The Central Board of Direct Taxes (CBDT) on Saturday extended the validity of Forms 15G and 15H submitted by the taxpayers for FY 2020-21, till June 30.
A senior official of the All India Bank Employees’ Association (AIBEA) said the union had taken up the matter with the CBDT as several bank retirees and pensioners had contacted it for getting an extension of time since it was difficult for the aged to go to the bank branches during the lockdown.
According to current income tax rules, TDS is deducted if the total interest income paid to an individual exceeds Rs 40,000 in a financial year. In case of senior citizen, tax is deducted from the interest income if it exceeds Rs 50,000 in a financial year.
Form 15G can be submitted for a financial year only if the income for which the person is filing the form is estimated to be below taxable level for that financial year. Form 15H can be submitted for a financial year if the estimated total tax liability for that year is nil. These are the main eligibility criteria for submission of these forms. Form 15G is to be submitted by an eligible individual whose age is below sixty years during the financial year. Similarly, Form 15H is submitted by an eligible senior citizen whose age is sixty years or more during the financial year.