income is not in the tax slab, but TDS is still taken out, they need to correct it by filling Form 15G/H.
Who should fill out Form 15G/H?
There are two forms for different age groups. Form 15H is for senior citizens, who are over 60 years old.
Form 15G is for people under 60 years old. These forms are for people who don’t need to pay tax, but still have TDS taken out.
Form 15G/H is a self-declaration form specifically for TDS. By filling it out, people can get a deduction of Rs 2.5 lakh from their TDS. Senior citizens can get an exemption of up to Rs 3 lakh.
If someone in the new tax system fills out this form and earns less than Rs 7 lakh, they don’t need to pay tax.
About Form 15G/H
This form has two parts. It’s important to fill out all the information correctly, especially the name and date of birth.
People also need to provide information about their income sources and bank accounts if they have multiple accounts.
