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Rules, Rights & Rites -142 Features and procedures for Form No. 121, which replaces the previous Forms 15G and 15H under the new tax regulations as of 2026:

 Rules, Rights & Rites -142

I usually post all important items related to official rulings, union news, and other general matters on my YouTube channels: Yourskayveeyes (English) and Anbudan Kayveeyes (Tamil).

However, due to the recent spate of orders and the high volume of information being received, I have not been able to convert every item into a video. Therefore, I am introducing these new slots to post current matters and updates that have not yet been published on YouTube. This ensures you stay informed on every detail, even if a video hasn't been made yet …………….Kayveeyes

Features and procedures for Form No. 121, which replaces the previous Forms 15G and 15H under the new tax regulations as of 2026:

Form No. 121 is a consolidated replacement for the earlier Form 15G (for those under 60) and Form 15H (for seniors).

It is filed under Section 393(6) of the Income-tax Act, 2025, and Rule 211 of the Income-tax Rules, 2026.

It serves as a self-declaration to receive specific incomes (like bank or post office interest) without deduction of tax at source (TDS), provided the individual's total income is below the taxable limit.

Resident individuals (of any age), Hindu Undivided Families (HUFs), and certain specified eligible entities.

Companies, firms, and non-residents are strictly prohibited from using this form.

A valid PAN is compulsory for the declarant.

The form is only valid if the declarant's final estimated tax liability for the year is Nil.

Declarations should be furnished to the payer (e.g., a bank) before income is credited or paid, typically at the start of the Tax Year.

Submission can be done manually via paper or online through internet/mobile banking portals.

Part A: Completed by the declarant, including personal details, PAN, and estimated total income.

Part B: Completed by the payer (deductor), including their TAN and details of the declarations received.

Unique Identification Number (UIN): The payer must assign a UIN to every Form 121 received.

Payers must upload a consolidated monthly statement of all received declarations to the e-filing portal by the 7th of the following month.

Even though no tax is deducted, the payer must quote the declarant's UIN in their Quarterly TDS Statement (Form No. 140).

The form features auto-population of profile details, real-time error handling, and integrated drop-down menus/date pickers.

"Financial Year" or "Assessment Year" labels have been replaced with "Tax Year".

Personal data fields (Name, Address, PAN) are now separated into distinct boxes for better system compatibility.

The currency symbol "Rs." has been updated.

It prevents unnecessary TDS, reducing the need to wait for tax refunds.

Submission data is automatically reflected in the declarant's Form No. 168/AIS.

Submitting the form does not make the income "tax-free"; it only prevents the deduction of tax at the source.


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