Do You Have To File Income Tax Return For AY 2015-16?
Posted on October 01 2020
If you want to know whether it is necessary for you to file an income tax return this year.
Shortly income tax return filing will commence for AY 2015-16, returns will be filed for income earned in the financial year that started on 1st April 2014 and ended on 31st March 2015.
Here’s the thumb rule; sum up the income earned by you from all the sources and find out the gross total income. If the gross total income exceeds Rs 2,50,000, allowing no deduction under section 80C to 80U then it is mandatory for you to file an income tax return in India. If you are between 60 years and 80 years old, the exemption limit is Rs 3,00,000 and for those who are more than 80 years old the exemption limit is Rs 5,00,000.
Do note that the income here is considered before allowing the deductions, so if your incomes less deductions are lower than the above limits then you should still file your income tax return.
An income tax return should also be filed if you are probing a refund of excess tax deducted at source (TDS) on your income. The only way to claim a refund is by filing an income tax return.
Tax payers who want to carry forward the loss under a head of income should also file an income tax return. Most losses are allowed to be carried forward to consecutive years and adjusted against the income when an income tax return is filed specifying the details of the loss.
Filing income tax return is necessary for a resident individual if she has an asset or a financial interest in an entity located abroad. It is also important to file an income tax return where she is a signing authority in a foreign account. After the announcement of the undisclosed foreign income & assets bill, 2015, it is compulsory to comply with this requirement and file an income tax return with the said disclosures.
All the Indian companies and the firms have to file their income tax return irrespective of whether they have earned an income or suffered a loss during the financial year.
Non Resident Indians (NRI)
The first step is to find out your residential status for the financial 2015-16. If you are an NRI and have earned any income from a house property which is situated in India or you have earned any capital gains on the transfer of an asset in India, earned or received a salary during the financial year in India; you have to still file your income tax return. Where gross total income before deductions crosses Rs 2,50,000 then you should file an income tax return in India. If you are probing a refund of taxes or want to carry forward the losses then an income tax return should be filed.
You are needed to file an income tax return when you are in receipt of income derived from any property held under a trust for charitable or religious purposes or a political party or a research association, news agency, educational or medical institution, trade union, a not for profit university or educational institution, a hospital, infrastructure debt fund, any authority, body or trust.
At the time of applying for any loan or a visa, you require to prove whether you file your income tax returns or no.
Is it important to e-file income tax return?
While an adequately large number of ITRs are filed online, the income tax department will gradually move to go paper free and bring all the returns online. As of now, if any of the following cases apply to you, the Income Tax Department has made it is important to e-file your income tax return –
• Your gross total income is more than Rs 5,00,000
• You want to claim an income tax refund. Those who are over 80 years old and are filing ITR-1 or ITR-2 can still file a paper return to claim a refund.
• ITR -3, 4, 5, 6, 7 has to be necessarily e-filed.
Penalties for non-filing an income tax return?
Under section 271F, the assessing officer may excise a penalty of Rs 5,000 when you have not filed your income tax return by the due date.
The due date for filing your Income Tax Return for assessment year 2015-16 is 31st July 2015, if you appropriate the conditions listed above then do remember to submit your income tax return on time.
Tax Assist is a professional income tax consultancy in India for both corporate houses and individual tax payers; the latter comprising Salaried Individuals, Seafarers, Professionals and Non Resident Indians.
With the help of Tax Assist and its team of income tax professionals, taxpayers can minimize their Income Tax liability, maximize their net income and create opportunities to save for current and future needs while maintaining proper accounting standards and income tax returns which are compliant with the Law.