Sage-Tips

What is meant by income tax return?

Income Tax Return (ITR) is a form which a person is supposed to submit to the Income Tax Department of India. It contains information about the person’s income and the taxes to be paid on it during the year. Income can be of various forms such as : Income from salary. Profits and gains from business and profession.

Who is eligible for income tax return?

Individuals whose taxable income exceeds the maximum amount not chargeable to tax are eligible for income tax return. The basic exemption limit for FY 2019-20 is Rs 3 lakh for senior citizens (aged between 60 and 80 years), Rs 5 lakh for super senior citizens (aged 80 years or more), and Rs 2.5 lakh for others.

Why do we file income tax return?

According to the income tax laws, filing ITR is mandatory for some and voluntary for others, however, filing it is essential regardless of the category one falls under. ITR is a tax return form used by taxpayers to report their income and assets to the Indian Income Tax Department (Indian Revenue Authorities).

How do I calculate my income tax return?

To calculate Income tax, include income from all sources. Include:

1. Income from Salary (salary paid by your employer)
2. Income from house property (add any rental income, or include interest paid on home loan)
3. Income from capital gains (income from sale purchase of shares or house)

How do I start my income tax return?

On Income Tax Return Page:

1. PAN will be auto-populated.
2. Select ‘Assessment Year’
3. Select ‘ITR Form Number’
4. Select ‘Filing Type’ as ‘Original/Revised Return’
5. Select ‘Submission Mode’ as ‘Prepare and Submit Online’

How can I calculate my income tax return?

Is income tax return mandatory?

Filing income tax returns is mandatory for those whose total income is more than Rs. 2,50,000. We recommend that you file your income tax return, even though it is not mandatory if total income isn’t over Rs. 2,50,000.

How do I check my income tax return?

You can e-Verify your returns online using:

1. OTP on mobile number registered with Aadhaar, or.
2. EVC generated through your pre-validated bank account, or.
3. EVC generated through your pre-validated demat account, or.
4. EVC through ATM (offline method), or.
5. Net Banking, or.
6. Digital Signature Certificate (DSC).