As per Income Tax Act, 1961, all people up to 60 years of age, with an annual income above ₹2.5 lakhs have to file income tax returns. Filing income tax returns is not only a duty of every citizen of our country, but it also provides some advantages over non-compliant people. For example, availing loans from banks requires you to maintain a clear tax record. This is because banks cross-check your financial position thoroughly before processing your loans. This means your entire tax filing history is verified and any discrepancy, if found, will lead them to question your loan intentions.
The IT Returns file is an official document containing all your income, profits & losses of your businesses, exemptions and deductions, tax liabilities and tax refunds. Every individual citizen of our country must file his or her income tax returns with the revenue service department, regularly. Also, penalties are levied by the income tax department over people who do not file their IT returns in time.
Each taxpayer is categorized based on their source of income, income slabs, the various rebates and allowances available for their compliance, etc. by the IT Act, 1961. Based on this, the forms and procedures vary slightly for every individual taxpayer.
Filing IT Returns could be a tedious task for a person with no prior experience. However, there is no need to worry, as we provide the best IT returns filing in Chennai. Our team from Sabari & Co. has expert knowledge and vast experience in the taxation system of our country. Our auditors and accountants have rich experience in various laws and procedures pertaining to Income Tax & Goods and Services Tax (GST). With this knowledge, we will make sure your IT filing process goes seamless and smooth.
Contact us for IT returns filing in Chennai.
Penalties for Late ITR filing and Non-compliance (Not filing).
Section 234F of the Income Tax Act, 1961 describes the penalties for late filing of ITR and Not filing ITR. The details are as follows
- Rs.5000 in case of ITR filing on or before 31st December of the assessment Year (Late Filing).
- Rs.10000 in case of not filing the Income Tax Returns.
Documents required for Filing Income Tax returns
The ITR filing process has been made easy with the process moving online. You just need the following documents as a soft copy, to be uploaded for verification.
- Form 16 (issued by the employer),
- Form – 16A/16B/16C/16D (issued by bank, wherever applicable),
- Form 26AS (details of the tax credits to your account),
- Home loan documents or HRA receipts (from the Bank, if applicable),
- Documents of investments made for tax savings (EPF’s, NPS, Life Insurance premium, PPF’s, etc.),
- Documentary Proof to Claim Deductions (Under section 80D to 80U),
- Details of Capital Gains if applicable,
- AADHAR Card,
- Interest certificates from banks and post office (If any).
Reasons to file IT returns on time
Apart from availing bank loans on time and with easy, there are several other benefits you get when you file IT returns on time. They are,
Immovable property registration
Some states require your last three years IT returns documents before registering Immovable property. In Tamil Nadu, PAN card is mandatory for registering properties worth over ₹10 Lakhs. Your clean IT record will save you from problems while buying a new property.
Refunds
Proper filing of IT returns will help you get your Refunds at the end of every year. The sooner you file the ITR, the sooner your refunds are credited to you.
Ease of Visa Application
Many Foreign Consulates and embassies ask for your IT Returns certificates. The details of your financial status for the last three years are reflected in you ITR. This is taken into account while processing your visa.
Carry Forward Business Losses
You can carry your business losses/ capital losses to the next financial year, only when you have filed your ITR.
