All that you must know in 10 factors

Revenue Tax Return (ITR): The whole lot that you must know in 10 factors

Submitting of Revenue Tax Return (ITR) is a should for everybody, even when your tax legal responsibility is zero and your revenue is considerably lower than the taxable restrict offered by the federal government. No adjustments had been made to the tax construction within the newest Union Price range, taking ahead the vary of charges and revenue tax slabs from final yr.

Right here is your 10-point information to submitting Revenue Tax Return (ITR):

  1. The due date for submitting your revenue tax return for the monetary yr 2020-21 is March 31, 2022. The preliminary deadline was July 31, 2021, however as a result of pandemic, the federal government prolonged the date to December 31, 2021. , after which till February 15, 2022 and March 15, 2022. Past the final date of March 31, taxpayers are given a window of three months for submitting delayed ITR below the Revenue Tax Act.

  2. However delay in submitting ITR past the final date isn’t justified because it attracts penalty and calls for cost of curiosity from the IT division.

  3. Not submitting your revenue tax return by the due date attracts a penalty of Rs 5,000 below part 234F of the Revenue Tax Act. Nevertheless, in case your whole revenue is lower than Rs 5 lakh, you’ll have to pay Rs 1,000.

  4. This rule applies to all taxpayers, and the penalty have to be paid even if you’re submitting for a non-taxable quantity. The revenue tax division can even wonderful you 50 p.c of the tax payable, and you could possibly withstand three years in jail in excessive circumstances. Along with paying the penalty, you might also must pay an curiosity of 1 p.c monthly or a part of the month for the excellent tax.

  5. A taxpayer can file his revenue tax return both via on-line platform (however just for ITR-1 or ITR-4 type) or through the use of JSON utility.

  6. Any taxpayer choosing offline mode for submitting revenue tax return must use the offline utility for ITR. With Utilities, you possibly can file Revenue Tax Returns (ITRs) by importing the JSON generated from the utility: put up login on the e-filing portal or immediately via the offline utility. The service on the e-filing portal affords two completely different offline utilities for submitting ITR, particularly: ITR-1 to ITR-4 and ITR-5 to ITR-7.

  7. Pre-requisites for utilizing JSON utility: Person registered on e-filing portal, legitimate person ID and password for submitting ITR via offline utility and ITR-1 to ITR-4 or ITR-5 to ITR- Offline utility downloaded for – 7 types. For extra particulars go to:

  8. The IT division gives pre-filled ITRs (from 2018) on the web platform, however the data must be completely checked because the newly launched tax submitting platform has technical points.

  9. Revenue Tax Refund: There are lots of situations when you have got paid greater than your tax legal responsibility, and you may declare a refund of extra quantity over and above the quantity owed. That’s, when you have paid extra tax to the federal government because of advance tax paid or tax deducted at supply (TDS) paid in a monetary yr, you possibly can declare this extra tax quantity paid as refund Once you file your Revenue Tax Return (ITR).

  10. Whereas submitting ITR, your checking account data must be up to date because the refund is immediately credited to the taxpayer’s checking account when due by the IT division. Revenue tax refund additionally comes with curiosity, which is calculated utilizing the easy curiosity methodology on the quantity payable for refund on the fee of 0.5 per cent for a month or a part of a month or 6 per cent every year. However many elements are thought-about for curiosity calculation.

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