Income Tax Return: Don’t have taxable income? Check if you still need to file your ITR

According to section 139(1) of the Income Tax Act, an assessee needs to file Income Tax Return (ITR) on or before the due date of filing ITR when the total annual income exceeds the maximum amount, which is not chargeable to income tax. Currently, the income limit beyond which filing ITR becomes mandatory is Rs 2.5 lakh in a Financial Year (FY) as the tax rate on income up to Rs 2.5 lakh is zero per cent.

However, even if an individual doesn’t have taxable income, he/she may still have to file ITR in case the individual had received any income during the FY, on which tax was deducted at source (TDS). Not only to claim the TDS amount back as income tax refund, but filing ITR is also necessary in such cases.

Loading...

Even if it is not mandatory for an individual to file his/her ITR as per the above provisions, filing return of income would still be essential this year if one or more conditions mentioned in the seventh proviso to section 139(1) is/are fulfilled.

Under the following circumstances, it becomes mandatory for you to file a return of income under Seventh proviso to section 139(1), which otherwise was not required due to the level of your income.

Filing return of income becomes necessary, if you have deposited in one or more current account(s) during the FY 2019-20 an amount or aggregate of amounts exceeding Rs 1 crore.

If you have spent an amount or aggregate of amount exceeding Rs 2 lakh in FY 2019-20 for travel to a foreign country for yourself or for any other person, filing ITR will become mandatory for you.

It will also become mandatory for you to file your ITR, if you have spent an amount or aggregate of amount exceeding Rs 1 lakh on consumption of electricity during the FY 2019-20.

So, in case you fulfill any of the above conditions, you have to file your ITR on or before the extended due date of November 30, 2020.

Source:-financialexpress

Loading...