Who is required to file Income Tax Return (ITR)?
Following people need to file their Income Tax Return (ITR) by due date specified under the Income Tax Act to avoid late filing fees, interest and penalties:
- A company or a firm, irrespective of whether they have profit or loss, filing ITR for the financial year is a must.
- A person less than 60 years of age with total annual gross income exceeding Rs. 2.5 lacs or a senior citizen (between 60 and 80 years) with total annual gross income exceeding Rs 3 lacs or super senior citizen (80 years or above) with total annual gross income exceeding Rs 5 lacs.
- An Indian resident who owns an asset or beneficiary of asset located outside India (including shares of foreign companies).
- Any person who has owned or leased four wheeler.
- Owner or tenant of a big house (exceeding floor area specified by the department)
- Someone who has incurred expense on foreign travel.
- Holder of a credit card (not being an add-on).
- Member of a club where entrance fee charged is Rs. 25,000 or more
If a person does not fall into any of the above criteria but wants to avail any kind of loan, then they can file their ITR as ITR filings are taken as valid income proofs. Further, if the person is looking forward to claiming a tax refund for the financial year in case the tax deposited exceeds the amount of tax to be payable, they need to file their ITR.
Due Date for filing Income Tax Return
Assessees who are not required to get their books of accounts audited need to file ITR by 31st July. In case audit is applicable, ITR can be filed until 31st October.