Easily file your income tax as a pensioner or salaried individual with Form 16
Just at ₹767 (GST Inclusive)
Say goodbye to delays and challenges! Choose India’s top company incorporation services provider to swiftly register your business. Subject to T&C*
Still having any queries?
Happy businesses & Clients.
Partnered banks & Government Orgs.
India Registered
Google Ratings
Customer Satisfaction Guarantee
OVERVIEW
INCOME TAX FILING
The Income Tax Act of India, passed in 1961, regulates all income tax regulations as well as any potential tax deductions. Due to inflation and economic conditions, the law has undergone numerous modifications since it was first passed. It was formed to aid in the application and enforcement of the law established in the Act, which was enacted by the legislature in 1961 to administer and manage income tax in the country.
Every taxpayer must file an Income Tax Return (ITR) for each financial year from April 1 to March 31. An ITR is a document that the Indian Income Tax Department uses to request information about the taxpayer’s income and taxes.
ITR forms must be submitted to file an income tax return in India via the official website. ITR forms varying from ITR 1 to ITR 7. Each form has a distinct purpose and fits into a specific category based on organization type and income categories.
INCOME TAX RETURN
WHO SHOULD FILE AN INCOME TAX RETURN?
- Individuals who are salaried and whose gross income, exceeds the exemption amount before deductions under Sections 80C to 80U.
- Individuals who are salaried and whose gross income, exceeds the exemption amount before deductions under Sections 80C to 80U.
- Individuals who hold the positions of Partner or Director in a Limited Liability Partnership.
- Individuals who receive dividend payments from stocks, bonds, mutual funds, fixed deposits, interest, and other sources.
- Those who earn income from charitable or religious trusts as well as from contributions made voluntarily.
- NRIs, IT professionals on onsite deployment, and anyone with overseas assets or income.
- Minors are not eligible to file ITR. All individuals under the age of 18 are considered minors.
- There is a special situation where minor is allowed to file IT return. If a minor earns money as a prize for competing in events, shows, or sports, or from starting their own business or doing a part-time job, it will be recognized as earned income. According to Section 64(1A), any money received by a minor is considered part of their parents' income and is subject to the same taxes as their parents' income (will be added to the highly incomed parent of the minor).
Age of the individuals |
Gross annual income (INR) |
|---|---|
|
Individuals who are below 60 years old |
2.5 lakh |
|
Individuals above the age of 60 years but below the age of 80 years |
3.0 lakh |
|
Individuals who are above the age of 80 years |
5.0 lakh |
ITR filing benefits
- Seamless processing of loans
- Claiming refund
- Easy visa processing
- Medical insurance
- Loss compensation
- Interest deduction
- Evidence for Earnings
DIFFERENT ITR FORMS
DIFFERENT ITR FORMS
The different ITR Form kinds are shown below:
ITR 1 (Sahaj)
Salary, single-family home, agriculture, and other sources of income for individuals. Individual inhabitants with a total income of up to INR 50 lakhs and agricultural income up to INR 5,000 are required to submit this form.
Notably, this does not apply to anyone who holds the position of director for a firm, owns unlisted equity shares, receives overseas income or has foreign assets.
ITR 2
Individuals and HUFs who receive income from sources other than PGBP (Profits and Gain of Business or Profession) must use this form. It may come from lottery winnings, foreign assets, or capital gains, but the total income must be more than INR 50 lakhs. Agriculture-related income should be higher than INR 5,000. Also, those who purchased unlisted equity shares throughout the fiscal year also submit it.
ITR 3
Individuals and HUFs receive income from a company or professional profits and gains. Also, those who get income from being a business partner must also file it.
ITR 4 (Sugam)
For Individuals, HUFs, and Companies (other than LLP), being a Resident has an overall Income of up to INR 50 lakhs from business or profession. Additionally, it applies to anyone who has chosen the presumptive income plan under Sections 44AD, 44ADA, and 44AE of the Income Tax Act.
Note: This covers individual company directors who are also shareholders in unlisted equity shares.
ITR 5
Businesses, LLPs, associations of people, bodies of people, etc submit ITR 5.
ITR 6
ITR 6 is submitted by businesses that are not Section 11 exemption claimants (Income from property held for charitable or religious purposes).
ITR 7
Individual / Organization which comes under Section 139(4A), Section 139(4B), Section 139(4C), or Section 139(4D) is obligated to file it.
ITR U
ITR U
The government established the ITR U form for updating income tax returns in the Union Budget 2022 under Section 139(8A). The ITR-U form is a lifesaver for people who either failed to file their ITRs or filled them out incorrectly and with misleading information.
Using the ITR-U form, taxpayers have two years from the conclusion of the applicable assessment year to amend their returns and correct any errors or omissions on their ITRs.
Regardless of whether the taxpayer fully missed filing an ITR in a particular financial year, or whether they have filed an initial, belated, or revised ITR.
Who may submit an ITR-U?
Anyone who filed any of the following returns but noticed an error or omitted certain income information may file an updated return:
- Original income tax return
- Belated tax return
- Revised tax return
- Profit margins
- Their estimations and plans are based on projections and the foundation of those projections.
- Customer accounts
The following situations allow for the filing of an updated return:
- Didn’t submit the tax return.
- Late return deadline and missed return filing deadline
- Wrongly reported income
- Incorrect choice of source of income
- Paid taxes at an incorrect rate.
- To lessen the carried forward loss
- the unabsorbed depreciation to be reduced
- To lower the tax credit under Section 115JB/115JC
Note: Only one Updated return could be submitted by a taxpayer for each assessment year (AY).
Who is not eligible to submit an ITR-U?
In the following situations, an ITR-U cannot be filed:
- Updated return has been submitted.
- For filing a loss or nil return.
- For claiming/enhancing the refund amount.
- When a revised return reduces the amount of tax due.
- A survey conducted under Section 132.
- A survey is carried out in accordance with Section 133A.
- The Income Tax authorities, pursuant to Section 132A, take or request books, records, or assets.
- If evaluation/re-evaluation/revision/re-computation is ongoing or finished.
Who is not eligible to submit an ITR-U?
ITR-U filing deadlines are 24 months from the conclusion of the relevant assessment year. For FY 20- 21 till March 31st 2024, 21-22 till March 31st 2025.
Year |
Additional Tax Under Section 140B |
Last Date to File ITR |
|
|---|---|---|---|
|
Notice u/s 143(1) - Intimation |
25% |
50% |
|
|
A.Y 2021-2022 (F.Y 2020-2021) |
From 01/04/2022 to 31/03/2023 |
From 01/04/2023 to 31/03/2024 |
31/03/2024 |
|
A.Y 2022-2023 (F.Y 2021-2022) |
From 01/04/2023 to 31/03/2024 |
From 01/04/2024 to 31/03/2025 |
31/03/2025 |
|
A.Y 2023-2024 (F.Y 2022-2023)* |
From 01/04/2024 to 31/03/2025 |
From 01/04/2025 to 31/03/2026 |
31/03/2026 |
DOCUMENTS REQUIRED
DOCUMENTS REQUIRED FOR FILING ITR RETURN
For an employee:
- PAN card
- Form 16 provided by your employer
- Salary slip
For a business owner:
- Trading report
- Business account details
- Profit and loss statement
For other categories:
- TDS certificates provided by banks
- Interest income statement
- Investment proofs
- Asset purchase/sale documents
- Receipts of mutual funds, donations and other forms of investments.
TAX RATES
TAX RATES FOR INDIVIDUALS
The finance minister declared that the new tax regime would be the default one in the Union Budget for 2023–24. Yet, depending on your desire, you can choose between the old and new tax regimes.
Below are certain tables showing the variations in tax slabs between the two regimes to assist you in choosing the best one for you:
New Tax Regime (Default) |
|
|---|---|
|
Net Annual Income Range |
New Regime Tax Rate |
|
₹0-3 Lakhs |
Nil |
|
₹3-6 Lakhs |
5% |
|
₹7-9 Lakhs |
10% |
|
₹9-12 Lakhs |
15% |
|
₹12-15 Lakhs |
20% |
|
Above ₹15 Lakhs |
30% |
Note: The new tax system allows individuals to obtain tax refunds if their annual income is up to 7 lakhs. If you are opting for new tax regime, saving deductions cannot be claimed. Standard deductions up to INR 50,000 and National pension scheme are only applicable in FY 23-24 and there is no age spilt up in New Tax Regime.
Old Tax Regime (Individual who are below 60 years) |
|
|---|---|
|
Net Annual Income Range |
Old Regime Tax Rate |
|
₹0-2.5 Lakhs |
Nil |
|
₹2.5-5 Lakhs |
5% |
|
₹5-10 Lakhs |
20% |
|
Above ₹10 Lakhs |
30% |
Old Tax Regime (Individual who are between 60-80 years) |
|
|---|---|
|
Net Annual Income Range |
Old Regime Tax Rate |
|
₹0-3 Lakhs |
Nil |
|
₹3-5 Lakhs |
5% |
|
₹5-10 Lakhs |
20% |
|
Above ₹10 Lakhs |
30% |
Old Tax Regime (Individual who are above 80 years) |
|
|---|---|
|
Net Annual Income Range |
Old Regime Tax Rate |
|
₹0-5 Lakhs |
Nil |
|
₹5-10 Lakhs |
20% |
|
Above ₹10 Lakhs |
30% |
Note: Under the old tax regime, individuals with earnings of more than 5 lakhs per year are eligible for tax rebates.
TAX RATES
TAX RATES FOR OTHER THAN INDIVIDUAL
The finance minister declared that the new tax regime would be the default one in the Union Budget for 2023–24. Yet, depending on your desire, you can choose between the old and new tax regimes.
Below are certain tables showing the variations in tax slabs between the two regimes to assist you in choosing the best one for you:
Particulars |
Tax Rate |
|---|---|
|
When the turnover or gross receipt of the company does not go beyond INR 400 crores in the previous year |
25% |
|
Company opted for section 115BA |
25% |
|
Company opted for section 115BAA |
22% |
|
Company opted for section 115BAB |
15% |
|
Any other domestic company (LLP, Partnership) |
30% |
Tax Rates for Co-operative Societies, Associations and Trust
In Case Of Co-Operative Society |
|
|---|---|
|
Income up to INR 10,000 |
10% |
|
Income from INR 10,001 to INR 20,000 |
22% |
|
Income above INR 20,000 |
30% |
In Case Of Associations |
|
|---|---|
|
Income up to 2.5 lakhs |
Nil |
|
Income from 2.5 lakhs to 5 lakhs |
5% |
|
Income from 5 lakhs to 10 lakhs |
20% |
|
Income above 10 lakhs |
30% |
In Case Of Trust |
|
|---|---|
|
Income from 2.5 lakhs to 5 lakhs |
5% |
|
Income from 5 lakhs to 10 lakhs |
20% |
|
Income above 10 lakhs |
30% |
LIST OF DEDUCTIONS
LIST OF DEDUCTIONS
Sections |
Income Tax Deduction for FY 2022-23((AY 2023-24) |
|---|---|
|
Section 80C |
Investing into very common and popular investment options like LIC, PPF, Sukanya Samriddhi Account, Mutual Funds, FD, child tuition fee, ULIP etc |
|
Section 80CCC |
Investment in Pension Funds |
|
Section 80CCD (1) |
Atal Pension Yojana and National Pension Scheme Contribution |
|
Section 80CCD(1B) |
Atal Pension Yojana and National Pension SchemeContribution (additional deduction) |
|
Section 80CCD(2) |
National Pension SchemeContribution by Employer |
|
Section 80D |
Medical Insurance Premium, preventive health checkup and Medical Expenditure |
|
Section 80DD |
Medical Treatment of a Dependent with Disability |
|
Section 80DDB
|
Medical expenditure for treatment of Specified Diseases |
|
Section 80E |
Interest paid on Loan taken for Higher Education |
|
Section 80EE |
Interest paid on Housing Loan |
|
Section 80EEA |
Interest Paid on Housing Loan |
|
Section 80EEB |
Interest paid on Electric Vehicle Loan
|
|
Section 80G |
Donation to specified funds/institutions. Institutions |
|
Section 80GG |
Income Tax Deduction for House Rent Paid |
|
Section 80GGA |
Donation to Scientific Research & Rural Development |
|
Section 80GGB |
Contribution to Political Parties |
|
Section 80GGC |
Individuals on contribution to Political Parties |
|
Section 80RRB |
Royalty on Patents
|
|
Section 80QQB |
Royalty Income of Authors
|
|
Section 80TTA |
Interest earned on Savings Accounts |
|
Section 80TTB |
Interest Income earned on deposits(Savings/ FDs) |
|
Section 80U |
Disabled Individuals |
List of Exemptions
SECTION |
NATURE OF INCOME |
|---|---|
|
Section 10(1) |
Agriculture Income |
|
Section 10(2) |
Amount received by an individual as a member of HUF, where such sum has been paid from the family’s income, or, in the case of any impartible estate, where such sum has been paid from the income of the family’s estate. |
|
Section 10(2a) |
Share of profit from Partnership Firm |
|
Section 10(4) |
Certain Interest to Non-Residents |
|
Section 10(4)(ii) |
Interest to Non-Resident on Non-Resident Account |
|
Section 10(5) |
Leave Travel Concession |
|
Section 10(6) |
Remuneration received by a person who is not an Indian citizen. |
|
Section 10(7) |
Perquisites and Allowances paid to government employees for rendering service outside the country |
|
Section 10(10CC) |
Tax on Perquisites paid by employer |
|
Section 10(10d) |
Proceeds from a life insurance policy |
|
Section 10(11) |
Payment from Statutory Provident Fund |
|
Section 10(14) |
Special Allowance |
|
Section 10(15) |
Interest income |
|
Section 10(16) |
Scholarships given to meet education expense |
|
Section 10(18) |
Pension received by those who are awarded "Param Vir Chakra" or "Maha Vir Chakra" or "Vir Chakra" or such other gallantry award |
|
Section 10(19) |
Family pension received by family members of armed forces (including para-military forces) of the Union. |
|
Section 10(19A) |
Income from one palace of a former ruler |
|
Section 10(20) |
Income of a local authority |
|
Section 10(23BB) |
Income of an authority established in a State by or under a State or Provincial Act for the development of khadi or village industries in the State |
|
Section 10(23BBB) |
Income of European Economic Community |
|
Section 10(23BBC) |
Income of SAARC fund |
|
Section 10(23BBD) |
Income of Secretariat of Asian Organisation of Supreme Audit Institutions |
|
Section 10(23BBE) |
Income of IRDA
|
|
Section 10(23BBF) |
Income of North-Eastern Development Financial Corporation Limited |
|
Section 10(23BBG) |
Income of Central Electricity Regulatory Commission |
|
Section 10(23BBH) |
Income of the Prasar Bharati |
|
Section 10(23C) |
Income received by a person on behalf of the Prime Minister's National Relief Fund or the Prime Minister's Fund (Promotion of Folk Art); or the Prime Minister's Aid to Students Fund or the National Foundation for Communal Harmony, among others. |
|
Section 10 (34A) |
Exemption of income to a shareholder on buyback of shares of unlisted company |
|
Section 10(35) |
Income received in respect of the units of a Mutual Fund specified under clause (23D) or in respect of units from the Administrator of the specified undertaking or in respect of units from the specified company |
|
Section 10(23D) |
Tax free mutual funds |
|
Section 10(23DA) |
Exemption of income from securitization trust |
|
Section 10(36)
|
Income arising from the transfer of a long-term capital asset |
|
Section 10(37) |
Capital gains arising from the transfer of agricultural land
|
|
Section 10(38) |
LTCG on transfer of securities and shares covered under Security Transaction Tax (STT) |
|
Section 10(39) |
Income from international sporting event
|
|
Section 10(40) |
Income of a subsidiary company by way of grant or otherwise received from an Indian company |
|
Section 10(41) |
Income arising from transfer of a capital asset of an undertaking involved in the business of generation, transmission or distribution of power
|
|
Section 10(43) |
Reverse mortgage
|
|
Section 10(44) |
Income received by any person for, or on behalf of, the New Pension System Trust |
|
Section 10 (45) |
Allowance or perquisite paid to the Chairman or a retired Chairman or any other member or retired member of the Union Public Service Commission |
|
Section 10(47) |
Income of an infrastructure debt fund, which is notified by the Central Government in the Official Gazette |
|
Section 10(49) |
Income of National Financial Holdings Company
|
Surcharge
Particulars |
Rate |
|---|---|
|
If total income exceeds INR 50 lakhs but not exceeding INR 1 Cr. |
10% of the income tax |
|
If total income exceeds INR 1 crore but not exceeding INR 2 Cr. |
15% of the income tax |
|
If total income exceeds INR 2 crore but not exceeding INR 5 Cr. |
25% of the income tax |
|
If total income exceeds INR 5 crore |
37% of the income tax |
|
|
4% of income tax plus surcharge |
TAX RATES
EXEMPTIONS AND DEDUCTIONS
Exemptions And Deductions
There are 70 exemptions and deductions that are available. Here are some of the more familiar ones: The following exemptions and deductions are permitted or disallowed in order to claim the aforementioned tax rates.
Cannot Be Claimed Under New Tax Regime |
Allowed |
|---|---|
|
Chapter VIA deductions |
payment made to a pension account |
|
Travel Expenses for Leave |
Transportation assistance for the disabled |
|
House Rent Allowance |
Standard deductions of INR 50,000 (As per Union Budget 2023, Standard Deductions can be claimed for FY 23-24) |
|
Standard deductions of INR 50,000 (As per Union Budget 2023, Standard Deductions can be claimed for FY 23-24) |
Transfer or travel reimbursement |
|
Payroll deductions, entertainment stipends, and professional taxes |
Loans taken out against properties that are rented out may be subject to interest claims. |
|
Repayment of mortgage loan interest and repayment of student loan interest |
Gratuity |
|
Family pension |
Lump-sum pension (if gratuity is received, 1/3 is exempt; if not, 1/2 is exempt) |
|
Losses from the prior assessment year cannot be offset. |
retirement leave encashment of up to INR 3 lakh |
|
Depreciation. |
PPF and Sukanya Samriddhi interest and maturity amounts |
|
Medical insurance premium |
Money received when the life insurance policy matures |
|
PF contribution for tuition fee, life insurance, or any other investment. |
Employer's contribution to the EPF, NPS, and superannuation fund is limited to INR 7.5 lakhs. |
Due Dates for FY 23-24
The Income Tax Department describes a deadline for submitting ITRs by individuals or businesses. For instance, it has been announced that July 31 is the deadline for individual taxpayers to submit an ITR for the financial year 20XX–XX. There are repercussions if this deadline is exceeded.
Category of Taxpayer |
Deadline for filing tax returns |
|---|---|
|
Individual |
July 31, 20XX |
|
Body of Individuals (BOI) |
July 31, 20XX |
|
Hindu Undivided Family (HUF) |
July 31, 20XX |
|
Association of Persons (AOP) |
July 31, 20XX
|
|
Businesses (Requiring Audit) |
October 31, 20XX |
|
Businesses (Requiring TP Report) |
November 30, 20XX |
The Central Board of Direct Taxes (CBDT) levies a fine if you fail to file your ITR by the deadline. If you submit your ITR beyond the deadline, the following things will happen:
- In accordance with Section 234A, the taxpayer is required to pay interest at a rate of 1.00% per month, or for a portion of a month, on the unpaid tax amount.
- Example
- Instead of Filing on or before July 31st of the said assessment year, Mr. A files a return beyond 6 months from the date of filing, so his interest liability will be calculated as 1% Pm * 6 Months Net Interest will be INR 3000. This Interest Amount shall be paid along with tax liability of INR 50000. The final payable amount to the Department will be INR 53000.
Under Section 234F, a late fee will be assessed as per the following table.
Income |
Late Fee |
|---|---|
|
Less than 5 lakhs |
INR 1000 |
|
5-10 Lakhs |
INR 5000 |
|
Above 10 Lakhs |
INR 10,000 |
If an individual file ITR after the deadline, losses incurred from properties, any of your businesses, the stock market, mutual funds, etc. cannot be carried forward to future years and it is disallowed. Refunds can be claimed even after deadline until 31st December as per Section 234A and 243F.
ITR-U filed within |
Additional Tax |
|---|---|
|
12 months from the end of relevant AY |
25% of additional tax + interest |
|
24 months from the end of relevant AY |
50% of additional tax + interest |
Filing your IT returns may arise unfortunate errors while processing, failing to file within deadline may lead to penalties and other compliances. Here is where you require professional advice. Taxkey consistently files income taxes for both individuals and organizations. Thus, you may rely on us to file your income tax return online. You must give us the following documents to do it.
BENEFITS
BENEFITS
Benefits of e-filing Income Tax Returns with Taxkey
Monitoring the status
ITR e-filers can quickly and check the status online. Submitting an ITR electronically makes it simple for the applicant to monitor the status of their application.
Process of refunding
If Individual file their ITR electronically, the refund procedure is simple and significantly faster. By updating their bank information online, amount gets returned much faster.
Decrease in errors
Errors frequently occur when calculating ITR since so many calculations need to be done. Yet, there is a procedure that reduces the number of errors when filing an ITR electronically by having the system compute the ITR.
Obtaining documents
Those who elect to file their ITR electronically must upload the required files online. Anyone will therefore have access to the documents at any time. Such advantages are not available when ITRs are filed manually.
Collection of data
In the past, filling out numerous forms was necessary in order to submit an ITR. Yet because all the information is automatically filled in during the initial procedure and the subsequent phases are relatively straightforward, e-filing ITR eliminates the complexity of the process.
Proof of Filing
A receipt will be given to individual who electronically file their ITR when the returns are filed. An email will be used to deliver the receipt.
Electronic banking
Refunds and payments are handled in a straightforward manner. You can use direct debit and direct deposit for tax payment and return receipts. Investors have alternatives that allow them to file their returns right now and pay for them afterwards. The taxpayer must decide the day the payment should be made.
FAQS
FAQS
If you want to file an ITR electronically, visit https://www.incometax.gov.in/iec/foportal. The income tax division launched the independent portal.
If the taxpayer fails to file tax returns, Section 234F will impose a fine of INR 10,000. If a tax return has not been submitted, the taxpayer will also be unable to obtain a bank loan for the purchase of a home or automobile and for medical treatment, as the bank requires ITR for the preceding three years to accept a loan.
After all deductions, salaried persons with taxable income under INR 5 lahks and bank interest up to INR 10,000 in the current fiscal year are excluded from filing an income tax return.
It is required for a person to file an income tax return each year if their gross annual income exceeds INR 2.5 lakh. If the individual's income satisfies the Income Tax Act's requirements, filing an ITR is still required even if the individual has no taxable income.
Senior persons 75 years of age and above are excluded from filing income tax returns under Section 194P of the Income Tax Act of 1961.
According to how income is taxed, there are five filing statuses: single, married filing jointly, married filing separately, qualified widow(er) with dependent child, and head of household.
Of course, filing income tax returns and finding TDS are two distinct processes. In this situation, filing a tax return serves as evidence that all taxes are paid in full. When you apply for a loan, your income tax return documentation will also be helpful.
Even if you experience a financial loss during that particular year, you must still file your return on schedule. You can easily bring the favorable revenue forward to adjust in the upcoming years. Nevertheless, you will only be given this choice if you submit your income tax return on time.
Lenders view your ITR as a key document in determining your level of income. ITR (latest three years) is typically required by lenders to process your loan applications. ITR is crucial to determine your creditworthiness and assures that you can make your EMI payments on schedule.
How it works
Easy Step Process
We offer consulting services to businesses. Our experts help you achieve your financial goals.
Simplify your finances with TaxKey Accounting's seamless online platform. From registration to personalized financial plans, we're your trusted partner every step of the way.
Experience convenience with our streamlined delivery process. From order to doorstep, we ensure your items reach you swiftly and securely
Need more help?
Testimonials
Our Clients' Reviews
