How To Download Form 15G Online and What Is The Filing Procedure?

How To Download Form 15G Online and What Is The Filing Procedure?

February 27, 2019 0 By amankhanna776

Investors, especially senior citizens, are naturally attracted to fixed deposits as a means of safe and stable investments. Though FDs fetch you high interest, you also need to pay tax applicable on the interest income earned from FDs in the form of TDS (Tax Deducted At Source). This is a mandatory tax, applicable if the interest earned is more than Rs 40,000 for regular depositors and Rs 50,000 for senior citizens. The interest earned is taxable, being subject to TDS under section 194A of Income Tax Act, 1961 at the rate of 10%.

Form 15G form is used to reduce the tax burden on regular investors who are below the age of 60 years, have zero taxable income but are subject to TDS on interest rate returns. Filing these forms will stop the banks from deducting TDS on your interest income. If the TDS is deducted and you do not fall under the taxable income bracket, you can still claim it while filing ITR returns by showing the same under “Income from Other Sources” head.

Form 15G is quite commonly and easily available online and with banks. It is easy to fill if you have basic procedural knowledge. Here is all that you need to know about Form 15G:

The form is divided into two parts; Part A and Part B

Part A

  • Name and PAN details
  • Details of the financial year.
  • Address and contact details.
  • Details about income-including nature of income and section under which it is deductible.
  • A declaration that all the information mentioned is correct and not misleading.

Part B

  • Name of the individual with the tax liability
  • PAN and TAN details.
  • Aadhaar number.
  • Address and contact details.
  • Amount of income paid.

How to download the form?

The form can be easily downloaded from incometaxindiaefiling  or from any bank website and can be filled and submitted online.

Procedure to fill the 15G form online

    • Name of declarant – Person who has to offset the tax burden.
    • PAN card details
    • Status- whether a person is an individual, HUF or a trust.
    • Previous year- Current financial year.
    • Residential status- Nationality.
    • Address Details- Current mailing address with relevant details of email, mobile number, and pin code.
    • Option A- Whether assessed to tax under Income Tax Act,1961; yes, in case your income was above the taxable limit in any of the past six years.
    • If yes, you need to state the latest year in which your income was above the tax limit.
    • Estimated income for which declaration is made- Income on which TDS should not be deducted.
    • Estimated total income of the previous year in which income mentioned in column 16 need to be included- state the total income earned during the year.
  • Details of other 15G forms- state how many times earlier you have filled Form 15G in the past.
  • Details of income for which declaration is filed- Nature and amount of income.

Other Alternatives

The company fixed deposits like Bajaj Finance FD require TDS to be deposited if the interest income exceeds Rs 5,000 in an A.Y. You can consider earning a high rate of interest with company FDs as compared to bank FDs and offset the effect of TDS.

For instance, Bajaj Finance FD offers 9.1% interest rate for senior citizens. You can make use of various strategies like going for non-cumulative options, laddering the investments to rightly time the interest payouts without inviting high TDS. With Bajaj Finance Fixed Deposits, which are rated MAAA (stable) by ICRA and FAAA/Stable by CRISIL, you can be assured of guaranteed returns and can open an account with as little as Rs 25,000. With high credibility ratings, you can be at ease and see your money multiply over time.

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