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What is the importance of Income Tax Return Filing Online?
Have you found the ITR a burden & thinking about not filing the ITR? Don’t even think so. As the season of taxes is approaching, the time of filing ITR is also there. Income Tax Return Filing Online is very important for many reasons. Here, in this blog, we will discuss the importance of filing the ITR. So, before reaching the decision of not filing the ITR, it’s better to learn & understand the importance of tax filing.
Income Tax Return
Before learning about the importance of filing an ITR, first, understand what the Income Tax Return is. People used the Income Tax Return form for the declaration of their income including the information about the financial transactions of the taxpayers. Basically, ITR is a self-declaration made by the taxpayers about their earnings, assets, tax paid by them, and the refund to be claimed.
For tax filing, tax return preparation is a must, for which you have to contact a CA to simplify the process of filing taxes online.
Who required to file the Income Tax Return Online?
It is not mandatory for everyone to file the ITR. On the basis of the eligibility criteria as per the Income Tax Act, the taxpayers can decide whether they are required to file an ITR or not. However, tax filing is must for those who satisfy any of the conditions that have been given below-
- If your total income is more than the basic exemption limits of either 2.5 lakhs, 3 lakhs, or 5 lakhs, depending on the taxable limit applicable to you, filing taxes online is a must.
- If you pay electricity bills of more than Rs. 1 lakh, then you must file the ITR.
- If you have deposited an amount of over 1 crore in your current bank accounts in a financial year, then tax filing is must for you.
- If you have spent an amount of more than Rs. 2 lakhs for traveling internationally to a foreign country in a financial year, then you are required to file the ITR.
- If you have assets in foreign countries or, have a source of income from outside the country, or have signing authority for any account outside the country, then you must have to file an ITR.
Importance of Income Tax Return Filing Online
As there is a great importance of filing the Income Tax Return, hence you should file an ITR no matter whether you fall in the category of taxpayers or not. Now, let’s discuss the importance of Income Tax Return Filing Online. It is very important to file an Income Tax Return. Here given why-
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Income Tax Return Filing Online is must for Easy Loan Approval
ITR is the important document needed for the easy approval of the loan. The banks are asked for the ITR of the last 3 years as your income proof while applying for the loan, whether it is a vehicle loan or a home loan. So, to apply for the loan, filing taxes online is a must.
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To claim a tax refund at TDS, Income Tax Return Filing Online is important
Sometimes, the tax has been deducted at the time of your income, which is generally called TDS. TDS has been deducted even if there will be no tax liability on you for a particular financial year. In that case, tax filing is important so that you can claim the refund of the TDS.
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ITR can be used as Income proof & Address Proof
The government will accept your ITR as the address proof while applying for any government document, including an Aadhaar Card. Your ITR also works as the proof of your income, which is generally required to purchase the property.
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Filing ITR is important for quick visa processing
If you plan to visit abroad, then ITR is one of the important documents required by most of the embassies for providing you the visa as they demand your income proof. So, filing taxes online is important.
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Income Tax Return Filing Online for Credit Card Application
Nowadays, a credit card is a financial instrument that has been used by most of the people. To apply for a credit card, you are required to submit the proof of your income, for which ITR plays a vital role. So, if you want to apply for a credit card, then your ITR must be filed properly & on time.
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ITR Filing is must for you to carry forward your losses
If you have been incurred the losses under the “Capital Gains” or “Profits & Gains from Business or Profession and want to reduce your tax liability for the Financial Year, then tax filing is must.
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Income Tax Return Filing Online to avoid penalty
If you need to file ITR as per the Income Tax Act but fail to do so, then tax officers can impose a penalty of up to Rs. 5000/- on you.
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Income Tax Return Filing Online to buy term insurance.
You must have to submit the records of your Income Tax Returns as proof of your annual income to the insurance providers if you want to buy the term insurance plans.
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Income Tax Return Filing Online to claim refund of excess tax payments
If your total taxable income is less than the basic exemption limit and you have no tax liability for the financial year, then filing taxes online is a must so you can claim the refund of excess tax payments & recover your TDS that has been deducted at the source.
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Income Tax Return Filing Online for startup funding
If you want to raise funds for your startup so, it is important to file ITR as financial institutions & investors are asked for your business income tax return to study your business scalability, profitability, and other cost parameters before funding your startup. So, tax filing is must for every individual.
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Income Tax Return Filing Online to obtain government tenders
For contractors who try to obtain a government tender, income tax returns must be filed on time, extremely accurately, and audited (if needed), as it is very common for the tender-providing committee to check the ITR of about the last 5 to 7 years.
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Income Tax Return Filing Online for the Growth of the Nation
The amount that the government has collected as direct taxes will be used for the development of the country and for improving the country’s infrastructure.
Key points for Income Tax Return Filing Online
- Income Tax Return Filing is not only beneficial to you but it is also your duty as a responsible citizen.
- To avoid penalties, you should file the income tax return on time.
- Tax filing is very helpful for availing various services, including credit cards, bank loans, and visa applications.
- Income Tax Return Filing is a must for you if you want to obtain government tenders or want to raise funds for your startups.
Why LegalPillers is the best choice for Income Tax Return Filing Online?
LegalPillers is the top choice for online income tax filing due to its simplicity, professionalism, and effectiveness. Here’s why it’s the preferred option for individuals and businesses-
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Easy-to-Use Platform
LegalPillers offers a user-friendly interface, making it simple for anyone to navigate through the tax filing process without confusion or hassle.
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Accuracy and Compliance
With LegalPillers, you can trust that your tax returns will be accurate and compliant with current tax laws and regulations. The platform provides thorough guidance and checks to ensure everything is in order.
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Expert Support
If you ever have questions or need assistance, LegalPillers has a team of tax professionals ready to help. Their expertise ensures that you get the support you need to file your taxes correctly.
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Time and Cost Efficient
By using LegalPillers, you’ll save both time and money. The platform streamlines the filing process, reducing the time it takes to complete your returns. Plus, its competitive pricing ensures you get value for your investment.
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Secure Data Handling
Your data security is a top priority for LegalPillers. They employ advanced encryption techniques to keep your sensitive financial information safe from unauthorized access.
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More Convenience
Filing your taxes online with LegalPillers is incredibly convenient. You can access the platform anytime, anywhere, from any device with an internet connection, eliminating the need for in-person visits to tax offices.
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Comprehensive Services
LegalPillers offers more than just tax filing. They provide a range of services to meet all your tax-related needs, from planning and advisory services to GST registration and compliance.
LegalPillers simplifies the tax filing process with its user-friendly platform, accuracy, expert support, time and cost savings, secure data handling, convenience, and comprehensive services. With LegalPillers, you can file your taxes efficiently and confidently, knowing that your financial matters are in good hands.
Conclusion
Sometimes people think that there is no need for Income Tax Return Filing Online but no, that’s not true. Every responsible citizen must have to file the ITR. It is not only profitable for the government but also for the taxpayers. Filing taxes online has great importance, as given in this blog.
Suppose you want to file the ITR hassle-free, contact LegalPillers. We provide you with the best CA for proper tax return preparation and filing your ITR. Choose LegalPillers as your trusted partner for a stress-free filing of your Income Tax Return on time.
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March 6, 2024 at 4:44 am[…] Know about the income tax return filing online. Here you will get to understand the importance of income tax return filing. […]