CBDT issued the simplified procedure for self declaration for non-deduction of tax from certain incomes

In order to reduce the cost of compliance and ease the compliance burden for both, the tax payer and the tax deductor, the Central Board of Direct Taxes (CBDT) issued simplified format and procedure for self declaration in Form No.15G or 15H as per the provisions of Section 197A of the Income-tax Act, 1961 for non-deduction of tax from certain incomes.

The simplified procedure provides that:

  • a payee can submit the self-declaration either in paper form or electronically;
  • the deductor will allot a Unique Identification Number (UIN) to all self-declarations in accordance with the laid down procedure and will not deduct tax;
  • particulars of self-declarations will have to be furnished by the deductor along with UIN in the Quarterly TDS statements;
  • the deductor will be required to retain Form No.15G and 15H for seven years.

 The revised simplified procedure to exempt certain incomes from tax will become effective from 01.10.2015.

 

-Ministry of Finance

Join the discussion

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.