This year has been pretty hectic not because of work but how the pandemic has pushed our life in a shell. ITR filling usually happens in the first quarter of the year but due to COVID it has shifted twice from its original date and now the final date emerges for ITR filing for the year 2019-20 is decided to 31st December 2020.
ITR Filing is mandatory for people who earn the following amount:
Despite the section 87A which has reduced the tax liability of the person to zero who earns up to Rs 5 lakh as an annual income. There are cases that it is mandatory for you to file the ITR like:
- With a gross annual income of more than 2.5 lakh a year and below 60 years of age. Then it is mandatory for you to file ITR
- Gross annual income between 3 lakhs and if you are aged between 60-80 then it is mandatory also.
- People above 80 lakhs with an annual income of more than 5 lakh should also pay ITR.
Filling ITR irrespective of your income if you have paid:
- 1 lakh electricity bill
- 2 Lakh on foreign travel
- Invested in foreign asset
- Deposited 1 crore in the current account
Don’t hide your Interest earn while filling an ITR. Despite paying TDS to the bank which is only 10% of the income. It doesn’t mean you don’t need to mention it while filing an ITR. Your tax liability goes up if you belong to a higher tax bracket group. If your interest income exceeds 10,000 from all the bank account then it is compulsory to pay tax on it.
Reporting financial gain could be tricky as different financial gain have different tax treatment but now there is a mutual fund advisory that gives you a proper statement of capital gains that also differentiates between long and short-term gains. regarding all your financial gain and helps in eliminating any kind of confusion.
If you’re applying your ITR from the portal then you simply need to upload this.
The same goes for stocks. Ask your stockbroker with a statement of long-term gains which you need to mention scrip-wise details. and upload the same while filing an ITR.
Schedule ID helps taxpayers in claiming any kind of exemption on investment till 30 June 2020. Don’t put details of the investment that comes in the current financial year of 2020-21.
Don’t forget to pay your ITR for the financial year 2019-20. If you have any further doubt you can always take help from a professional.