Form 121 for TDS: What it means for taxpayers
To make the process simpler and more streamlined for individuals and senior citizens, the government has merged Forms 15G and 15H into a single Form No. 121 under the Income ax Rules, 2026. Taxpayers who usually submit Form 15G or Form 15H to avoid tax deduction on interest income will now need to use a new combined form called Form 121.
The new form continues to serve the same purpose allowing eligible taxpayers to submit a self-declaration so that tax deducted at source (TDS) is not applied to certain incomes such as bank interest, provided their total income remains below the taxable limit.
What is Form 121?
Form 121 is a self-declaration form furnished by individuals to ensure no deduction of tax at source (TDS) on specified incomes such as interest on bank deposits, post office deposits or other specified incomes when their total income is below the taxable limit. These declarations are made under Section 393(6) of the Income-tax Act, 2025, read with Rule 211 of the Income Tax Rules, 2026.
Who should file Form 121?
Individuals (whether below 60 years or 60 years and above), Hindu Undivided Families (HUFs), and other specified eligible entities that meet the stipulated criteria.
Companies and firms are not eligible to file Form 121.
Non-residents are not eligible to file Form 121.
Form 15 G details
Earlier, Form 15G was meant for resident individuals below 60 years of age and Hindu Undivided Families (HUFs) who had no tax liability for the financial year and whose total interest income remained below the basic exemption limit. Submitting this form allowed eligible taxpayers to request that no TDS be deducted from their interest income.
Form 15H details
Earlier, Form 15H was meant for resident individuals aged 60 years or above, whose estimated total income remained below the taxable limit after claiming eligible deductions. By submitting this form, senior citizens could request that no TDS be deducted on their interest income, provided they met the required conditions.
Documents required
Documents/details required to file Form 121:
1. PAN of the declarant (mandatory), TAN of the payer.
2. Proof of age
3. Details of income/investment for which no TDS is to be deducted.
4. Bank account details (for interest-bearing instruments)
What are the changes made in Form 121?
Merger of Forms 15G and 15H:
Forms 15G and 15H have been combined into a single consolidated Form No 121 to streamline reporting and reduce administrative complexity.
Structural changes
Columns that were redundant have been removed. To help users fill out the form correctly, explanatory remarks have been included.
Form 121: Key events and due dates
| Event | Action Required | Due Date |
| Submission of Declaration | The declaration must be furnished to the payer before income is credited or paid (for example, at the beginning of the Tax Year or before the first payment). | As and when income arises |
| Monthly Statement by Payer | The payer must file details of declarations received with the Income-tax Department. | On or before the 7th of the following month |
| Quoting in Quarterly TDS Statement | The payer must quote the Unique Identification Number (UIN) allotted while filing the statement in Form No. 140. | Along with Form No. 140 (Quarterly TDS Return) |
Why is revised Form 121 a smart choice?
The revised Form 121 will be a smart one to enhance user experience and provide the ease of filing through.
a. Auto population/pre-filling of relevant details using information available from the profile.
b. Real time validations and error handling
c. Drop downs & date pickers
d. Integration with APIs and databases
e. Check box based smart verification
f. Standardisation of name and address fields, etc.
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