Income tax for senior citizens and super senior citizens (2026-27): slabs, ₹50,000 interest deduction, ₹1 lakh TDS limit, no advance tax, and the 75+ no-ITR rule
A senior citizen is a resident aged 60–79; a super senior citizen is 80+. In the new regime (default) slabs are the same for all ages — nil up to ₹4 lakh, and no tax up to ₹12 lakh taxable income after rebate; a pensioner gets ₹75,000 standard deduction, so pension up to ₹12.75 lakh is tax-free. In the old regime the basic exemption is ₹3 lakh (60+) or ₹5 lakh (80+), and you can claim ₹50,000 on bank/post-office interest (section 153 of the new Act, was 80TTB), ₹50,000 for health insurance (80D) and up to ₹1 lakh for specified diseases (80DDB). Banks don’t deduct TDS on interest up to ₹1 lakh a year. Seniors without business income don’t pay advance tax. At 75+, with only pension and interest in the same bank, the bank deducts tax and you need not file an ITR.
Key facts Last verified: 15 Oct 2026
| Item | Details | Source |
|---|---|---|
| Who is a senior / super senior | Resident aged 60+ (but under 80) / resident aged 80+ at any time in the year | Income Tax Dept — Senior Citizen benefits |
| Interest deduction | Up to ₹50,000 on interest from bank, co-op bank or post office deposits incl. FDs (section 153, Income-tax Act 2025; was 80TTB) | Income-tax Act, 2025 — section 153 |
| Health insurance (80D) | ₹50,000 for self/spouse + ₹50,000 for parents; ₹50,000 medical expenditure if senior has no insurance | Income Tax Dept — Senior Citizen benefits |
| Specified diseases (80DDB) | Up to ₹1,00,000 | Income Tax Dept — Senior Citizen benefits |
| No TDS on deposit interest | Up to ₹1,00,000 a year from a bank, co-op bank or post office | Income Tax Dept — Senior Citizen benefits |
| Advance tax | Not payable by a resident senior with no business or profession income | Income Tax Dept — Senior Citizen benefits |
| 75+ no ITR | Pension + interest only, in the same specified bank, declaration in Form 12BBA → bank deducts tax; no ITR needed | Income Tax Dept — Senior Citizen benefits |
| Paper return | Super senior citizens (80+) may file ITR-1 or ITR-4 on paper | Income Tax Dept — Senior Citizen benefits |
Shantabai, 68, of Satara gets a pension of ₹4.2 lakh a year and earns ₹70,000 interest on her FDs. Should she worry about tax? Under the new regime her income of ₹4.9 lakh minus ₹75,000 standard deduction is ₹4.15 lakh — the rebate makes her tax nil. She also doesn’t need to pay advance tax, and her bank should not cut TDS because her FD interest is below ₹1 lakh (if it still does, she gives the bank Form 121).
Slabs: new regime vs old regime
New regime (default) — same for every age, Tax Year 2026-27:
| Taxable income | Rate |
|---|---|
| Up to ₹4,00,000 | Nil |
| ₹4,00,001 – ₹8,00,000 | 5% |
| ₹8,00,001 – ₹12,00,000 | 10% |
| ₹12,00,001 – ₹16,00,000 | 15% |
| ₹16,00,001 – ₹20,00,000 | 20% |
| ₹20,00,001 – ₹24,00,000 | 25% |
| Above ₹24,00,000 | 30% |
Rebate makes tax nil up to ₹12 lakh taxable income.
Old regime — higher exemption for seniors:
| Taxable income | 60–79 years | 80+ years |
|---|---|---|
| Up to ₹3,00,000 | Nil | Nil |
| ₹3,00,001 – ₹5,00,000 | 5% | Nil |
| ₹5,00,001 – ₹10,00,000 | 20% | 20% |
| Above ₹10,00,000 | 30% | 30% |
In the old regime, tax is nil up to ₹5 lakh taxable income after rebate. Add 4% cess on tax. See all slabs.
Senior citizen benefits at a glance
| Benefit | Amount | Regime |
|---|---|---|
| Standard deduction on pension | ₹75,000 (new) / ₹50,000 (old) | Both |
| Interest on deposits (bank, co-op bank, post office, incl. FD) — section 153 (was 80TTB) | Up to ₹50,000 | Old |
| Health insurance for self/spouse (80D, now section 126) | Up to ₹50,000 | Old |
| Health insurance for senior parents | Up to ₹50,000 more | Old |
| Medical bills of a senior with no insurance | Up to ₹50,000 (within 80D) | Old |
| Treatment of specified diseases (80DDB) | Up to ₹1,00,000 | Old |
| No TDS on deposit interest | Up to ₹1,00,000 a year | Both |
| No advance tax (no business income) | — | Both |
| No ITR at 75+ (specified bank) | — | Both |
| Paper ITR at 80+ (ITR-1 / ITR-4) | — | Both |
Which regime is better? If your only income is pension and interest and it’s below about ₹12.75 lakh, the new regime usually gives nil tax with no paperwork. The old regime helps when you have big deductions — high health-insurance premiums, 80DDB treatment costs, 80C savings and the ₹50,000 interest deduction together. Compare both in the income tax calculator.
The 75+ rule: when you don’t have to file an ITR
You need not file an income tax return if all of these are true:
- You are 75 or older at any time during the year and resident in India.
- Your only income is pension and interest.
- The interest is from the same specified bank where your pension is credited.
- You give that bank a declaration in Form 12BBA.
The bank then works out your total income, allows your deductions and rebate, and deducts the tax itself. If you have rent, capital gains or interest from another bank, you must file as usual.
TDS on FD interest and Form 121
Banks and post offices don’t deduct TDS on a senior citizen’s deposit interest up to ₹1 lakh a year. If your interest is higher but your total tax is nil, give your bank Form 121 (it replaced Form 15H from Tax Year 2026-27) at the start of the year — see Form 121. TDS already cut? Claim it back in your return; check it shows in 26AS/AIS.
Don’t forget the life certificate
Pensioners must submit a life certificate every year to keep pension flowing — 80+ from 1 October, others 1–30 November. It is free with Jeevan Pramaan face authentication. See life certificate.
Frequently asked questions
Who is a senior citizen for income tax?
A resident individual aged 60 or more (but less than 80) at any time during the year. A super senior citizen is a resident aged 80 or more.
What is the income tax slab for senior citizens in 2026-27?
In the new regime, slabs are the same for all ages: nil up to ₹4 lakh, with no tax up to ₹12 lakh taxable income after rebate. In the old regime, nil up to ₹3 lakh at 60–79 and ₹5 lakh at 80+, then 5%, 20% and 30%.
How much FD interest is tax-free for senior citizens?
In the old regime, a deduction of up to ₹50,000 on interest from bank, co-operative bank and post office deposits (section 153 of the Income-tax Act 2025, earlier 80TTB). Separately, no TDS is deducted on interest up to ₹1 lakh a year.
Do senior citizens need to pay advance tax?
No, if you are a resident senior citizen with no income from business or profession. Pay any remaining tax as self-assessment tax before filing.
Is ITR filing compulsory for senior citizens above 75?
Not if you are 75+, resident, have only pension and interest income from the same specified bank, and give the bank Form 12BBA. The bank then deducts the tax and no ITR is needed.
Can a senior citizen file ITR on paper?
A super senior citizen (80+) can file ITR-1 or ITR-4 in paper form. Others file online.
Official links
Use only these government websites. HumainOne is not connected to any of them.
- Senior Citizen / Super Senior Citizen — Benefits allowableOfficial list of benefits
- Income-tax Act, 2025 — Section 153₹50,000 interest deduction
- Senior Citizens — e-Filing helpITR forms, slabs, deductions
- Income Tax helplinee-filing queries
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