How Is Retirement Income Taxed For Senior Citizens? Key Rules Explained

Senior citizens often depend on fixed deposits, recurring deposits, savings accounts, government schemes and rental income after retirement. Ankit Jain, Partner, Ved Jain & Associates, explains how interest and rental income are treated for tax purposes. If total income remains within the applicable tax-free threshold, there may be no tax liability, subject to the tax regime and eligibility. Banks may deduct TDS on interest when applicable, but eligible taxpayers can submit Form 15H to request non-deduction of TDS. Rental income is also taxable after considering applicable deductions and rules. Proper retirement tax planning can help senior citizens manage regular income efficiently.