Income Tax Return: Tax payers get these big benefits, most of the people make this mistake...
There are two types of people among those who do jobs. One with taxable income and the other with non-taxable income. Often people who do not fall in the tax bracket feel that there is no need to file income tax returns. It is wrong to think just this. You may not come under the tax net, but if you file returns you will be in profit. We tell you 8 such benefits, and after knowing which you will file your return immediately.
ITR is the biggest and strongest income proof.
Taxpayers get a certificate after filing an Income Tax Return (ITR). This is an official certificate. This reveals the person's salary i.e. annual income. Getting a registered proof of income makes it easier to get credit cards and loans. It also helps in proving your credit history.
A tax return is necessary for Visa-
A visa is required before traveling abroad. An income tax return is asked while applying for a visa. Visa authorities usually ask for an ITR of 3 to 5 years. Through ITR, it is checked what is the financial status of the person who is coming to his country or wants to come. Therefore, fill out ITR.
Your return is also address proof-
Nowadays it is the era of filing income tax returns online. But, if the income tax return is filed manually, the receipt is sent to the registered address. Due to this, it is also accepted as an address. ITR becomes address proof along with income.
If you want more insurance coverage then fill out the return-
Insurance companies look at the Income Tax Return (ITR) if the condition of keeping the insurance coverage is high or for term plans up to Rs 1 crore. ITR is asked to check the source of income and repayment status.
Adjust stock or mutual fund losses from ITR-
ITR is also a good resource for trading shares in the stock market or investing in mutual funds. In case of loss anywhere, the loss can be carried forward to the next year. But, for this, it is necessary to file an income tax return within the prescribed deadline. In case of capital gain in the next year, tax exemption can be availed by adjusting the loss against profit.
ITR is necessary for business or contract-
Even if you want to start a business, an income tax return is very important. ITR will be useful for getting contracts from any department. To get a contract in any government department, it is necessary to show the tax returns of the last 5 years.
ITR is necessary for a home loan or any loan-
Even while taking a loan, proof of your income is seen. In the case of a home loan, an ITR of 3 years is asked as income proof. Banks may also refuse to apply for a loan without ITR. If you file ITR regularly, your chances of getting a loan increase.
If you want a tax refund then fill ITR-
The income slab of an employee does not come under the tax net, yet if TDS is deducted for some reason, then the refund can be taken only by filing the return. To claim a tax refund, ITR has to be filed. After the ITR is filed, the Income Tax Department assesses it. If a refund is being made then it is processed.
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