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If your annual income is less than Rs 7 lakh, do you know whether ITR needs to be filed or not?

Sagar Patel

By Sagar Patel

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If your annual income is less than Rs 7 lakh, do you know whether ITR needs to be filed or not?

The last date for filing income tax returns for the financial year 2023-24 and assessment year 2024-25 is approaching. In such a situation, those who are under the tax slab and have not yet filed income tax return, can file it on time. Those whose income falls outside the tax scope are not required to file returns.

Generally, if there is no tax liability, taxpayers feel that they do not need to file income tax return, but this is not the case. In such a situation, let us know that if your annual income is less than Rs 7 lakh, should you file a tax return or not?

Is it necessary to file ITR on annual income less than Rs 7 lakh?

People who choose the old tax regime get the benefit of tax exemption on annual income of Rs 5 lakh. Under the new tax regime, no tax will have to be paid on income of Rs 7 lakh. Suppose your income is Rs 7.50 lakh, then in such a situation you are not required to pay income tax after the standard claim of Rs 50,000, but in such a situation it is necessary to file an income tax return.

Apart from this, you will get the benefit of a maximum tax exemption of Rs 12,500 in the old tax regime. While in the new tax system this exemption is Rs 25,000. In both cases, you have no tax liability, but you must file an income tax return under certain circumstances. In most cases, if there is no tax liability, taxpayers feel that it is not necessary to file income tax return, but this is not the case.

For which people is it necessary to submit the ITR?

  • If your gross salary falls on the tax table without any deductions, then you must file an income tax return.
  • Under the old tax regime, ITR is required to be filed for people above 60 years of age who have an annual income of more than Rs 2.50 lakh.
  • ITR is required to be filed for senior citizens between 60 and 80 years of age whose annual income exceeds Rs 3 lakh.
  • People above 80 years of age who have income above Rs 5 lakh are also required to file an income tax return.
  • Taxpayers having bank deposits of more than Rs 50 lakh are required to file income tax returns.
  • If your professional income exceeds Rs 10 lakh in a financial year, then in such a situation, it is necessary to file an income tax return.
  • It is necessary to file ITR for those whose TCS/TDS is more than Rs 25,000.
  • If you earn income from foreign properties, in such a situation you need to file an income tax return.
  • If you spend more than Rs 2 lakh on foreign travel, you will need to file an income tax return.

These huge losses can occur if you do not file the ITR

It should be noted that the date of filing the income tax return without penalty for the financial year 2023-24 and the settlement year 2024-25 is July 31, 2024. If you file the ITR after July 31, you will have have to pay a fine of Rs 1,000 on an annual income of Rs 5 lakh. While with income more than Rs 5 lakh, you will have to pay Rs 5,000 as fine.

Sagar Patel

Sagar Patel

I am Sagar Patel, specializing in business news reporting. With a keen focus on economic trends, market analysis, and corporate developments,

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