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How do I file ITR for the first time?
Filing Income Tax Return can be a tedious task and if you are filing it for the first time, then it can tougher for you. Therefore, it is important to know the basics about filing your Income Tax Return. Filing your IT Return can be an easy and if you keep a couple of things in mind.
First and foremost, it is very important to determine the tax slab that you fall under which will establish your tax liability. Any individual whose income is less than Rs. 2.5 lakhs are exempt from paying taxes but can file their tax return to keep a record of their income. Above this limit, every individual becomes taxable based on the tax slab prescribed by the Income Tax Act, 1961. However, in case of Senior Citizens (between 60 and 80 years of age), this limit exceeds to Rs. 3 lakhs and for Super Senior Citizens (above 80 years of age), it is Rs. 5 lakhs.
You should keep the following documents handy while filing the Income Tax Return: -
- PAN Card
- Aadhaar Card
- Form 16
- Form 26AS
- Investment details
On your tax-saving investments, you may be able to claim a deduction of up to Rs. 1.5 lakhs, as per Section 80C of the Income Tax Act, 1961. In addition to Section 80C, you can also claim deductions under Section 80D (medical insurance), 80G (donations made to specific institutions), etc. All these deductions help in bringing down your taxable income significantly. Therefore, it is essential to attach documented proof of these investments when you file your Income Tax Return.
Depending on the source of Income the following ITR Forms are available for the taxpayers: -
- ITR – 1: For individuals having income from salaries, one house property, other sources (interest, etc.) and having a total income of up to Rs. 5 lakhs.
- ITR – 2: For individuals and Hindu Undivided Families (HUF) not carrying out business or profession under any proprietorship.
- ITR – 3: For individuals and HUFs having income from a proprietary business or profession.
- ITR – 4: For presumptive income from business or profession.
- ITR – 5: Firms, Association of Persons (AoP), Body of Individuals (BOI), Cooperative Societies, Artificial Judicial Persons and local authorities.
- ITR – 6: For companies and business organizations who do not hold any income share from the religious or charitable trust.
- ITR – 7: For individual or business who falls under Section 139(4A) or Section 139(4C) or Section 139(4D) .
