Income Tax Form 121 | Form 121 replaces Form 15G, 15H for TDS filing

From April 1, 2026, Forms 15G and 15H are replaced by a single, streamlined Form 121 for TDS exemption on interest income, reducing paperwork. This new form applies to resident individuals (under or over 60) and HUFs whose total annual income is below the taxable limit, ensuring no tax is deducted at source

Key Changes & Rules (Effective April 1, 2026):

• Merged Form: Form 15G (below 60) and 15H (senior citizens) are consolidated into a single Form 121.
• Purpose: Still used to declare that your tax liability is Nil, ensuring banks/institutions do not deduct TDS on interest (e.g., Fixed Deposits, Recurring Deposits).
• Eligibility: Resident individuals and HUFs with total income below the basic exemption limit.
• Income Limit: The total estimated annual income must not exceed the basic exemption limit (e.g., ₹2.5 Lakhs in the old regime, higher in the new regime).
• Senior Citizens: Senior citizens (60+) can use this to report interest income up to ₹12 lakh if their total tax liability after deductions/rebates is zero.
• Submission: While the form is unified, it must still be submitted for every financial year.
• Penalty: Submitting false information in Form 121 can lead to severe penalties and prosecution

Notes:

1. In case of individual, the first, middle and last name shall be provided in full without any abbreviations. In any
   other case also, name shall be provided in full.
2. The address shall contain i. Country/Region, ii. Flat/Door/Building, iii. Road/Street/ Block/Sector, iv. PIN/ZIP
   Code, v. Post Office, vi. Area/locality, vii. District, viii. State.
3. Declaration can be furnished by an individual being a resident under section 393(6)[Table: Sl. No. 1] or by any
   person, not being a company or a firm or an individual covered in section 393(6)[Table: Sl. No. 1], under section
   393(6)[Table: Sl. No. 2].
4. Fill ‗residential status‘ as (i) Resident (ii) Non-resident (iii) Resident but not ordinarily resident.

1. This application is applicable for following incomes, please fill as applicable:
   (a) payment of accumulated balance due to an employee participating in recognized provident fund
   (b) insurance commission for soliciting or procuring insurance business including business related to continuance, renewal, or revival of the insurance policies.
   (c) rent from a specified person
   (d) income in respect of (i) units of a mutual fund, or (ii) units from the Administrator of the specified undertaking, or (iii) units from the specified company
   (e) interest on securities, interest other than interest on securities by a banking company or a co-operative society carrying on the business of banking or interest by a post office for a deposit made under a scheme notified
   by the Central Government or by Specified person
   (f) payment in respect of life insurance policy including the sum allocated as bonus on such policy
   (g) dividend (including dividend on preference shares) declared by domestic company
   Refer Section 393(6) for more details.
2. In case any declaration(s) in Form No, 121 is filed before filing this declaration during the tax year, mention the total
   number of such Form No. 121 filed along with the total amount of income for which said declaration(s) have been filed.
3. Please mention amount of estimated total income of the tax year for which declaration is filed including the amount of
   income for which this declaration and earlier declaration(s), if any, is made.
4. The person responsible for paying income referred to in row no. 10 of Part A shall allot a unique identification number
   to all Form No. 121 received by him during a quarter of the tax year and report the same in TDS statement furnished for
   the same quarter.

1. The person responsible for paying income referred to in row no. 10 of Part A shall accept the declaration where the tax
   on declarant‘s estimated total income as referred to in row no. 13 of Part A of the tax year will be nil.
2. Estimated total income shall be calculated after allowing for deduction(s) under Chapter VIII of the Act, if any, or set
   off of loss, if any, under the head ―Income from house property‖ and rebate allowable under section 156.
3. For a declarant other than the resident individual whose age is 60 years or more at any time during the tax year, the
   person responsible for paying income referred to in row no. 10 of Part A shall not accept the declaration where the
   amount of income of the nature referred to in section 393(6) or total amount of such income credited or paid or likely to
   be credited or paid during the tax year in which such income is to be included exceeds the maximum amount which is
   not chargeable to tax.
4. Before signing the verification, the declarant should satisfy himself that the information furnished in the
   declaration is true, correct and complete in all respects. Any person making a false statement in the declaration
   shall be liable to prosecution under section 482.
5. Some of the information in the form would be pre-filled to the extent possible.
6. Amounts to be filled in ₹ unless otherwise provided

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