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Salary and TDS formsIncome-tax Act 2025: Form 121

Form 15G and Form 15H Explained: Eligibility, Limits and How to Submit to Your Bank (FY 2025-26 and 2026-27)

Form 15G and Form 15H are self-declarations under section 197A that tell a bank, post office or company not to deduct TDS on your interest because your tax for the year will be nil. Form 15G is for residents under 60 whose total interest also stays within the basic exemption limit; Form 15H is for residents aged 60 and above with only the nil-tax condition. Both are valid for one financial year and must be filed afresh every April.

Reviewed by CMA Sahil, Cost and Management Accountant Updated 13 Sept 2026 for FY 2025-26

Key facts, FY 2025-26

Legal basis
Section 197A, Rule 29C
Form 15G
Resident individual under 60, HUF or trust; tax on total income nil and total interest within the basic exemption limit
Form 15H
Resident individual aged 60 or above; only condition is nil tax on total income after the 87A rebate
When to submit
April each year, and again for every new deposit or bank; valid for one financial year only
Bank interest TDS threshold (194A, FY 2025-26)
₹50,000 a year for others, ₹1,00,000 for senior citizens, per bank
Income-tax Act 2025
Reported as Form 121 from tax year 2026-27; verify against the notified Rules

What it is

Banks must deduct 10% TDS under section 194A once the interest they pay you in a year crosses ₹50,000, or ₹1,00,000 if you are a senior citizen. That deduction is wasted if your total tax for the year is nil, because you would only get it back as a refund after filing. Form 15G and Form 15H let you declare in advance that no tax is payable, so the bank pays the full interest.

The forms are also used for TDS on rent under section 194-I, dividends under section 194, insurance commission, EPF withdrawal under section 192A, and interest on bonds or company deposits. The conditions are the same wherever they are used.

A declaration does not make the interest exempt. It only stops the deduction. The interest is still taxable income and must be reported in your ITR under other sources; AIS will show it with TDS as nil.

Form 15G vs Form 15H: who can sign

For 15G both conditions must hold. For 15H only the nil-tax test applies, so a senior with large interest can still qualify.
ConditionForm 15GForm 15H
WhoResident individual below 60, HUF, trust, AOPResident individual aged 60 or above
Tax on total income for the yearMust be nilMust be nil (87A rebate counts)
Total interest income limitMust not exceed the basic exemption limit (₹2.5 lakh old regime, ₹4 lakh new regime for FY 2025-26)No separate limit
Non-residentsNot allowedNot allowed
Companies and firmsNot allowedNot allowed
ValidityOne financial year, per deductorOne financial year, per deductor
PANMandatory; without it TDS is 20%Mandatory; without it TDS is 20%

How to submit Form 15G or 15H

  1. Estimate your total income for the financial year: salary or pension, interest from every bank, rent, capital gains and anything else. Check that tax after rebate is nil.
  2. For 15G, also add up interest from all sources and confirm it is within the basic exemption limit for the regime you will file under.
  3. Log in to net banking or the bank app in the first week of April. Most banks have a Form 15G/15H option under Service Requests or Tax; select the deposit accounts, confirm the estimated income fields, and submit with OTP.
  4. At a branch, fill Part I of the paper form (the bank fills Part II), attach a PAN copy and take an acknowledged copy.
  5. For EPF withdrawals of ₹50,000 or more with less than 5 years of service, upload 15G on the UAN member portal along with the claim.
  6. Repeat for each bank and for every new deposit opened during the year. A declaration given to one bank does not cover another.

Worked example: Senior citizen with large FD interest qualifies for 15H

Age
66, resident
Pension for FY 2025-26
₹3,00,000
Fixed deposit interest
₹7,00,000
Total income under the new regime after ₹75,000 standard deduction
₹9,25,000
Tax before rebate (5% on ₹4 lakh, 10% on ₹1.25 lakh)
₹32,500
Rebate under 87A (income up to ₹12 lakh)
₹32,500
Tax payable: nil, so Form 15H can be given even though interest is ₹7 lakh
₹0

Common mistake: signing 15G when total income is taxable

A 28-year-old with a ₹9 lakh salary and ₹60,000 of FD interest cannot give Form 15G, because tax on total income is not nil. The bank uploads every declaration to the department with your PAN, and AIS then shows interest paid with no TDS. A false declaration is an offence under section 277 with imprisonment of three months to seven years plus fine, in addition to the tax and interest. If in doubt, let the bank deduct and claim the refund in the ITR.

Income Tax CalculatorAdd your salary, pension and estimated interest and check whether tax after the 87A rebate is nil before you sign a 15G or 15H.

What to do next

If you qualify, submit the declaration in April to every bank and company that pays you interest, and note the unique identification number the bank allots. If you did not submit one for FY 2025-26 and TDS was deducted, nothing is lost: the tax shows in Form 26AS and comes back as a refund when you file by 31 July 2026. Report the full interest in the return either way.

Form 15G and 15H: questions

Who can submit Form 15G?

A resident individual below 60, or an HUF, trust or AOP, whose tax on total income for the year is nil and whose total interest income does not exceed the basic exemption limit: ₹2.5 lakh under the old regime or ₹4 lakh under the new regime for FY 2025-26. Non-residents, companies and firms cannot use it.

Who can submit Form 15H?

A resident individual aged 60 or above whose tax on total income for the year, after the section 87A rebate, is nil. There is no separate cap on interest, so a senior citizen with ₹7 lakh of FD interest and nothing else can still give Form 15H under the new regime.

What is the difference between Form 15G and 15H?

Age and the interest test. 15G is for those under 60 and requires both nil tax and interest within the basic exemption limit. 15H is for senior citizens and requires only nil tax. Both are annual, PAN-based and valid for one deductor at a time.

Can I submit Form 15G online?

Yes. Most banks accept it through net banking or their app under Service Requests or Tax Services, with OTP confirmation. The EPFO member portal accepts 15G with a PF withdrawal claim. Post office deposits usually still need the paper form at the branch.

When should Form 15G or 15H be submitted?

At the start of the financial year, ideally in the first week of April, before the bank credits the first quarterly interest. It is valid only for that financial year. Submit again for any deposit opened later in the year and to each bank separately.

What happens if I give a false Form 15G?

The bank reports the declaration to the department with your PAN. If your return or AIS shows taxable income, you owe the tax with interest, and a knowingly false statement is punishable under section 277 with imprisonment of three months to seven years and a fine. Deposits split across banks to stay under ₹50,000 do not change your total income.

Is interest received with Form 15G tax-free?

No. The form only stops the deduction. The interest remains taxable and must be reported in the ITR under income from other sources. Under the old regime you can claim 80TTA (₹10,000) or 80TTB (₹50,000 for seniors) against it.

Does Form 15G apply to PF withdrawal?

Yes. EPF withdrawals of ₹50,000 or more before five years of continuous service attract 10% TDS under section 192A. If your total income including the withdrawal is below the taxable limit, upload Form 15G with the claim on the UAN portal to avoid the deduction.

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General information for FY 2025-26, not professional advice. Limits and dates change with each Budget; the updated date above is when this page was last checked. Disclaimer

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