Income Tax Return’s
Income Tax Return’s
Income Tax Return is the form in which assessee files information about his Income and tax thereon to Income Tax Department. Various forms are ITR 1, ITR 2, ITR 3, ITR 4, ITR 5, ITR 6 and ITR 7 . When you file a belated return, you are not allowed to carry forward certain losses.
Types Of Income Tax Returns
This ITR filing is for individuals whose income from Salary, Pension, House Property, or Other Sources upto INR 50 Lakhs.
This return is for Individuals & HUF whose income is from salary, pension, house property, capital gains, foreign asset/income or other sources.
This income tax return is for Individuals & HUF having income from profit and gains of business or profession (PGBP).
This ITR Filing is for Individuals or HUF who have income from PGBP but have opted for presumptive income scheme.
This return is for Firms, LLPs, Body of Individuals (BOI) and Association of Persons (AOP).
This return is for all type of companies such as Public Limited Company, Private Limited Company, OPC, except Section 8 Company.
Benefits Of Filing Income Tax Return
Though According to income tax laws, filing the return and updating your ITR status is mandatory for every individual or entity whose income exceeds the threshold limit mentioned in the Income Tax Act-1961. There are certainly many benefits of filing of ITR:-
Avoid Penalty up to INR 10,000/-
This year, the government has introduced a new section in the Income Tax Act-1961, i.e. section 234F wherein failing to file ITR on due date July 31, 2018, attracts a mandatory penalty of ₹ 5,000/- that may extend up to ₹ 10,000/- if not filed before 31st December, 2018.
Avoid Tax Notice Of Non-Filing of ITR
Remember, Uncle Sam is having an eye on your ITR status! In case you fail to duly file your Income Tax Return, you may get a tax notice from the Income Tax department, which would land you up in trouble. Better you timely fulfil the ITR filing process.
Get Tds Refund Back
If your client or employer deduct your TDS while making payment, it might be that you’re eligible for Tax Refund. On filing Income Tax Return you can claim your TDS credit and get a refund back excess TDS deducted over your net tax liability.
Ease In Availing Loans
Income Tax Return is a primary requirement of the bank and financial institution while sanctioning the loan. Income declared in Income Tax Return depicts your financial credibility which helps you to sanction loan easily.
Can Take Input Or Carry Forward Losses
Timely filing of income tax return make you eligible to carry forward your business & capital losses, if any, during a financial year which can be adjusted against income earned in the subsequent years and ultimately save your taxes.