Income tax is a direct tax imposed by government on taxable income of those who are called Persons i.e. Individuals, Hindu Undivided Families (HUFs), companies, firms, association of persons, body of individuals, local authority and any other artificial judicial person. Indian Income Tax Act, 1961 levies and governs income tax.
Advantages of Filing
As a Responsible Citizen of India, One should file Income Tax return every year so as to comply with Income Tax laws, avoid legal proceedings & penalties and contribute to nation building.
The Following are some other advantages of filing an ITR:
- Hassle free loan processing
- Processing credit card applications
- Refund of TDS
- Carry forward of losses
- Visa processing
Documents required
- Bank account details
- PAN Card
- AADHAR Card
- Financial Statements (Balance Sheet and Profit and loss account)
- Details of any payments made for Life Insurance Policy, PPF etc., if any
- Details of any other income including property/shares transactions, if any.
- Auditor’s Details if applicable