ITR Filing Dates:-

ITR can be filed from April 1, 2023 to July 31, 2023 for income earned in the financial year 2022-2023, as per the usual schedule. After July 31, 2023, taxpayers will have to file a belated ITR, which may attract penalties or other costs.

ITR is Compulsory for:-

Individuals in India, who during the ITR filing season, earn a taxable income or satisfy specific conditions, such as owning more than one property, foreign assets, or holding directorship in a company, must file an annual Income Tax Return (ITR) within the stipulated deadline.

Mode of ITR filing:-

Taxpayers have the option to file their ITR both online and offline.

The online mode is called e-filing and can be filled at incometax.gov.in.

On the other hand, for the offline mode, taxpayers must use the Offline Utility for ITRs to file their income tax returns.

Calculation of the Income Tax-

Calculating income tax depends on various factors such as the income earned, tax slab rate, deductions, exemptions, etc.

Here are the steps to calculate income tax:

  • Determine the gross income earned during the financial year, which includes income from salary, house property, capital gains, business or profession, and other sources.
  • Subtract the applicable deductions under section 80C to 80U, which includes investments in PPF, insurance, ELSS, etc.
  • Compute the net taxable income by subtracting the deductions from the gross income.
  • Determine the tax slab rate based on the net taxable income.
  • Calculate the tax liability based on the tax slab rate applicable.
  • Add the applicable surcharge and cess to the tax liability.
  • The final amount will be the income tax payable.

Types of ITR Form:-

ITR-1 form can be filed by an individual with a total income of up to Rs 50 lakh and who receives income from salary, one house property, and other sources such as interest.

ITR-2 can be filed in the case, if anyone have income from residential property, and which exceeds Rs 50 lakh rupees.

ITR 3 – for Professionals like CA, Advocate etc.

ITR 4- for Individuals, Hindu Undivided Families (HUFs), and firms having total income up to Rs 50 lakh and income from business or profession.

ITR-5 and ITR-6 are specifically designed for LLPs and businesses, respectively.

Thus, it is advisable to file your returns timely, you can contact us for more information.