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ITR filing is mandatory in 10 situations – Check if you fall in any of them

Section 139 of the Income Tax Act governs the filing of a return of income. A common understanding is that the obligation to file an income tax return (ITR) arises if an individual earns income on which tax has been deducted.

This is not entirely true. Section 139 lists certain situations wherein return filing by an individual is mandatory even if no tax has been deducted from his income or even if he does not earn any income.

1. If your total income exceeds the basic exemption limit of Rs. 2,50,000/-.

2. If you have assets outside India.

3 If you deposit more than Rs .1 crore in a bank account.

4. If you incur Rs. 2 lakh on foreign travel.

5. If your electricity Consumption is Rs. 1 lakh per annum.

6. If Turnover of your business is more than Rs. 60 lakh in a year.

7. If Gross Receipt from Profession is more than Rs. 10 lakh.

8. If TDS is Rs. 25,000 or more

9. If TCS is Rs. 50,000 or more.

10. If deposit in a saving bank account is Rs.50 lakh or more

Exceptions to above rule

Even if an individual’s gross total income does not exceed the basic exemption limit, then also he/she may have to file ITR. ITR filing before the expiry of due date (July 31, 2022 for FY 2021-22) is mandatory for these taxpayers:
a) who has spent an amount or aggregate of amounts exceeding Rs 2 lakh for himself/herself or any other person for travel to a foreign country;
b) who has deposited an amount or aggregate of amounts exceeding Rs 1 crore in one or more current accounts maintained with a bank or co-operative bank;
c)who has paid electricity bill exceeding Rs 1 lakh in a single bill or on aggregate basis during the financial year;

d) “Ordinarily resident individuals who are having income from foreign countries and/or holding assets in foreign countries and/or having signing authority in any account outside India; and
e)If an individual’s gross total income exceeds the exemption limit before claiming tax exemption on capital gains under sections 54, 54B, 54D, 54EC, 54F, 54G, 54GA or 54GB of the Income-tax Act, 1961”

Due dates for filing returns of income/loss

The due dates for filing return of income are as follows:

  • Individual/HUF whose accounts are to be audited or partner of a firm whose accounts are to be audited or the spouse of such partner if the provisions of section 5A apply :- 31st October of the assessment year
  • Filing of return where a taxpayer (corporate/non-corporate including partners of the Firm) is required to furnish a report in Form No. 3CEB under section 92E  :- 30th November of the assessment year
  • In all other cases  :- 31st July of the assessment year

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