Do I need to file Income Tax Return (ITR)? Know why and how to save Rs 5000

Do I need to file Income Tax Return (ITR)? Just 10 days are left for filing ITR.  Are you still wondering whether you need to file ITR or not? It is your duty to file ITR and be a part of the development of the nation. Not only this, your ITR ascertains your credit worthiness before financial institutions, which comes handy when you approach banks for loans. The Income Tax department officially says, “Filing of return is your duty and earns for you the dignity of consciously contributing to the development of the nation. Apart from this, your income-tax returns validate your credit worthiness before financial institutions and make it possible for you to access many financial benefits such as bank credits, etc. ”

You can also do e-filing at a place and time of your choice. This is simple, easy, processed faster than manually filed returns. ITR filing serves as a proof of your income as legal and disclosed and helps in applying for loans, tenders, start-up funding from financial institutions.

All taxpayers earning above the specified income threshold are required to file ITR on a mandatory basis, as per the Income Tax Act.

Even if you have suffered a loss in the financial year, you need to do the filing. The IT department says, “If you have sustained a loss in the financial year, which you propose to carry forward to the subsequent year for adjustment against subsequent year(s) positive income, you must make a claim of loss by filing your return before the due date. “

Only 10 days left

The deadline for filing ITR this year is August 31. You need to filing within the deadline to avoid Rs 5000 as fine. Belated ITR filing is allowed but it attracts penalty. The IT department says, “As per section 234F, late filing fees of Rs 5,000 shall be payable if return furnished after due date specified under section 139(1) but before 31st December of the assessment year.”