If your earnings are not reaching the income tax net, then I want to inform you that filing ITR is not considered mandatory.
But, if you do so then you can miss out on many benefits. Everyone is aware that the tax exemption limit for senior citizens above 60 years and less than 80 years is going to reach Rs 3 lakh, while talking about super senior citizens, this limit for above 80 years is Rs 5 lakh. going to arrive.
But even if your salary is going to be less than the income tax limit, then it is important for you to file income tax return, because it gets many benefits.
Benefits of filing ITR
1. Loan eligibility is also decided
If you are planning to take a loan, then the decision is taken on the basis of the bank checking your eligibility. Which is done on the basis of income. How much loan the bank is going to give you depends on how much of your income has reached what you have filed in your income tax return.
Generally speaking, banks start demanding 3 ITRs from their customers during loan processing. So if you want to buy a house after taking a home loan. Or if you are planning to take a car loan or want to take a personal loan, then it is important to file ITR as it makes it much easier to get the loan.
2. This is important regarding tax refund
If you are going to file ITR, then you can take advantage after saving interest on savings schemes like term deposits. The benefit is also available by saving tax on income. With the help of ITR refund, you are being benefited by claiming tax. If the total income from multiple sources of income exceeds Rs 2.5 lakh, then the deducted TDS can be availed after you claim it again.
3. Address, income proof are considered valid documents
The benefits are available when the Income Tax Assessment Order is used as a valid address proof. It is also beneficial by getting it used for making Aadhar card.
Employees have to issue Form-16 on behalf of the company. Who can proof his income. The ITR filing document can be used as a valid income proof even for a free-lancer who is going to do his own business.
