Articles Discusses Income Tax Benefits Available to Senior Citizens in India. A person becomes senior citizen under Income Tax Act in any year after attaining the age of 60 even for one day. Once he attains 60 years, his status as senior citizen in that financial year, gives him some relief. There are not many income tax exemptions available for senior citizens. These are listed below:
Q.1 What are the benefits available to a senior citizen and very senior citizen in respect of tax rates?
Ans. Senior citizens and a very senior citizen are granted a higher exemption limit as compared to normal tax payers. Exemption limit is the quantum of income up to which a person is not liable to pay tax. The exemption limit granted to senior citizen and very senior citizen for the financial year 2022-23 is as follows :
| Senior citizen | Very senior citizen |
| A senior citizen is granted a higher exemption limit compared to non-senior citizens. The exemption limit for the financial year 2022-23 available to a resident senior citizen is Rs. 3,00,000. The exemption limit for non-senior citizen is Rs. 2,50,000. Thus, it can be observed that an additional benefit of Rs. 50,000 in the form of higher exemption limit is available to a resident senior citizen as compared to normal tax payers. | A very senior citizen is granted a higher exemption limit compared to others. The exemption limit for the financial year 2022-23 available to a resident very senior citizen is Rs. 5,00,000. The exemption limit for non-senior citizen is Rs. 2,50,000. Thus, it can be observed that an additional benefit of Rs. 2,50,000 in the form of higher exemption limit is available to a resident very senior citizen as compared to normal tax payers. |
Q.2 At what age a person will qualify as a senior citizen and very senior citizen under the Income-tax Law?
Ans. Before understanding the age criteria, it is very important to know that the tax benefits offered under the Income-tax Law to a senior citizen/very senior citizen are available only to resident senior citizen and resident very senior citizens. In other words, these benefits are not available to a non-resident even though he may be of higher age. The age and other criteria to qualify as a senior citizen and very senior citizen under the Income-tax Law are as follows :
| Criteria for senior citizen | Criteria for very senior citizen |
| Must be of the age of 60 years or above but less than 80 year at any time during the respective year. | Must be of the age of 80 years or above at any time during the respective year. |
| Must be resident | Must be resident |
Q.3 Is there any special benefit available under the Income-tax law to senior citizens?
Ans. Yes, the Income-tax Law very well takes care of the senior citizens of the nation by offering them several tax benefits. In this part you can gain knowledge of various benefits offered by the Income-tax Law to senior citizens.
Q.4 Is a very senior citizen granted exemption from e-filing of income tax return?
Ans. A very senior citizen filing his return of income in Form ITR 1/4 can file his return of income in paper mode, i.e., for him e filing of ITR 1/4 (as the case may be) is not mandatory. However, he may go for e-filing if he wishes.
Q.5 Is a Resident senior citizen granted exemption from payment of advance tax?
Ans. As per section 208, every person whose estimated tax liability for the year is Rs. 10,000 or more, shall pay his tax in advance, in the form of “advance tax”. However, section 207 gives relief from payment of advance tax to a resident senior citizen. As per section 207 a resident senior citizen (i.e., an individual of the age of 60 years or above during the relevant financial year) not having any income from business or profession, is not liable to pay advance tax.
Q.6 What are the benefits available in respect of interest on deposits in case of senior citizens?
Ans. Section 80TTB of the Income Tax law gives provisions relating to tax benefits available on account of interest income from deposits with banks or post office or co-operative banks of an amount upto Rs. 50,000 earned by the senior citizen (i.e., an individual of the age of 60 years or above). Interest earned on saving deposits and fixed deposit, both shall be eligible for deduction under this provision.
Section 194A of the Income Tax law gives corresponding provisions that no tax shall be deducted at source from payment of interest by bank or post-office or co-operative bank to a senior citizen up to Rs. 50,000. Therefor limit is to be computed for every bank individually.
Q.7 What are the benefits available in respect of expenditure incurred on account of medical treatment of specified diseases on treatment of a senior citizen?
Ans. section 80DDB of the Income-tax Law gives various provisions relating to tax benefits available on account of expenditure on medical treatment of specified diseases. Click the following link to know about details of section 80DDB which covers the details of special benefits under section 80DDB available to a senior citizen. Check page 8 topic “Deduction in respect of expenditure on medical treatment of specified diseases [ section 80DDB]”
Q.8 What are the benefits available in respect of expenditure incurred on account of medical insurance premium/ medical expenditure to a senior citizen and on account of?
Ans. Section 80D of the Income-tax Law gives various provisions relating to tax benefits available on account of payment of medical insurance premium and other related items. Click the following link to know about details of section 80D which covers the details of special benefits under section 80D available to a senior citizen. Check page 5 topic “Deduction in respect of medical insurance premium [ Section 80D]”
Q.9 Is a senior citizen exempts from filing Income-tax return (ITR)?
Ans. Income-tax Act, 1961 provides no exemption to senior citizen or very senior citizen from filing of return of income. However, to provide relief to the senior citizens (whose age is 75 years or more) and to reduce the compliance burden on them, the Finance Act, 2021, has inserted a new section 194P.
This provision requires a banking company to deduct tax under this provision if deductee is maintaining an account with it in which he is receiving his pension income. The tax is required to be deducted under this new provision if the recipient is a resident individual whose age is 75 years or more at any time during the year and the following conditions are fulfilled:
a) Total Income of the deductee consists only income in the nature of pension and interest received or receivable from any account maintained with deductor (such bank); and
b) Deductee has furnished a declaration to deductor containing prescribed particulars.
If the above conditions are satisfied, the deductor shall compute the income of deductee after giving effect to the deduction allowable under Chapter VI-A and rebate under section 87A. Tax on such income is required to be deducted on the basis of rates in force.
If tax is deducted from the income of such senior-citizen, he shall not be liable to furnish the return of income for the previous year in which tax has been deducted.
[As amended by Finance Act, 2023]
Sir I request to inform that now that as the exempted interest for Senior citizen is Rs 50,000, is it necessary for Senior citizen to submit 15 H form.
Is standard deduction available for pensioner senior citizens for the financial year 2017-18 and 2018-19. If so what is the amount and can it be shown under sec 80C. Being a heart patient I am incurring nearly Rs 3500/- on medicines. Does this expenditure come under standard deduction
Sir,
I am a central Govt. Employee, retired in OCT-2017 and I am getting pension from Andhra Bank. At the time of retirement, no tax has been deducted from the employer at the time of retirement although ‘tax payable ‘ is there. Under which TAN I have to pay the tax. Please reply.
Chandrasekhar
Dear Sir,
I am a senior citizen having taxable income (not from business) for AY 2018-19. Can you please confirm the date by which self assessment tax is required to be paid by me:
(i) by 31.03.2018
(ii) by last date of filing tax return
(iii) any other date
Regards
R K Gupta
9971994615
in which we show retirement benefits in assessment form
my date of birth 11.09.1957 can I take benefits for seriior citizen in Assessment year 2018-19/ f.y. 2017-18 and in which retirement benefit show in assessment form
my date ofo birth 11.09.1957 can I take benefits for serior citizen in Assessment year 2018-19/ f.y. 2017-18
I am a pensioner and the bank is deducting about 17% of the pension as TDS. Is this correct? What is the rule?
Excellent and informative to Super Senior Citizens, This should be made known to the Tax Officers who are in the habit of harassing the Super/Very senior citizens
P.V.RAO Vizag
Whether my deposit in tax saver FD for 5 years would fetch interest at normal rate or as applicable to Senior citizens ( I am 61 years old) 2. Whether the interest is payable only at the end of 5 years, cumulatively, or eligible to draw annually
What is use of writing queries when there is no reply to the same it creat more confusion.SR CITIZEN
I am a senior citizen.
I have sold my property and have earned long term capital gain on the sale.
After buying LTCG bonds, I am to pay tax on the remaining amount. Since Senior citizens are exempt from paying advance tax, can I pay this entire tax as Self assessment tax at the time of filing my return.
Would intrest and penalty be levied on income of super senior citizen for AY 2015-2016 for non payment of tax and non filing of return ,having capital gain long term of about 25 lakhs
my birth date is 20.07.1957, as i am eligible for senior citizen for the assesment year 2017-18 .
Please reply
THANKU YOU
my birth date is 20.07.1957, as i am eligible for senior citizen for the assesment year 2017-18
A Govt female employee date birth is 02/02/1957. she complete 60 years on 02/02/2017 can she get benefit under Senior Citizen slab for the financial year 2016-17. please suggestion
I m central government retired employee. I m living in rented house. Please tell the tax benefit. Further, I m not claiming any medical treatment amount from office. But we r spending on our medical checkups n medicines regularly as we v undergone heart surgery. Me n my wife. How much tax benefit I can claim. And please tell we v not claimed fr the last two years. Can we claim this year
My DOB is 19.08.1957, for Asst. Year 2017-18 can my Employer consider me as Senior Citizen for Tax Deduction.
Please give me a detailed rules for calculating of income tax of monthly income scheme of post office regarding joint account holder
My sister’s DOB is 15/12/1937. Whether I am a super senior citizen for Asst. 2017-18
on which date (30.3.2017 or 28.2.2017) 60years completed to get the benefit of tax exemption upto Rs.300000/-
on which date(30.3.2017 or 28.02.2017 ) 60years completed to take nil tax upto Rs.300000/-
my date of birth is 15/05/1949. can i take advantage of senior citizen for AY 2011-12
Dear sir,
i have resigned my previous job on 31st,July’16 ( same day i had completed the age of 60 years being my dob is 31.07.1956)., and worked with the present employee for 4.5 years, and previously had worked for 32 years with other companies., overall my experience with various was 37 years+., also i am getting pension of Rs1700/ per month from LIC thru previous employee.
Now i like to know my SA with the just left employer is Rs 9.00 lakhs is taxable if i with draw 100% amount.
please let me know asap.
Regards,
Ravi SV.
you will become very senior citizen after 19-9-2015.
Mr Singh, U can submit Form 15H ONLY WHEN you have -NIL- tax liability in a given year. Since U have annual income from 7 to 8 lacs, be sure of NIL liability before submitting Form 15H to Banks. 2. Yes it is OK if you deposit your tax before filing tax return.
Sasthamani. 9727746266
In Case of any Tax Related queries and tax saving tips Reach out to us: Dsssvtax@gmail.com and our experts will assist you.You can also call /whatsapp us : 9052535440
Reach out to us: Dsssvtax@gmail.com and our experts will assist you.You can also call /whatsapp : 9052535440
Reach out to us: Dsssvtax@gmail.com and our experts will assist you.You can also call /whatsapp us : 9052535440
A senior citizen age 64 years .Does he have to pay Profession tax . Or Is he exempted ..
A senior citizen is a partner in a partnership firm & receiving share of profit from that firm & which is exempt in his hand us section 10(2A), he has capital gain income & income form other sources too,
so would he be liable to pay interest u/s 234B & 234C?
What is the maximum which can be deposited in a senior citizen account? Can it be treated as tax saver also.
My income tax for FY 2008-09, 2009-10 & 2010-11 was deducted by the office under TDS but they have not filed any Returns to IT dept. However the tax is still shown as pending demand for the respective years by the IT dept. Is there any liability on my part, since the TDS was deducted by the authoritiy concerned and credited but returns not filed by them.
iam army retirement in this year 43 thousand deduction please tellme how rebate saving & exp my age 70 year my pention 7 lakh with area iam capable Travelling allowance 1600 pm
sir i am a permanent disability persons about 80% shall i eligible Rs 100000/-?
pls. specify the matater
sIR,
I AM SEEING A LOT OF QUESTIONS AND CLARIFICATIONS ARE UNANSWERED. THEN WHAT IS THE BENEFIT IS RAISING QUERIES FOR FURTHER CLARIFICATION? MY REQUEST IS NOT TO MAKE YOU UNHAPPY BUT TO EXPRESS MY FEELING.
Sir, I filed ITR for AY 2011-2012 in July 2012, Date of Birth 01.01.1950 . Resident – taxable income Rs.5,05,396/-and paid Tax due of Rs.36,132/-, before due dt. An advance Tax of Rs. 22043/-paid on on 16.03.2011 have not been taken in account by ITO, where as this amount is reflected in Form 26AS. As a result I am getting dues notices with interest. Please help me how to get it rectify . I have written to Jurisdiction ITO,DEWAS -MADHYA PRADESH, and residing in New Delhi .Thanking you . P.S.UCHHANA
I am 70 year of age. I work as a Housing Society Manager. I am paid Rs 25, 000 pm. Am I to pay income tax and is my employer to deduct any tax on my salary (TDS) ? Thanks.
i am 64 years old and my mother is 80 years old
i expend 45000 for medicine and others for my mother
pls tell me how much medical tax benifit i get
My DOB is 25.09.1957. Would I be eligible for higher exemption limit for AY 2016-17?
Sir,
I am a super senior citizen having age of 84 years. I have income only from my pension and small fixed deposits and MIS, which is less than 3,00,000 per year in total. I have never filed ITR because my salary or pension was always under income tax limit. I have PAN card. I want to know that I have PAN card then is it essential to file ITR for me although I am within the exempted limit
WHETHER INT. PAID ON REVERSE MORTGAGE IS AVAILABLE FOR DEDUCTION FROM LTCG FROM SALE OF THAT HOUSE ? WHETHER THE SAID INT. PAID IS AVAILABLE AS DEDUCTION FROM INT. INCOME ON FD, IF THE SAID FD ARE MADE FROM THE SALE PROCEED OF THAT HOUSE ?
Sir,
I am a Sr. Citizen and drawing Govt pension which is more than tax free limit ie Rs. 300000. Also having fixed deposit in bank.Hence my income is within seven to eight lacs. May I submit Form 15 H to bank to avoid TDS on bank interest. Since the Sr. Citizen is exempted from advance tax and hence can I deposit total income tax before filing the return of the financial year.I have no other income except above.
V. M. Singh
I am a central govt. pensioner and a senior citizen since 1997 . My income tax in a.e 2009-10 was more than 10,000 . Was I liable to pay advance tax in fin. Year 2008-2009 ? Pl. reply to this query.
Will a senior citizen be liable to pay advance tax when they are a partner in a firm and receive a salary as a partner? The total liability exceeds 8 lakhs…
One employee’s DOB is 01/04/1956 and retiring on 31.03.2016 on sixty years retirement age in Govt organisation. Please confirm as per Income Tax Rule whether the employee is entitle for the benefit of Sr.Citizen of 60 years or not as on 31.3.2016 for taxable income after 3.00 lakh or 2.50 lakh.
Dwarka Prasad
Dear Sir,
I’m a Sr.Citizen retired CPSU employee. I spent 45000/- on medical treatment of my wife & self in OPD and the entire amount has been reimbursed by my department. I have added this amount in my income. Plz. intimate How much deduction is allowed as exempt.
Thanks
A Kumar
WHERE DOES FIND REPLIES TO THE QUERIES WHICH PUBLISHED BY YOU.
DOES AN ASSESSEE OVER 80 YEARS OF AGE LIABLE FOR PAYMENT OF ADVANCE TAX
AKHIL GUPTA
9810844828
Dear Sir,
My parents (age 70), both are doctors an owning a small nursing home. so what are the possible investment options which can give them tax benefits. Are PPF one of the good options.
The due date for filing IT Return for Asstt.Year 2015-16 is 31.08.2015. The tax works out to Rs.1,65,000/-. The TDS is Rs.1,10,000/-. I am a senior citizen. Please let me know whether interest u/s 234B will be payable?