Is the new tax regime better for senior citizens?

Often, yes. The new regime makes taxable income up to ₹12 lakh tax-free and gives a ₹75,000 standard deduction on pension. The old regime wins only with large deductions such as 80C, 80D and 80TTB.

Do senior citizens get a higher 80D deduction?

Yes. Up to ₹50,000 for health insurance for yourself and your spouse, and medical bills count if you have no insurance. That's only in the old regime.

Is Form 15H valid for the whole year?

Yes, for the financial year it's given for. Submit a fresh one to each bank at the start of every year.

Income tax for senior citizens: limits, 80TTB, Form 15H and when not to file

Updated 23 September 2026

Resident senior citizens (60 to 79) and super senior citizens (80 and over) get higher tax-free limits in the old regime, a ₹50,000 deduction on interest, a higher health insurance deduction, no advance tax, and, at 75 and over in some cases, no need to file at all. The new regime has the same slabs at every age but often works out cheaper anyway.

How much income is tax-free for senior citizens?

	Old regime	New regime
Age 60 to 79	₹3 lakh	₹4 lakh basic exemption; no tax up to ₹12 lakh of taxable income after the rebate
Age 80 and over	₹5 lakh

Pension from a former employer counts as salary, with a standard deduction of ₹75,000 in the new regime or ₹50,000 in the old.

Which deductions can senior citizens claim?

Section 80TTB: up to ₹50,000 of interest from banks, co-operative banks and post office deposits, including FDs and savings accounts.
Section 80D: up to ₹50,000 for health insurance for yourself and your spouse, and medical bills count if you have no policy. Up to ₹50,000 more for senior-citizen parents.
Section 80C: up to ₹1.5 lakh, including the Senior Citizens' Savings Scheme and 5-year tax-saving FDs.

All three are old-regime only.

Which regime is better? Two examples

Age 65, pension ₹6 lakh, FD interest ₹4.5 lakh, 80C ₹1.5 lakh, health insurance ₹40,000: ₹0 tax in the new regime against ₹64,480 in the old.

Age 82, pension ₹4 lakh, FD interest ₹3 lakh, health insurance ₹50,000: ₹0 in the new regime against ₹10,400 in the old.

How do I stop TDS on my fixed deposits?

Banks deduct TDS once your interest from them passes ₹1 lakh in a year. If the tax on your total estimated income for the year is nil, give each bank Form 15H at the start of the year and they won't deduct it.

Do I need to file a return at 75?

Not if you're 75 or older, a resident, and your only income is pension and interest from the same bank that pays your pension. Give the bank a declaration (Form 12BBA); it works out your tax, including deductions, and deducts it (section 194P).