Why filing ITR is important? Read expert opinion

ITR: Normally the Income Tax Department collects tax on your income. The tax you pay on your income is used for the development of the country. Every citizen reports their income details to the income tax department whether they are employees, industrialists, ordinary citizens, retired employees, government employees, renters, big farmers. The income tax department has fixed the income bracket for tax collection of people. The medium through which details of your income are disclosed is called Income Tax Return (ITR). It is important for everyone to know why filing income tax returns is important. What are its benefits, how much income does the Income Tax department collect tax on and how much income is exempt from tax? Let's find out the answers to all these questions. ITR can be filed even after deducting TDS, he says, generally there is a misconception that taxpayers don't need to file Income Tax Return (ITR) if there is no liability. But, the reality is completely different from this. The last date for filing Income Tax Return for the financial year 2023-24 (assessment year 2024-25) for non-audited persons is 31 July 2024. Kanhaiya Modi added that many salaried employees believe that if the appropriate TDS is deducted from their salary, they do not need to file income tax returns. Most people consider Tax Deducted at Source (TDS) to be fully compliant, but this is not true. Income tax returns can be filed even after deducting TDS. Why filing ITR is important? Kanhaiya Modi adds that if an individual taxpayer's income is less than the basic exemption limit in a financial year, the tax liability is nil. Therefore, such persons are not liable to file Income Tax Return as per the provisions of Section 139(1) of the Income Tax Act, 1961. They can file a nil return. But if the total gross income exceeds the basic exemption limit, filing of return is mandatory. Also Read: HDFC Bank Credit Card Transactions To Be Charged From August 1 When Will Senior Citizens Get Relief Under Section 194P of Income Tax Act? 75 years or above is not required. If they fulfill certain conditions like their income is pension and the income is from the same bank as the pension, then the bank deducts the tax in such a situation. In such a situation, they are not required to file income tax returns. Also Read: ITR Filing: How Much Do Chartered Accountants Charge For Filling ITR Form? Under the old tax system, a person below 60 years of age would have to pay Rs. 2.5 lakh tax exemption but tax exemption for those above 60 years of age under the new tax regime Rs.5 lakh basic exemption limit for all categories of taxpayers Rs. 5 lakhs upto. Filing of Income Tax Return (ITR) is required if annual bank deposits exceed Rs.50 lakh and annual deposits in one or more current accounts exceed Rs.1 crore. Professional Income Rs. 10 lakhs and above: Your professional income is Rs. If it is more than 10 lakhs, you are required to file Income Tax Return (ITR). Electricity bill above Rs.1 lakh: If electricity bill is above Rs.1 lakh in a year, filing of Income Tax Return (ITR) is required. TDS-TCS Deduction Above Rs.25K: If your TDS or TCS Deduction is above Rs.25K or Senior Citizen's TDS Deduction is above Rs.50K, Filing of Income Tax Return (ITR) is required in such situation. ) Income from foreign property: If you have acquired property in another country and received profit from it or if you are entitled to sign bank account in any country outside India, you need to file Income Tax Return (ITR). Expenditure on foreign travel: If you spend Rs 2 lakh or more on traveling abroad for yourself or any other person in a financial year, filing of Income Tax Return (ITR) is required. The post Why file ITR? Read expert opinion appeared first on Prabhat Khabar.