How to fill form 15g online? [A-to-Z Guide]

According to the 194A of Income Tax Act, if you are below 60 years and your annual income from interest is more than Rs. 40000, your bank deducts TDS. But how will you make sure that banks do not deduct your TDS if your income from interest is below Rs.40000?

Filling form 15g is a simple answer to this question. But how to fill form 15g online?

Here’s your guide to a procedure to fill a form 15g online:

Why is it important to fill form 15g?

Form 15g acts as a self-declaration form that states that your income from interest does not fall under the taxable bracket (If it is less than Rs.40000 per annum). Filling a form 15g exempts you from TDS deduction by your bank. The declaration of 15g is important if your age is below 60 years.

Who is eligible to fill form 15g?

The eligibility criteria of filling form 15g are as follows:

1. You are an Indian resident
2. You are not a firm. You are an individual.
3. Your age is below 60 years
4. Your annual interest income is less than Rs.40000.

How to fill form 15g online?

You can fill this form on your bank portal. It usually includes a standard declaration and other mandatory information fields.

Here are some easy steps to fill form 15g online:

1. Open a form and input your name as per the PAN card records.
2. In the field of status, mention ‘Individual’.
3. Enter the year for which you are filling the form.
4. Enter other mandatory details such as Pin code number, address.
5. If you are an Indian citizen, then only you can fill this form. Therefore, write residential status accordingly.
6. In the next field, answer yes, if your income from interest has been above the exempted level in the past 6 years.
7. State your estimated income for declaration.
8. Enter the details for which you are submitting this form 15g. It may include recurring deposits, fixed deposits, NSC certificates, etc.
9. At last, once you finish entering all the details. Provide a signature.

Where do you need to submit form 15g?

You need to submit form 15g wherever you have made investments. This includes banks, post offices, insurance companies or bond issuance companies.

When do you need to submit form 15g?

Form 15G is essential to avoid unnecessary TDS deduction when your income from interest is not taxable. Under the following scenarios, you need to submit form 15g:

• Income from post office deposits/ NSC certificates: If you have invested money in NSC certificates or deposited under some scheme in the post office, you need to provide form 15g to declare if you are eligible to save TDS or not.
• Corporate bonds: If you are eligible for TDS deduction while invested in corporate bonds, you need to fill form 15g. If your earnings are above Rs.5000, your TDS will be deducted.
• Policy investment: In case, you have invested in a policy, you have to submit form 15g as proof to self declare. Failing to provide PAN details may attract heavy TDS deduction. Even if your insurance income exceeds Rs.15000 per year, you need to submit form 15g.
• Rental income: The TDS is also deducted on a rental income if it exceeds Rs. 2.4 Lakh annually.
• LIC income: If you receive an income from LIC worth Rs. 1Lakh or more, your TDS will be deducted before paying you the amount.
• If you withdraw EPF: If you need to withdraw EPF before a continuous service of 5 years, you need to submit form 15g if the tax on your income is zero. This will exempt you from the TDS deduction.

Conclusion

You easily fill a form 15g online and save yourself from TDS deduction when your income from interest does not fall under the taxable category. Form 15g is easily available on the IT department website or your bank portal.

Also read:

1) Online Business Ideas You Can Start Quickly
2) What online business can I do to make money? Here are the top-6 ideas for you.
3) Where Do the Best Business Ideas Come From?
4) Best Home Business Ideas in 2020
5) OkCredit: All you need to know about OkCredit & how it works.

Stay updated with new business ideas & business tips with OkCredit blogs in English, Hindi, Malayalam, Marathi & more!
Download OkCredit now & get rid of your bookkeeping hassles.
OkCredit is 100% Made in India.

FAQs

Q. Do I need to submit form 15g in every bank in case of multiple bank accounts?

Ans. Yes, You need to submit form 15g in every bank in case of multiple accounts. If your income is below the taxable level, your TDS will not be deducted.

Q. Do I need to submit a form 15g to IT?

Ans. No. You only need to submit a form 15g places where you have invested money such as banks, insurance companies, post offices, etc.

Q. What if my age is above 60 years?

Ans. Form 15h is applicable if your age is above 60 years. Irrespective of your annual income, if you are a senior citizen, you can submit form 15h.

Q. Where can I fill a form 15g online?

Ans. Open your internet browser and go to your bank portal. You can follow instructions to fill form 15g online.