Income Tax Return is a form in which the tax payer furnishes information as to his total income and the tax payable , to the Income Tax Department. The concerned department has notified 7 forms and they are ITR -1, ITR -2, ITR -3, ITR – 4, ITR 5, ITR -6 and ITR -7 to date. Every tax payer has to file the ITR before due dates.
Why to file ITR ?
Few reasons to file your ITR are,
Loan facilitation
Banks considered ITR as an evidence of income, address proof and financial stability which helps in the easy processing of loan approval.
Penalties
IT department can charge penalties and interest for late filing or non – filing of the ITR. Legal repercussions including jail, asset confiscation may result from the failure to file an income tax return.
Refunds claiming
You can only get the refund of over paid taxes by filing an ITR. If you have invested in the schemes like PPF, NPS, ELSS ,then only you are eligible for refund and it will be transferred to your linked bank account.
Carry forward losses
A tax payer is enable to carry over losses from one financial year to another only by the regular ITR filing till the dead line set by ITR department.
Responsibility towards Nation
Filing an ITR symbolizes you as a good citizen of the Nation ,so this annual activity of yours is a social responsibility.
Conclusion
Mr. Arun Narang can guide you the best way for filing your Income Tax Returns.
