Kotak Assured Savings Plan
A plan that offer guaranteed returns and financial protection for your family.
Kotak Guaranteed Savings Plan
A plan that offers long term savings and insurance in one premium.
Our representative will get in touch with you at the earliest.
Ref. No. KLI/22-23/E-BB/492
Ref. No. KLI/22-23/E-BB/490
Tax returns make it simple to calculate tax obligations, schedule payments, and ask for refunds. Before submitting taxes, taxpayers must decide which ITR forms they need to complete. ITR forms are exclusively reliant on taxpayers' income.
A taxpayer can file his taxes using one of nearly nine different ITR form types in total. However, as per the Central Board of Direct Taxes in India, only the following forms should be used by people for submitting returns:
Only businesses and firms are required to use the following income tax return forms:
The income tax return is a form that allows you to file your taxes with the Income Tax Department. In most cases, the tax return is a worksheet with predefined parameters, which helps calculate your income tax liability based on your income.
The legal framework requires every individual and business to file income tax for each financial year. The types of returns must be filed for any income earned as a salary, interest, dividends, capital gains, or other sources. More importantly, income tax returns must be filed before the specified date to avoid late ITR file charges and penalties, and there are different benefits to filing ITR.
If the income tax return (ITR) shows that you have paid more than the liability, you may claim a refund for excess tax. However, such refunds are subject to the calculations made by the Income Tax Department.
Let’s examine the different types of ITR forms to learn more about their specifics. Taxpayers can file their taxes using a variety of ITR form types. The category that the taxpayer belongs to depends on the kind of income and its source (individual, company, and Hindu Undivided Families). The income tax return (ITR) form that must be submitted will vary depending on the individual.
This form is used if your income is earned through a salary or pension. Additionally, if you have income from house property or other sources, excluding lottery winnings or income earned through horseracing, you need to file this ITR form.
When your annual income exceeds ₹50 lakhs or of your own foreign assets, you cannot file using this form. Moreover, the form may not be used for taxable capital gains, income from multiple properties, agricultural income exceeding ₹5,000, or income from a profession or business.
If your annual income from house property, salary or pension, or other sources exceeds ₹50 lakhs, you must file your ITR using this form. If you club the income of your spouse or children with your annual income, you must file income tax using form 2. However, this form will not be used if your income includes a profession or business earnings.
People who have accrued income from the sale of assets or property typically use the ITR-2 Form kind of ITR form. Additionally, this form is helpful for those who receive income from sources outside of India. This form can often be used by individuals or Hindu Undivided Families (HUF) to file their IT returns.
An individual who earns an income from carrying on a profession or business is eligible to file income tax using form 3. The form may also be used if your earnings include income from pension, salary, or other sources.
When you opt for the presumptive income scheme under sections 44AD, 44ADA, and 44AE, you must use form 4 to file your income tax ITR. However, if your total annual turnover is more than ₹2 crore, you must file your income tax using form 3.
Any person or Hindu Undivided Family (HUF) may utilise the ITR-4S form, also known as the Sugam form, to file their income tax returns. This form is helpful in unique situations and is applicable to businesses whose income is determined using a presumptive method.
Form 5 is used to file income tax by limited liability partnerships (LLPs), a body of individuals (BOIs), and an association of persons (AOPs).
Form 6 must be filed electronically by companies not exempt under section 11. This section offers guidelines for income from property held for religious or charitable uses.
This is the ITR type for a company or individual that must furnish income tax ITR under sections 139 (4A), 139 (4B), 139 (4C), and 139 (4D) and must file returns using form 7. In addition, you may easily file your ITR form online, also known as e-filing, which makes the entire procedure simple, quick, and hassle-free.
If any of the following circumstances apply to you, filing income tax returns (ITR) in India is required.
Additionally, even if your income is below the basic exemption amount, but you meet one of the following criteria, you are still legally required to file an ITR.
Individuals below 60 years old
Individuals above 8 years old
Individuals above 60 but below 80 years old
1.If you want to get a refund of your income taxes from the department.
2. Whether the taxpayer is a company or a firm, profit or loss is irrelevant.
3.If, throughout the FY, you received income from overseas sources or made investments there.
4.If you want to submit a loan or visa application
5. Possess one or more current bank accounts with a combined balance of more than ₹1 crore.
6. Have spent more than ₹2 lakhs on international travel in total, whether for you or another individual.
7.Have spent a total of more than ₹1 lakh on their electricity consumption.
8.If the prior year’s tax deducted at source (TDS) or tax collected at source (TCS) totalled more than ₹25,000. This ceiling is ₹50,000 for senior citizens (those older than 60).
9. If you run a business and your annual gross receipts, sales, or turnover were more than ₹60 lakhs.
10. If you practice a profession and have gross receipts of more than ₹10 lakhs the previous year, you must file a tax return.
Before you file your returns online, you must understand the basic rules and changes that may have been made for the current year. You must also know the tax rates to calculate your tax liability accurately.
The Income Tax Department has modified the various forms of return in the current year. Before you file your returns online, understanding these changes will ensure you can complete the procedure without any trouble.
As discussed above, there are multiple forms, and you must know the one you must file. You must read the various rules and regulations to know the form you must use to file your income tax return.
You should verify the details of the tax credit statement (Form 26AS) are accurate. This form provides details on the tax deducted at source (TDS) by your employers and others.
Specific headings, like interest, may be slightly complicated. Moreover, salary misreporting is another standard error. You must check all these minor details to avoid any issues in the future.
The Income Tax Act provides several tax benefits and deductions. It would be best if you took advantage of the income tax deductions to minimize your tax liability.
Once you file the returns online with digital copies of the required documents, you must verify the same. Failing to do so renders the filing incomplete, and you may have to pay the penalty for late filing.
Additionally, according to the finance ministry, the deadline to submit an ITR for the fiscal year 2022–2023 is July 31, 2023. As a result, those who intend to file tax returns must understand the differences between forms ITR 1 and 7. By doing so, they will be able to select the proper form and save themselves the headache of having to file again.
Ref. No. KLI/22-23/E-BB/999
Ref. No. KLI/22-23/E-BB/490