Income Tax Returns (India)

Many people are probably wondering just what it is anusually published by Income Tax Department. For
income tax return. An income tax return is a form or ainstance, For Mumbai and even Delhi, the particular
document (a form of paper or it can be done online)floor area is of 600 square feet for inhabited
that it should report your taxable income in detail. Andbelongings and 100 square feet for any property for
also if necessary it should report any capital gain.profit. But if any senior citizen is not engaged in any
Section 139 of Income Tax Act, 1961 states that if thekind of commercial issue, then he is exempted from
maximum amount in a single year is more than thethis condition.
total income, one should furnish return of income- If one should own a motor vehicle with more than
before or on the due date. The same sections statestwo wheels;
that one should file his tax returns if all his income is- If one should have to incur expenditure for himself or
more than the maximum exempted amount beforeany other individual on distant travel;
any deductions should be applied under several- If one should own any credit card which is not an
sections.add-on card, made by any organization;
But to better understand all this, let's go more in depth- If one is a member of any club where the entrance
of the situation. In the financial year 2009-2010 thefee may exceed Rs.25, 000;
maximum income is 160,000 (men) and 240,000If one should belong to any of these conditions, they
(women), income which is not chargeable to tax. Thisare liable for a return filing. If one should not file his
is for resident individuals which are over 65 years old.income tax returns, he will be legally responsible for
In the case if, for example, you total income is 160,000,penalties or/and prosecution under Income Tax Act.
and that is before applying any deductions, you are notBesides that, one should always now that there are
legally responsible to file an income tax return. If youmany indirect benefits of return filing. If you want to
total income is over 160,000 and you want to ask for avisit abroad, you will most likely need visa, and you will
deduction of 10,000 underneath sector 80C for savingmost likely need to submit tax returns of your past 3
in PPF, and yet if your whole earnings work outyears. Again, if you are interested in any loans, you will
150,001, you are legally responsible to report an incomeagain need to submit an income tax return file of your
tax return.past 2 or 3 years. In many other situations, even
In the same section 139, it is also specified that therepassport offices, return filing is accepted as a real valid
are certain conditions for which one will have to furnishproof of residence.
return of his earnings if the total of his earnings are notThese days, filing an income tax return has become
more than the maximum exemption limit. These certainmuch easier than other periods of time. And this is
conditions are:especially because of e-filing process. And this is why
- If one should have to incur an expenditure of Rs.it is much better if you file your income tax return
50,000 or above for use of electricity;without any kind of delays whatsoever. If you never
- If one should occupy an immovable propertyused e-filing process by now, you should know that
(ownership or otherwise), and he exceeds thethere are a few very good places online where you
specified floor area. This particular floor area may verycan do that.
well vary with the city areas, which details are being