New Delhi, June 13 -- After making a bank fixed deposit, make sure you submit Form 121 if the interest income exceeds the specified threshold limit. Otherwise, the bank will deduct the tax deducted at source (TDS). You can submit the form online via net banking, mobile app or offline at a bank branch. In this article, we will understand what the TDS provisions are for fixed deposit holders and how you can avoid TDS deduction by submitting Form 121.

As per the Income Tax Act, 2025, TDS applies when the interest income payable by the bank exceeds a specified threshold. The threshold is interest payable exceeding Rs.1 lakh for senior citizens and Rs.50,000 for other individuals in a financial year.

For a bank customer, it includes interest...