Tax filing is a mandatory requirement for anyone with a taxable income of Rs 2.5 lakhs and above. It is also mandatory for cases mentioned below
- If you are an individual who has paid an electricity bill over Rs 1 lakh or
- Spent Rs 2lakh and above in travel abroad.
- The aggregate of deposits in current account/accounts exceeding INR 1 crore
But it makes sense to file tax returns for many other benefits.
Top 5 reasons to file tax returns even if your income is not taxable
Applying for a vehicle/home loan or other financial instruments
Tax returns of previous years are a mandatory requirement whenever you apply for a vehicle/home loan as they act as proof of your source of income. Tax returns also can be a requirement when applying for certain credit cards/insurance policies and more.
Tax deduction at source is common now for many services, especially if you are a freelancer, work on contract, get interest income from bank, etc. But many times you may not fall under the taxable bracket. The only way you can claim a refund is by filing a tax return.
Applying for a visa
With the COVID situation coming to normal, international travel for work or business will pick up the pace. Immigration authorities from many countries require your previous tax returns to assess your source of income. It is a known fact that previous tax returns are a mandatory requirement for visas for the US, the UK, Canada, and Schengen areas.
Meets the requirement as proof of income
Salaried individuals get their salary slips as proof of income. But this is not available for self-employed individuals. A tax return can fill in this gap.
Many individuals are investing in different kinds of assets, like stocks, bitcoins, land, homes, etc. There are situations when you have to sell an asset at a loss. Did you know that certain types of losses can be carried forward for 8 years? This is possible only when the tax return is filed.
Are you also looking to avail of these benefits but struggling to file tax returns on your own? Tax2win solves all these problems by filing your tax return accurately without any hassle and helps you to get the maximum tax refund possible. Hire our eCAs to file your ITR today!