ITR Filing Benefits- Income Tax Return (ITR) has to be filed by 31 July 2023 for the financial year 2022-23. If your income is taxable, then it is necessary for you to finalize the return. Even if your income does not come under the purview of income tax, you should still file the return because doing so will give you many benefits.
Income tax return filing in India is generally considered to be a cumbersome process. For those for whom it is mandatory to file ITR, many of them are reluctant to do this work. Very few of those who do not have tax liability file ITR. However, there are only advantages to filing returns, not a single disadvantage.
Banks and other lending institutions consider ITR receipt as a solid proof of income. If you are filing ITR and take any kind of loan including car, loan or home loan in future, then ITR will help you a lot in this and you will get loan easily.
Many countries ask people for proof of their income while granting visa. ITR receipts are strong proof of your income. This helps the authorities of the country where you want to go to get an idea of your economic status. Visa is easily available on showing ITR.
ITR is also very helpful for those investing in shares or mutual funds. In case of loss in these, it is necessary to carry forward the loss to the next year and file income tax return. The loss will be adjusted against the profit in case of capital gain in the next year and you will get the benefit of tax exemption.
Many times companies deduct TDS from people’s income, while their salary is out of the tax slab. In such a situation, you can easily claim your deducted TDS by filing income tax return.
The ITR receipt is sent to your registered address, which can serve as an address proof. Apart from this, it also acts as an income proof for you.
