INCOME TAX RETURN FILING
As per the Income Tax Act 1961, if any person whose income chargeable to income tax exceeds the limit prescribed is required to file the income tax return annually.
Income Tax Return is to be filed stating the details of income earned, its sources and expenditure made by the tax payer during the financial year. (The financial year means the year starting from 1st April to 3st March)
There are two methods of filing the Income Tax Return: Either Manually or Online.
- Benefits of Income Tax filing:
- Lesser chances of It Scrutiny: Avoid legal consequences if cash is deposited during demonetization is greater than Rs. 2 lakhs in your bank account.
- Avoid Tax Notices: As Income tax returns are filed properly there are less chances of getting Tax Notices.
- Documentation: Filing Income Tax Return means building your financial documentation showing your financial investments which will be advantage when you apply for loan or visa.
- Carry Forward of Losses: You can carry forward the losses against house property and depreciation.
- Tax Refund: The amount of refund shown while filing the return will sooner be credited to your account.
- Quick Visa Processing: If the income tax returns are filed on time it will be helpful while applying for the visa as most of the embassies and consulates require to submit IT returns for latest 3 years