Form 15g

Meaning & Definition

Form 15G is a self-declaration form filed by individuals who are below 60 years of age and approach banks or financial institutions to claim that no TDS (Tax Deducted at Source) should be deducted from their incomes, such as interest. The form can be filed only if the total taxable income of the individuals is less than the basic exemption limit for the financial year.

Importance of Gorm 15g

• Prevents unnecessary TDS deduction on eligible income.
• Facilitates individuals in managing cash flow by ignoring delays in tax refunds.
• Tax compliance through proper declaration of income.
• Simplifies tax planning for low-income individuals.
• Useful for interest income received on fixed deposits or savings accounts.

Compliance & Policy Considerations 

Form 15G is subject to the Income Tax Act, 1961. The form is to be filed only if the individual is eligible based on their income limits.