Now the Form 15G/15H for non-deduction of TDS can be filled for insurance commission – Budget 2017.

Budget 2017, proposed to amend section 197A so as to make them eligible for filing self-declaration in Form.No.15G/15H for non-deduction of tax at source in respect insurance commission referred to in section 194D

Section 194 D of the act provides for tax deduction at source (TDS) at the rate of 5% for payments in the nature of insurance commission beyond threshold limit of Rs.50,000 per financial year.

Section 197A of the Act provides that tax shall not be deducted, if the recipient of certain payments on which tax is deductible furnishes to the payer a self- declaration in prescribed Form.No.15G/15H declaring that the tax on his estimated total income of the relevant previous year would be nil.

Presently, the payment in the nature of income referred to in section 194D is not covered by provisions of section 197A.

This will be applicable from 1^st June 2017.