Form 15g eligibility

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rajat (Querist)
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25 April 2016 My estimated source of income for fy 16-17

Income for FD for which Form 15G to be furnished=45,000
Income from other source =2,50,000
Estimated Total Income =2,95,000
Estimated Tax Savings 80C =1,50,000
Estimated Tax NILL

30 Years please tell me if i am eligible for submission of Form 15G having Estimated income of 2,95,000 but tax will be NILL . If eligible how much amount of income should i declare in the from 15 G in the column for total estimated income in the year for above case ?

Bhaskaran Chackrapani Warrier

Bhaskaran Chackrapani Warrier (Expert)
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25 April 2016 1. Eligible to submit 15G since interest is Rs.45,000 only.
2. Rs. 1,45,000 on column 23.

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rajat

rajat (Querist)
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25 April 2016 Thanks for your prompt and to the point Reply In column 23 should i mention rs 2 95 0000 ( income before deduction) or Rs 145000 ( net income after deduction). Kindly again confirm as im layman in this field . Thanks

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Suresh Ramaswamy

Suresh Ramaswamy (Expert)
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25 April 2016 I beg to differ from Mr.Warrier in this matter. The Declaration / Verification signed by the assessee reads: "*I/We furtherdeclare that the tax *on my/our estimated total income including income/incomes referred to in column 16 *and aggregate amount of *income/incomes referred to in column 18 computed in accordance with the provisions of the Income-tax Act, 1961, for the previous year ending on .................... relevant to the assessment year ..................will be nil. *I/We also declare that *my/our *income/incomes referred to in column 16 *and the aggregate amount of *income/incomes referred to in column 18 for the previous year ending on .................... relevant to the assessment year .................. will not exceed the maximum amount which is not chargeable to income-tax."

"The maximum amount not chargeable to income tax " refers to the Gross Total Income before deductions under Chapter VIA and not the Net Taxable Income. If a person is liable to file ITR when his GTI exceeds the maximum exemption limit before deductions under Chapter VIA, the same set of rules is also applicable here. So legally your filing the Form 15G with GTI of Rs.2,95.000/- is wrong.

That said, the Department does not really follow up such wrong declarations as long as the income on which no TDS is made is disclosed in the ITR.