The deadline for filing your income tax return is coming. The Income Tax Department is issuing reminders to taxpayers through SMS and email to file returns before the deadline. The government is also informing taxpayers about this on Twitter. Is it mandatory for every employee to file an income tax return? Is it required to submit a return even if no tax liability exists?
According to income tax laws, a person is free from tax if his yearly income is less than Rs 2.50 lakh. Such a person is not required to file an income tax return. However, tax experts believe that submitting income tax returns is advantageous even if the yearly income is little. You must file your return for income generated in fiscal year 2021-22 by July 31, 2022. Following that, there will be a penalty for failing to file the return.
If you deducted TDS while having a modest income, the refund would be available only when you file your income tax return. As a result, if their TDS is deducted, it will be beneficial for such persons whose yearly income is less than the tax exemption level of Rs 2.5 lakh to submit a return. According to experts, banks require ITR results when applying for a home loan or any other loan. When ITR results are provided, the bank’s confidence in the consumer grows.
According to experts, if a person’s taxable income is less than the exemption level from income tax, but his gross total income exceeds the exemption limit, he must submit an income tax return. If a person pays an electrical bill of Rs 1 lakh or more, he must file a tax return.
If a person spends Rs 2 lakh on his own international trip or the foreign travel of another person, he must file an income tax return. Even if a person has assets in another country, he must file a return.
This year’s deadline for filing income tax returns is July 31. The income tax department has delayed the deadline for filing income tax returns twice in the previous two years. This was because to the corona outbreak. Last year, the deadline for submitting forms was December 31 rather than July 31. However, the Income Tax Department has not yet extended the deadline for filing returns.