An income tax return (ITR) form gives the Income Tax Department information about your income and taxes. A taxpayer’s income is used to determine their tax liability. The individual will be eligible for a refund from the Income Tax Department if the return reveals that excess tax was paid during the year.

A person or business that earns any income during a financial year must file an annual income tax return. The income could come from a salary, business profits, real estate, capital gains, interest, or other sources.

Individuals and businesses are required to submit tax returns by a certain date. A taxpayer who fails to meet the deadline must pay the penalty.

Is submitting an Income Tax Return a requirement?

If your income exceeds the basic exemption limit, you must file income tax returns according to India’s tax laws. For taxpayers, the income tax rate is predetermined. If you don’t file your returns on time, you’ll have to pay late filing fees and have less chance of getting a loan or a travel visa.

Who is obligated to submit an ITR?

Now that you know who they are, let’s look at the list of people and businesses required by law to file income tax returns each year.

Anyone under the age of 59 who earns more than Rs. 2.5 lakhs per year is required to file an IT. Though there are different rules and policies related to tax that the Government changes and we work by following the latest updates.

A registered business with a yearly income, even if it has not made any money in the past. A person who wants a refund for extra income tax or tax taken out of their annual income.

An individual who has a financial interest in or asset outside of the country.

A company based in India that receives treaty benefits for domestic transactions.

NRIs who earn more than the basic Rs 2.5 lakh yearly exemption limit.

Documents required to complete the ITR –

Before beginning the e-filing process, it is essential to have all relevant documents on hand.

Passports for savings accounts, PPF accounts

Salary slips from banks and post offices

PAN and Aadhar cards

As tax consultants, Multi Management Services assists businesses, firms, and high-net-worth individuals with preparing, reviewing, and filing their income tax returns. We provide tax services based on laws, income tax compliance, and advisory services.