15G/15H or Section 197 to avoid TDS? Choice depends on your income

Individuals with income below basic exemption limit should opt for the former, those exceeding this limit may go for the latter

The planning and execution of an individual’s tax strategy for the new financial year should begin in April. By submitting Form 15G or 15H, one can prevent tax deduction at source (TDS) on interest income. Individuals can also opt for lower TDS by applying under Section 197 of the Income-Tax (I-T) Act. “Tax is not required to be deducted from specified payments if a recipient files a self-declaration with the deductor for no deduction of tax,” says Naveen Wadhwa, vice president, research and advisory, Taxmann.  
 

The declaration for no deduction of tax is filed by senior citizens in Form 15H