What is Income Tax Return (ITR) Filing?
Income Tax Return (ITR) Filing is the process through which individuals, businesses, and other entities report their income to the tax authorities, including the taxes owed and paid. The goal is to ensure that the taxes paid are accurate according to the individual’s or business’s earnings, expenses, and eligible deductions.
Simple Returns Process
You need to file returns yearly for every Financial Year. With CAFilings excellent support at best price, ITR filing is a simple process.
What is Income Tax Returns?
Particulars of income earned by a person in a financial year and taxes paid on such income are communicated to the Income-tax Department in a prescribed form. For different Status and Nature of income different forms of returns of income are prescribed for filing of returns.
If your total income without allowing deductions (such as Section 80C etc.) exceeds the basic exemption limit then as an Individual you are required by law to file your Income Tax Returns. For Assessment Year 2017-18, the basic exemption limits are the following
• Individual (both men and women) resident aged below 60 years- Rs 2,50,000
• Individual (both men and women) resident who is of the age of 60 years or more but below the age of 80 years- Rs 3,00,000
• Individual (both men and women) resident who is of the age of 80 years or more- Rs 5,00,000
Advantage of Income Tax Returns
Small Scale Service Providers
Filing of ITR for an individual ends by July 31 of every financial year. Filing of ITR in advance actually ensures hassle free filing of return.
Income Tax Alert
Filing a tax return in advance is very advisable as every additional day till July 31 increases the penal interest if one has missed filing tax returns for the previous year.
ITR Filing
History of your financial records with the tax department has been created in a much faster and easier way by filing your Income tax return online. Lot of organisations, be it financial or otherwise, whom you might have a business relationship your financial record history will create a favorable impact.
Income Tax Payments
ITR-V form is a proof of financial record, handy, since it can be readily furnish as a proof for any kind of financial liability.