Income Tax explainer · TaxIntelHub

Form 121 Replaces Form 15H for TDS Exemption Claims

Form 121 merges Form 15G and 15H, simplifying TDS exemption declarations for individuals and senior citizens whose income is below the taxable limit. This change reduces administrative complexity and enhances user experience with features like auto-population.

💡 Key Fact

Form 121 is a new combined form that replaces both Form 15G and Form 15H for TDS exemption claims, streamlining the process for individuals and senior citizens.

⚡ Quick Answer

Form 121 is the single form used to declare that your income is below the taxable limit, ensuring no TDS is deducted from income like bank interest.

What's Happening

  1. Determine your eligibility — Check if your total income is below the taxable limit. Companies and firms are not eligible.
  2. Fill Form 121 — Provide details like your name, PAN, address, and estimated income. The form may offer auto-population features.
  3. Submit the form — Furnish the declaration to the payer before the income is credited. Banks may offer online submission.

Common Mistakes to Avoid

  • Thinking Form 121 is for tax filing
  • Exceeding income limits

Source: Mathrubhumi English

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