Benefits of Income Tax Return (ITR) Filing

Income Tax Return (ITR) filing is a form in which you declare your income details, taxes payable on other income, deductions & exemptions for a particular financial year. As per the tax laws, individuals with taxable income or income above the basic exemption limit have to mandatorily file an ITR every year before the due date. Under Section 234F of the IT Act, not filing ITR before the due date can attract a penalty of up to INR 5,000 and result in other severe consequences.

Filing an ITR helps you to claim for tax deductions, thus reducing your tax outgo & growing your savings. But apart from this, there are additional income tax return filing benefits. Take a look-

Benefits of ITR 1. Easy Loan Approval 2. Income Proof 3. Quick Visa Processing 4. Claim Tax Refund 5. Compensate for Losses 6. Presumptive Taxation Scheme 7. Avoid Penalties 8. Medical Insurance

Key Takeaways: Now that you know what is the benefit of income tax return file, don't forget to file your tax returns on time Even if your annual income is below the basic exemption limit, you can still file ITR to experience a host of benefits Apart from knowing ITR benefits and filing tax returns, it is also crucial for taxpayers to make tax-saving investments AU Small Finance Bank offers access to various tax-saving investments such as AU 5-Year Tax Saving Fixed Deposit, Life Insurance & others, thus allowing customers to reduce their tax burdens and grow their savings