For a layman TDS or TAX is very cumbersome to handle and they are afraid of various procedures related to it. So, in this article I have tried to point out few things which an Assessee/ Taxpayer needs to know :-
 TDS is deducted on CBS approach. Before 01-06-2015 , TDS was deducted by banks considering branch customer approach. i.e. interest earned on deposits kept with different branches of same bank was not clubbed by bank for TDS purpose. Now, the bank will deduct TDS considering bank customer approach. i.e. interest earned on deposits kept with different branches will be clubbed by bank for TDS purpose. So, customers cannot escape by keeping deposits in different branches of same bank for TDS purpose.
 TDS will be deducted by cooperative banks on Interest paid to their members. So, for investors there is no benefit of being a member of Cooperative Bank for TDS purpose.
 The definition of ‘time deposits’ is amended and now TDS is deducted on recurring deposits interest also.
 The limit of Rs.10000/- is applied bank wise and not branchwise .
 TDS is deducted on financial year to year basis and not that it will be deducted whole at the time of maturity. So, the limit of Rs.10000/- will be applied Financial year wise.
 However, wherever applicable customers can submit 15H/15G form not non deduction of TDS.
 Some points to be takeen care of while submitting Form 15G/Form 15H
– It should be noted that PAN is required to submit 15H/15G form to banks. If PAN is given TDS will attract rate of 10% , otherwise TDS will be deducted @ 20%.
– Investors have to submit this form in the beginning of the financial year to avail the benefit of non deduction of TDS. If a customer submits this form after deducting TDS the bank will not refund it as the bank has already transferred it to Income tax department. If TDS is deducted, the customer can get back as a refund only by filing the Return.
– A person who is not a company and not a partnership firm can submit 15G form to the bank.
– HUF, AOP also can submit 15G Form.
– Senior Citizen (cut off age 60 years) can submit 15H form.
– total income should not exceed basic exemption limit i.e. 2.50 lacs ( for senior citizen 3 lacs)
– Total Tax liability should be nil.
– Bank F.D. interest income should not exceed basic exemption limit. Otherwise the bank will deduct TDS though you have submitted 15G/15H.
– Never sign blank form nor give wrong income , as wrong declaration will cause you imprisonment also.
– Always take one received copy from bank for proof of submission.