Friends if you have FD in any bank, this blog is for you.
As you know that if you have FD in any bank you need to submit 15G or 15H, according to your age. So that Bank does not deduct TDS on your FD interest. Read more about 15G or 15H form.
What is 15G or 15H form?
If your age is below 60 year, you need to submit 15G and if you are senior citizen that means your age is more than 60 years, you need to submit 15 H form.
What is new change in 15G/15H form’s rule?
From this year, government has made some changes, if your interest income is more than 40000 per year, then you need to submit 15G form and if you are senior citizen, and your interest income is more than 50000 rupees per year, then only you need to submit 15H.
What rule was earlier for 15G form?
Earlier this threshold limit was 10,000 only per year that means that if your annual interest exceeds more than 10000 in that case you need to submit 15g but as I told that this rule has been changed from this year only, which is from financial year 2019-20.
Now they there are two scenarios, from this financial year. First is, if your age is below 60 year and your income interest income exceeds 40000 then you need to submit 15g form. Second is, if your age is more than 60 and your interest income exceeds 50000 rupees, in that case only you need to submit 15H form in bank.
What if, anyone does not submit 15G of 15H form?
If your interest income exceeds threshold limit and you don’t submit 15g or 15h form in bank in that case bank will deduct 10% TDS from your interest income and bank will remit to Income Tax Department further you will have to claim back during ITR filing. If your income is not taxable and bank has deducted TDS in that case you need to file ITR and you can claim your deducted amount as refund.
If you still have any doubt then comment below with using your Facebook id I will reply.
Read also: 15G form new rule in 2019
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