Income below exemption limit? File tax return, nonetheless, say experts

Offsetting losses against future income or receiving tax refund is only possible when you do so

Topics
Income Tax filing | income tax returns | tax refunds

Bindisha Sarang 

Filing income-tax return (ITR) becomes mandatory only when a person’s taxable income exceeds the basic exemption limit of Rs 2.5 lakh in a financial year.

However, for a variety of reasons, it is advisable to file a tax return, even when your taxable income is lower than this threshold. According to Aditya Chopra, managing partner, Victoriam Legalis - Advocates & Solicitors, “Filing of ITR is a best practice one should adhere to, even if one does not have a positive income in a particular financial year.” ITR as proof of income: Salaried employees receive Form 16 ...

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First Published: Mon, August 16 2021. 20:27 IST
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