ITR Filing For FY 2023–24: After the release of Form-16 by the employer, people are filing ITR rapidly these days. Like every year, this time also the last date for filing ITR is 31st July. Ever since ITR filing has been made online, this work has become very easy. Now it is not only necessary but also beneficial for you in many ways. Let us know the 10 benefits of filing ITR-
The biggest advantage of filing ITR is that you follow the government rules. If you do not do this, legal action can be taken against you. This includes both fines and jail. By filing ITR on time, you can avoid such problems.
Filing ITR on time makes it easier to get a loan or visa to go abroad. ITR is asked by banks to ascertain your income while giving a loan. By filing ITR for visa also, your income is ascertained and this increases the chances of getting a visa.
ITR is a reliable and detailed report of your income and financial status. This is why filing ITR is an important document for your tax-related responsibility. You can also use ITR as an identity proof in some cases. Through this, you can apply for Aadhaar or any other government document.
Many taxpayers are entitled to a refund due to excess tax deduction or advance tax deposited. But for refund, it is necessary to file your ITR. By filing ITR on time, your excess tax deposited is refunded on time.
Filing ITR allows taxpayers to reduce the losses incurred in one financial year in the next year. This loss can be deducted from future income, which reduces tax. This planning is very beneficial for those who have invested money in the stock market or other businesses.
Income Tax imposes a penalty on those people and companies who do not file their ITR. If you file your ITR by the last date, you can avoid such penalties. In this way, you can avoid paying extra money without any reason.
Filing Income Tax Returns (ITR) regularly keeps your credit profile good. Banks or companies that give you loans check whether you have ever paid taxes before or not. If your credit score is good, then it is easy for you to get a loan at a lower interest rate.
It is very important for companies to file ITR to get government tenders. Government departments see how the company’s financial condition is and whether it follows the rules related to tax or not. If a company files its ITR regularly, it shows that its financial condition is strong and it follows government rules.
There are many types of tax deductions and exemptions available to promote certain types of investment methods. If you invest in such schemes, you can take advantage of them. This reduces your tax. In these schemes, you get a tax deduction or get a rebate on the TDS deposited. You claim this while filing ITR.
Filing ITR helps you know your financial status. This will help you plan your money better and manage it. While filing ITR, you can review your income, expenses and investments. This will help you take the right financial decisions for the future.
