- Citizens of 75 years and above will not have to file ITR
- Government has notified the declaration form for this exemption
- Senior citizens will have to submit this form to their banks
The Income Tax Department has notified the declaration form for exemption of senior citizens aged 75 years and above to file income tax return for the financial year 2021-22.
Senior citizens will have to submit this form to the banks. In the budget for the financial year 2021-22, a provision has been introduced for exemption from filing of tax returns for senior citizens of 75 years and above who have received pension income and interest on fixed deposits (FDs) in the same bank.
Such senior citizens will not be required to file income tax returns for the financial year beginning April 1.
In order to provide big relief, to the senior citizens aged 75 or above from IT filing, Ministry has introduced Section 194P in the Income-Tax Act, 1961via the Finance Act 2021. New Section 194P is applicable from 1st day of April 2021. They can give a simple declaration to his/her bank to get exemption from filing the Income Tax Return (ITR) for AY 2022-23.
- Section 196P of the Income Tax Act, 1961:
Section 194P of the Income Tax Act, 1961 provides conditions for exempting Senior Citizens from filing income tax returns aged 75 years and above.
- Conditions for exemption:
- Senior Citizen should be of age 75 years or above
- Senior Citizen should be ‘Resident’ in the previous year
- Senior Citizen has pension income and interest income only & interest income accrued / earned from the same specified bank in which he is receiving his pension
READ THIS: Returns and forms applicable to senior citizens and super senior citizens for the AY 2021-2022