Income Tax Return Filing
for Individuals

ITR Filing for Individuals Starting from ₹ 500/-

Introduction

Any individual earning an income above minimum exempted amount is liable to pay income tax. The income can be earned from any source like salary, rental income, interest income from savings, income from mutual funds, agriculture income, sale of property or business or professional income.

Income Tax Return is a form required to be filed with Income Tax Department. The format and applicability of these forms are defined by Income Tax Department. All forms have separate disclosure requirements according to the Incomes Reported.

Income tax rates are finalised in the Union Budget before the start of the financial year. From Assessment Year 2021-2022, concept of new tax regime and old tax regime has also been introduced.

Legal Window will provide you all the necessary services and legal advice related to Income Tax Return filing and also guide for other compliances. You may get in touch with our team on 072407-51000 or email admin@legalwindow.in for filing your income tax return.

New Tax Regime and Old Tax Regime

Government has given option to choose between the new and old tax regimes to the taxpayers. The basic concept behind these regimes is that if you do not have investments etc to claim various deductions/exemptions under Sec.80 then you can opt for new tax regime and pay taxes at lower rates.

A person who choose to opt for new tax regime cannot claim following deductions-

Certain allowances like LTA, HRA, allowances granted to meet expenses in performance of duties of office.

Deductions under salary like Standard Deduction, Entertainment allowance and Professional tax.

Interest payable on borrowed capital for self-occupied property.

Standard Deduction in case of family pension.

Several deductions available under Sec.80 like life insurance, health insurance premium, pension funds, provident fund, donation etc.

The option to avail the option can be taken while filing the Income Tax Return. Our Team will help you assess the beneficial option for you so that you can get maximum tax benefits.

Advantages of Income Tax Filing Returns

Easy loan
processing

Most of the banks and NBFCs ask for ITR receipts from Individuals for the last three years when you apply for high-value loans like home and car loans. Hence, you should regularly file income tax returns if you want to take a loan in the future.

ITR receipt is a very important document

ITR receipts are very important proof of Individuals income and of payment of taxes. It is much more detailed than Form 16. It contains details of total income earned during the financial year with details of other deductions you take.

Filing ITR avoids
penalties

By filing an Income Tax Return you can avoid penalty levied on taxpayers who don’t file an Income Tax Return within the due date.

Claiming
Refund

In case you have already paid advance tax or any TDS has been deducted by your employer or any investments by the authorities, then you can claim for the refund if excess tax has been paid by any concerned authority.

Required for
VISA Application

For those who have a desire to shift abroad, ITR is the most important document that any foreign embassy asks for. It is really important to regularly file Income Tax Returns.

*This year government has announced that Senior citizens aged 75 years and above need not file ITR if the source of income is only pension and interest from banks. However, it is advised to keep filing ITRs due to above benefits and uses.

Types of Return for Individuals

Individuals can file following Income Tax Return Form written below according to their eligibility:

1. Individuals having total income up to 50 lakhs

ITR-1: ITR-1 is for a resident individual whose total income for the assessment year is upto 50 lakhs and includes:

Income from Salary/ Pension; or
Income from One House Property (excluding cases where loss is brought forward from previous years); or
Income from Other Sources (excluding Winning from Lottery and Income from Race Horses)
Agricultural income up to Rs.5000

2. Individuals having total income of more than 50 lakhs

ITR-2: ITR 2 is for those individuals or a Hindu Undivided Family (HUF) whose total income for the AY exceeds 50 lakhs which includes:

Income from Salary/Pension;
Income from House Property;
Income from Other Sources (including Winnings from Lottery and Income from Race Horses).
If you are an Individual Director in a company
If you have/had investments in unlisted equity shares at any time during the financial year
Being a resident not ordinarily resident and non-resident
Income from Capital Gains;
Foreign Assets/Foreign income
Agricultural income more than Rs 5,000

Further, in a case where the income of any other person like one’s spouse, child etc. is to be clubbed with the income of the assessee, this Return Form can be used.

ITR-3: ITR3 Form is for those individuals or a Hindu Undivided Family who have income from proprietary business or are carrying on any profession. The persons having income from following sources are eligible to file ITR 3 :

Carrying on a business or profession
If you are Director in any company
If you have/had investments in unlisted equity shares at any time during the financial year
Return may include income from House property, Salary/Pension and Income from other sources
Income of a person as a partner in the firm

ITR-4: ITR 4 is applicable to individuals and HUFs, Partnership firms (other than LLPs) who are residents and having income from a business or profession. It includes those who have opted for the presumptive income scheme as per Section 44AD, Section 44ADA and Section 44AE of the Income Tax Act. Businesses whose turnover exceeds Rs 2 crore are not eligible to opt for a presumptive scheme and have to file ITR-3.

Documents Required to file ITR

Income from salary

Aadhar card
Pan card
Form 16 (having details of salary)
Bank statement
Investment under section 80

Income from house property

Aadhar card
PAN card
Rent Receipt
Bank Statement
Investment under section 80

Income from Business or Profession

Aadhar card
PAN card of taxpayer
PAN card of Entity
Bank Statement
Financial Statements
Investment under section 80

Income from Capital Gain

Aadhar card
PAN card
Bank Statement
Receipt of sale of capital assets
Receipt of purchase of capital assets
Investment under section 80

Income from Other source

Aadhaar card
PAN card
Bank statement
Investment under section 80

Procedure for Filing ITR

Fill the simple questionnaire provided by our team.

Provide us all the necessary documents as per the category of your income as mentioned above

We will analyse all the details and after verification from client we will file your income tax return before the due date and protect you from any penalty

We will further inform you after filling your Income Tax Return and also provide you the return form and computation.

Due dates for filing Income Tax return

For Taxpayer not eligible to get Tax audit: Due date for filing Income tax Return for Taxpayer having turnover less than 1 crore or who opt for presumptive taxation for F.Y 2020-21 i.e. A.Y. 2021-22 is extended to 31st December 2021. Option to avail presumptive taxation is available to business having turnover less than Rs.2 crores.

For Taxpayer eligible to get Tax audit: Due date for filing Income tax Return for Taxpayer having turnover more than 1 crore or who do not opt for presumptive taxation for F.Y 2020-21 i.e. A.Y. 2021-22 is extended to 15th February 2022. In case of transfer pricing cases the due date is extended to 28^th February 2022. The limit of Rs.1 crore is changed with Rs.5 crores, in case of businesses whose 95% of business transactions are done through banking channels w.e.f AY 2021-2022.

Taxpayer can file belated Return up to 31st march, 2022 for Assessment year 2021-22.

Penalty of non filing Income Tax Return

Where a person is required to file Income Tax Return u/s 139(1) fails to file the return within prescribed limit u/s 139(1) shall pay prescribed late fee in following manner:

As the due date is extended to 31^st December, 2021 for AY 2021-22,

The penalty for non-filing of return will be Rs 10000, if return is filed after 31^st December, 2021.

*However if total income of person does not exceed 5lakh than late fee shall not exceed Rs. 1000

Old Tax Regime

S.no	Income	Upto 60 yrs (Rs.)	Between 60 yrs-80yrs (Rs.)	More than 80 yrs(Rs.)
1	Basic Exemption Limit	2,50,000	3,00,000	5,00,000
2	Above Basic Limit- ₹5,00,000	5%	5%	Nil
3	Between ₹5,00,001 – ₹10,00,000	20%	20%	20%
4	Above ₹10,00,000	30%	30%	30%

For non-residents, rates as applicable to an individual aged upto 60 years will apply.

New Tax Regime

Under New Tax Regime uniform rates are there for all the taxpayers.

S.no	Income	Tax Rates
1	Up to ₹2,50,000	Nil
2	Between ₹2,50,001 – ₹5,00,000	5%
3	Between ₹5,00,001 – ₹7,50,000	10%
4	Between ₹7,50,001 –₹10,00,000	15%
5	Between ₹10,00,001 –₹12,50,000	20%
6	Between ₹12,50,001 –₹15,00,000	25%
7	Above ₹15,00,000	30%

Surcharge
- 10% of income tax where total income exceeds Rs. 50,00,000.
- 15% of income tax where total income exceeds Rs. 1,00,00,000.
- 25% of income tax where total income exceeds Rs. 2,00,00,000.
- 37% of income tax where total income exceeds Rs. 5,00,00,000
Health and Education cess:
- 4% of income tax + surcharge.

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FAQ's on ITR Filing for Individuals

Why legal window?

Legal window helps you in the best possible manner for filing the income tax return you are eligible for. Further, our team helps you in advising the best way of investments so that tax liability is reduced.

Do we require to pay tax while filing return?

No, If the income tax is already paid in the form of advance tax or TDS then no liability to pay the tax and in other case if your income is more than the maximum amount not chargeable to tax then you have to pay the tax as per the tax exemption limit decided for that financial year.

Can I revise the Income Tax Return after filling?

Yes of course one can revise the ITR after filing before one year after completion of the Financial Year.

For Example, for F.Y 2019-20, revise return can be filed before 31 March 2021.

How can I file ITR without paying tax?

You can only file an Income Tax Return after paying the Income Tax due to the government. If you submit the ITR without paying then your Income Tax Return can be declared Defective Return.

Can we file ITR without form 16?

For the salaried person, Form 16 is a basic document used for filing their income tax returns (ITR). Filing one's ITR without Form 16 seems almost impossible for most salaried individuals. Now, even if you don't have Form 16, there are several documents you can use as reference to file your return.

Can I file Return without having PAN?

For Filling Income Tax Return you need to have PAN no., without it individual will not be able to file the Return.

Can I file ITR with nil income?

For individuals ITR filing with nil income is not compulsory but in case you want to file then you can. Individuals whose income exceeds the basic exemption limit i.e. 2.5 lakhs, is recommended to file ITR to avoid scrutiny by the Income Tax Department. Also, if your tax liabilities are zero and have filed the ITR before, it is necessary to be filed. The same can be provided as a proof of income whenever required and a person can avail so many benefits of filing an income tax return.

I am a salaried person having income less than 2.5lakhs, Should I filing return?

It is clearly not compulsory for individual having income less than exempted limit to file ITR but as we mentioned above the benefits of filling return if you want to avail such benefit you must file the Income Tax Return.

Can I file ITR after Due Date?

In case you fail to file the return before due date, there is a provision to file return up to a certain date, however with a late filing fee and reduced benefits, the belated return can be filed before the end of Assessment Year for the concerned financial year. That means, for F.Y. 2019-20, belated returns can be filed till 31st March, 2021.

Is it mandatory to file income tax return for income less than 5 lakhs?

If you have income up to Rs 5 lakh and you don't file your ITR assuming that your tax payable will be zero after taking necessary deduction you are liable to get a notice from the income tax department.

Income Tax Return Filing
for Individuals

Introduction

New Tax Regime and Old Tax Regime

Certain allowances like LTA, HRA, allowances granted to meet expenses in performance of duties of office.

Deductions under salary like Standard Deduction, Entertainment allowance and Professional tax.

Interest payable on borrowed capital for self-occupied property.

Standard Deduction in case of family pension.

Several deductions available under Sec.80 like life insurance, health insurance premium, pension funds, provident fund, donation etc.