Form 15H and Form 15G: Key Points
Form 15H and Form 15G: Key Points
In the previous article we told you about form 15H and 15G, who can submit these forms and when are these forms to be submitted. Now having understood the basics, let us see some key points relating to these forms.
Change in Estimated income in a FY
· You have to declare your estimated income for the concerned FY when you are filling the New Form 15H/15G.
· After filing these forms, in case you expect that your income is going change in the FY then you need to file Form 15G/15H again with your income providers.
For Example : While filing Form 15G/15H to bank, you have mentioned only interest income from Bank FDs as your estimated total income. However, during the financial year, if you let out house property and start earning rental income then you need to submit new Form 15G/15H to your bank (even if you do not make any fresh investments..)
So, it is has been clarified that new Form 15G/15H has to be filed in every situation where the estimated total income of taxpayers change.
New Investments with the same Entity
For any new investment you make, even if it is with the same entity, you need to file new Form 15G/H. The reason being, your estimated income for that FY changes.
Another important clarification is, every time you file a New Form 15G/15H, you need to make sure that you provide total number of earlier declarations along with aggregate amount of income for which such Form 15G/15H have been filled.
For example :
· During the financial year, you open two new fixed deposit accounts but with same bank (one FD in the first half of the year and the second one in later half of the FY).
· In this case, you need to first submit relevant Form to your bank, while opening the first FD account.
· When you open the second FD account then you need to file new Form 15G/H providing particulars of the same with your bank.
· However, in case of first FD account (old investment), you need to re-submit new Form 15G/H by just mentioning the total number of earlier declarations filed and aggregate amount of income for which the forms have been filed, in respective columns.
Multiple investments with multiple Entities
In case, you receive income from multiple entities then you need to submit Forms to all such income providers.
For example : During the financial year, if you open two FD accounts with two Banks then you are required to submit Form 15G/15H to both the banks separately, in order to avoid TDS.
In case, you are eligible to submit Form 15H / 15G but fail to do so then you can file your Income Tax Return and claim REFUND of TDS.
Kindly make sure you do not misuse these forms.
