15h form

It is required to be forwaded & also to be shown in the banks TDS return (your 15H). However, even if the same is not done & your PAN is not tallied at the Income Tax Deptt, it will be reflected in your 26AS in your PAN number on the Income Tax Site & you may receive a notice for non-filling of the return of income if your interest on these FDRs exceeds the basic slab of Rs. 200,000/-

then what is the purpose of form 15G?

Mr. Shri, I hope you know that 15H is for senior citizens and the basic slab for the same is 250,000/- & 500,000/- as the case may be. The limit for 15G will be 200,000/-

Ashima, the purpose of 15G/H is to mitigate the hardship of those who do not have taxable income. Tax on interest will be deducted if the same is 10,000/- or more, but if say, the person has only interest income (say 100,000) which is below the taxable slab, he will have to file his return of income to get refund of the TDS deducted thereon. To avoid all this, the concept of 15H/G is there.

Just to add Forms 15G/H have been amended recently sometime back. Ensure that you submit amended Forms to banks. Now you have to quantify the estimated TI in 15G/H, the requirement was not there. Just a declaration was enough.

Regards,