How to Save Tax with Form 15H or 15G: Step-by-Step Guide for 2025
Every year, many taxpayers lose a part of their interest income because banks deduct TDS (Tax Deducted at Source) — even when their total income is below the taxable limit.To avoid this unnecessary deduction from interest , the Income Tax Department allows individuals to submit Form 15G or Form 15H to their banks or financial institutions. These simple self-declaration forms help you save tax legally and ensure that no TDS is deducted from your Fixed Deposit (FD), Recurring Deposit (RD), or interest on savings.
VK
10/14/20252 min read
Here, We can understand in detail what these forms are, who can submit them, and how to fill them correctly.
🧾 What Are Form 15G and Form 15H?
Form Applicable To Age Group Purpose
Form 15G Resident Individuals & HUFs Below 60 years To declare that income is below the taxable limit and request no TDS deduction
Form 15H Senior Citizens 60 years or above To declare that total income is below taxable limit and request no TDS deduction
In simple terms —
Form 15G = For non-senior citizens.
Form 15H = For senior citizens.
When Should You Submit Form 15G or 15H?
You should submit these forms at the beginning of every financial year (April) or before your bank credits the interest.
Example:
If your bank FD pays interest quarterly in June, September, December, and March — submit Form 15G/15H in April to avoid TDS for the entire year.
Step-by-Step Process to Submit Form 15G / 15H
Step 1: Check Your Eligibility
Your total income (including interest) must be below the basic exemption limit:
₹2.5 lakh (below 60 years)
₹3 lakh (age 60–79 years)
₹5 lakh (80+ years)
You must be an Indian resident.
You must have a valid PAN card.
Step 2: Get the Form
You can get Form 15G or 15H from:
Your bank branch,
The bank’s official website, or
The Income Tax Department website (incometax.gov.in).
Step 3: Fill in the Details
Provide the following details carefully:
Name (as per PAN)
PAN number
Residential status
Address
Contact number
Estimated total income for the year
Details of income for which TDS should not be deducted
Step 4: Submit Online or Offline
You can submit the form:
Online: Log in to your bank’s internet banking → go to “TDS/Tax Forms” → Fill Form 15G/H.
Offline: Submit the signed physical form at your bank branch.
Always submit separate forms for each bank where you hold deposits.
🧾 Step 5: Keep an Acknowledgment Copy
After submission, banks provide an acknowledgment or receipt number.
Keep it safe for income tax filing or future reference.
Key Differences Between Form 15G and Form 15H
Criteria Form 15G Form 15H
Eligibility Individuals below 60 years Senior citizens (60+ years)
Minimum Age Limit None 60 years
Income Condition Total income < basic exemption limit Total income < taxable limit (considering deductions)
Applicable To Individuals & HUFs Only Individuals
TDS Threshold for Interest ₹40,000 per year (₹50,000 for seniors) ₹50,000 per year
Important Points to Remember
Incorrect declarations may attract penalties.
If your income exceeds the taxable limit, don’t submit Form 15G/15H.
Submit the form every financial year — it’s not automatic.
PAN is mandatory — without it, TDS is deducted at 20%.
Example
Case 1:
Ravi (age 35) earns ₹2,00,000 per year including ₹25,000 interest on FD.
He can submit Form 15G to avoid TDS because his total income is below ₹2.5 lakh.
Case 2:
Sita (age 68) earns ₹2,80,000 including ₹60,000 interest on FD.
She can submit Form 15H since her total income is below ₹3 lakh (basic exemption limit for seniors).
💬 Final Thoughts
Submitting Form 15G or 15H is one of the simplest and legal ways to avoid unnecessary tax deductions on your interest income. If your income is below the taxable limit — make sure you submit these forms every year at the beginning of the financial year. It’s a small step that can help you save hundreds or even thousands of rupees in tax deductions.