Income Tax Return Filling

What is Income Tax Return ?

Income Tax Return Filling the form in which the taxpayer files information about his income and tax on it to the Income Tax Department. Its 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 ITR Forms

Here are different types of Income tax Return (ITR) Forms :

1. ITR – 1 ( Sahaj ) : For individual with income from :
   • Salary / Pension
   • One House Property
   • Other Source ( Interest , etc. )
   • Total income up to 50 lakhs
2. ITR – 2 For Individual with income from :
   • Salary / Pension
   • More than one house Property.
   • Capital gains
   • Foreign income
   • agriculture income above ₹5,000
3. ITR-3 For individual with income from :
   • Buisness / Profession
   • Capital gains
   • Foreign income
   • agriculture income above ₹5,000
4. ITR-4 (SUGAM) : For Individual with income from :
   • Buisness / Profession ( Presumptive taxation )
   • salary Pension
   • Other Sources ( Interest, etc )
   • total income up to ₹50 lakhs.
5. ITR – 5 : For
   • Partner firms
   • Limited liability partnership(LLPs)
   • Association of Person ( AOPs)
   • Body of Individual ( BOIs)
6. ITR-6 For
   • Companies ( Other than those claiming exemption under Section 11)
7. ITR – 7 For
   • Persons required to furnish return under section 139(4A) or Section 139(4C) or Section 139(4D)

---

Benefit of Filling ITR

1. Compliance with tax laws : Filling ITR ensures compliance with tax laws and avoids penalties.
2. Claim refunds : if you have paid excess tax, filling ITR helps you claim refunds.
3. Carry forward losses : Filling ITR allows you to carry forward losses to future years.
4. Apply for loans : Filling ITR is often required when applying for loans, Credit cards, or other fiancial sevices.
5. Visa Processing : Filling ITR is required for visa prcessing for certain countries.
6. Avoid Penalty and interest : Filling ITR on time avoids penalty and interest on tax dues.
7. Improve Credit score : Filling ITR regularly can improve your credit score.

---

Additional benefits

• Easy to file : ITR is now easy and convenient with online filling options.
• Reduced tax liability : Filling ITR help you reduce your tax liability by claiming deductions and exemptions.
• Tax Planing : Filling ITR Helps you plan your taxes for the future.

Remember, filling ITR is a mandatory requirement for individual with income above a certain thresold. it’s essential to file ITR on time to avoid penalties and interest.

Read this also : Buisness Loan For Startup – A Step By Step Guide

---

How to fill Income Tax Return ( ITR ) ?

1. Firstly Gather Required Documents
   • PAN Card
   • Aadhaar Card
   • salary Slip ( For Salaried Person Only )
   • Aadhaar Card Linked Mobile Number .
   • TDS Certificate ( For TDS Claim )
   • Bank passbook
   • Buisness Name ( For Buisness man )
2. Now Choose the Correct ITR Form.
3. Fill the Personal details
   • Name
   • PAN
   • aadhar number
   • Address
   • Contact details
4. Fill income details
   • Salary income
   • Income From House Property.
   • Capital Gains
   • other Source ( Interest , etc )
5. Fill tax Payment details
6. Verify and Submit
7. E-verify

Voila ! You have sucessfully Filled the ITR.

Read this also : PI Coin Price In India

---

Conclusion : Filing income tax returns benefits you and the country. The government uses your tax money to improve the country’s infrastructure and other services like healthcare and defense. Also, if more people register then the government can spend more money and give us a better country

---

Frequently Asked Question (FAQ)

#itrform #ourfinanceboss #banking