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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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