Form 15G / Form 15H Validity Date Extension for FY2019-20 | Submit Form 15G / Form 15H in first week of July , as well for FY 2020-21
Highlights
- Time for submission of Form 15G and Form 15H extended up to 30 June 2020
- Forms 15G and 15H given last year for the FY 2019-20 will be valid up to 30 June 2020
Central Board of Direct Taxes (CBDT) has extended the validity date of form 15G/ Form 15H submitted by taxpayers, up to June 30, 2020. In case if a person had submitted Forms 15G/ Form 15H to the banks or other financial institution for FY2019-20, then these forms will be valid up to 30 June 2020.
FY2019-20 Validity of Form 15G/Form 15H extended
Form 15G/Form 15H submitted for FY2019-2020 will be valid up to 30 June 2020. It was much necessary and required step as it will be difficult for people, especially aged people to go to bank branches due to 21 days lockdown active in nation.
Form 15G/Form 15H for FY2020-21
Depositors who are required to submit Form 15G/ Form 15H for NIL or lower tax deduction from their income can submit it in the first week of July 2020, as well for FY2020-21.
Normally those have kept their Deposits in the Banks have to submit Form 15G or 15H if TDS is not to be deducted by the Banks while paying/crediting Interest on the Deposits. In the normal course, for the Financial Year 2020-21, the depositors have to submit the Forms 15G or 15H from 1-4-2020 onwards before the date when the interest is due.
As per the order dated April 3, 2020 posted by the CBDT on its official twitter handle,
“In case if a person had submitted valid Form 15G and Form 15H to the banks or other institutions for F.Y. 2019-20, then these Form 15G and Form 15 H will be valid up to 30.06.2020 for FY 2020-21 also. It is reiterated that the payer who has not deducted tax on the basis of the said Form 15G and Form 15H shall require to report details of such payments/credit in the TDS statement for the quarter ending 30.06.2020 for FY 2020-21 also. It is reiterated that the payer who has not deducted tax on the basis of the said Form 15G and Form 15H shall require to report details of such payments/credit in the TDS statement for the quarter ending 30.06.2020 in accordance with the provisions of the rule 31A (4)(vii) of the Income-tax Rules, 1962. “
To mitigate the genuine hardships faced by taxpayers due to the Covid-19 pandemic, CBDT issues notification https://t.co/JjOohJQoKy.275/25/2020-IT(B) dt 03rd April, 2020 regarding submission of Form 15G & 15H for FY 2020-21.#IndiaFightsCorona #StayAtHome #StaySafe pic.twitter.com/BTdYl3bO92
— Income Tax India (@IncomeTaxIndia) April 4, 2020
Relief for Taxpayers amid lockdown due to COVID-19
Now taxpayers do not need to worry for submission of Form 15G/ Form 15H for FY2020-21. With extension of validity period of forms for FY2019-20, taxpayers who have to submit the forms in first week of April every year, now can submit in first week of July for FY2020-21.
The decision was taken due to the problems faced by taxpayers due to COVID-19 pandemic. Due to disruption of normal working in every sector including banks and financial institution, there may be instances that depositors may not be able to submit the Form 15G/Form 15H in time which could result in TDS deduction even without any tax liability.
Why Form 15G/Form 15H is submitted?
Form 15G/Form 15H are the used for NIL or lower tax deduction from income. You must have a PAN card in order to submit these forms.
As per income tax rules, TDS is deducted in case total interest income paid to individual exceed Rs. 40,000 in a financial year. In case of senior citizen, TDS is deducted if interest income exceed Rs 50,000 in a financial year.
Form 15H is for senior citizens, who are 60 years or older whereas for other individuals Form 15G is applicable.
I have already submitted Form 15G for FY2019-20 in April 2019. Do I need to resubmit?
No. It will be valid up to 30 June 2020.
When I can submit Form 15G/Form 15H for FY2020-21.
You can submit in first week of July 2020 for FY2020-21.
