Income Tax Return Filing

Request a call back
Secured by Norton

Income Tax

According to the provisions of the Income Tax Act 1961, income tax is levied on the income of a person by the Government of India. It is levied on income earned during the financial year starting from 1st April ending 31stMarch. During the previous year, income earned is chargeable to tax in Assessment Year, which is the year after previous year( For example for the Financial year 2017-18, The assessment year will be 2018-19).

In India, every person is liable to pay tax if his/her total income is more than the income notified by the government in the slab rates.

Person liable to pay income tax

Individual

  • For less than 60 years old
Income Slab Rate Tax Rate Tax Payment
Income up to Rs. 2,50,000 Nil Nil
Income from 2,50,000 to 5,00,000 5% 12,500/-
Income from 5,00,000-10,00,000 20% 1,00,000
Income above 10,00,000 30% (Total Income – 10,00,000)*.30

- Surcharge @10% of Income Tax shall be levied where the income exceed 50 Lakh but up to 1 Crore and above 1 crore, Surcharge @15% shall be levy.
- Education cess@ 3% on tax plus surcharge.
- 87A Rebate of Rs 2,500

  • For individual 60 years or  more but less than 80(Senior Citizen)
Income Slab Rate Tax Rate Tax Payment
Income up to Rs. 3,00,000 Nil Nil
Income from 3,00,000 to 5,00,000 5% 10,000/-
Income from 5,00,000-10,00,000 20% 1,00,000
Income above 10,00,000 30% (Total Income – 10,00,000)*.30

- Surcharge @10% of Income Tax shall be levied where the income exceed 50 Lakh but up to 1 Crore and above 1 crore, Surcharge @15% shall be levy.
- Education cess@ 3% on tax plus surcharge.
- 87A Rebate of Rs 2,500

  • For individual 80 years old or more (Super Senior Citizen)
Income Slab Rate Tax Rate Tax Payment
Income up to Rs. 5,00,000 Nil Nil
Income from 5,00,000 to 10,00,000 20% 1,00,000/-
Income above 10,00,000 30% (Total Income – 10,00,000)*.30

- Surcharge @10% of Income Tax shall be levied where the income exceed 50 Lakh but up to 1 Crore and above 1 crore, Surcharge @15% shall be levy.
- Education Cess@ 3% on tax plus surcharge.

  • HUF/AOP/BOI/Any Other Artificial Jurdicial Person.
Income Slab Rate Tax Rate Tax Payment
Income up to Rs. 2,50,000 Nil Nil
Income from 2,50,000 to 5,00,000 5% 12,500/-
Income from 5,00,000-10,00,000 20% 1,00,000
Income above 10,00,000 30% (Total Income – 10,00,000)*.30

- Surcharge @10% of Income Tax shall be levied where the income exceed 50 Lakh but up to 1 Crore and above 1 crore, Surcharge @15% shall be levy.
- Education cess @ 3% on tax plus surcharge.

Partnership Firm (including LLP)

  • The income of the partnership firm shall be taxable @30% plus surcharge @12% where total income exceed 1 crore.
  • Education cess@3% shall be levy on Tax plus surcharge.

Local Authority

  • The Income of the local authority shall be taxable @ 30% plus surcharge @12% where total income exceed 1 crore.
  • Education cess@3% shall be levy on Tax plus surcharge.

Co-operative Society

Taxable Income Tax Rate
Up to Rs. 10,000  10%
From Rs.10,000 to Rs. 20,000/- 20%
Above Rs. 20,000/- 30%

  • Surcharge 12% shall be levy where total income exceeds Rs.1 Crore.
  • Education cess@3% shall be levy on Tax plus surcharge.

Domestic Company

Gross Turnover Tax rate
Up to 50 Cr. in the previous year 25%
Exceeding 50 Cr. in the previous year 30%

  • Cess @3% on corporate tax plus surcharge shall be levy.
  • Surcharge @7% shall be levy if taxable income exceeds 1 cr. but less than 10 Cr.
  • Surcharge @12% shall be levy if taxable income exceeds 10 Cr.

Foreign Company

  • Foreign company shall pay tax @40%
  • In addition to tax, surcharge@ 2% shall be levy where the total income exceeds Rs. 1 Crore but up to 10 Crore.
  • In addition to tax, Surcharge @5% shall be levy if income exceeds Rs. 10 crore.
  • Education Cess @ 3%.on tax plus surcharge

Income is to be calculated under various heads of Income and to get Net Income Chargeable to Tax deductions available under Chapter VI-A are deducted (For individual).

Income tax payment can be made to the government by either physical mode in any designated bank branch or through e-payment on NSDL website. In both the cases, Payment is to be made in Challan 280. The challan is to be filled very carefully as its accuracy is important for further processing.

Income Tax Return

Income Tax Return is a statement of income earned to calculate tax liability and payment or refund of taxes. Income tax return is filed for the purpose to report income and taxes paid thereon to the government. Income tax return contains details of annual income and the amount of tax paid. Indian citizens who earn taxable income have to file Income Tax Return (ITR) every year.

Income Tax Return Applicability

Type of Return

  • ITR 1:- For Individuals having Income from salaries, one house property, other sources (interest etc.) and having total income up to Rs.50 Lakh.
  • ITR 2:- For Individual and HUFs not carrying out business or profession under any proprietorship.
  • ITR 3:- For individual and HUFs having income from a proprietary business or profession (Rule 12 of the income tax Rules 1962).
  • ITR 4:-Sugam:-For presumptive Income from business & profession.
  • ITR 5:- For persons other than; - (i) individual (ii) HUF, (iii) Company and (iv) person filling from ITR-7
  • ITR 6:-For companies other than companies claiming exemption u/s 11
  • ITR 7:-For person including companies required to furnish return under section 139(4A) or 139(4B) OR 139(4C) or 139(4D) or 139(4E) or 139 (4F)

Everyone who falls under the criteria, it is a legal obligation to file ITR. It also helps in getting bank loans, visas, for claiming refund against excess income tax paid, as a proof of income certificate and also for tax payer’s self-satisfaction. In order to proceed for income tax return filing, a person must have PAN. No documents are required to be attaching with the return.

Now come to the 26AS which is a consolidated statement showing the tax credit associated with the PAN. This statement shows how much tax has been received by government by way of TDS deposited by deduct or (employer, bank) on our behalf, Advance tax deposited by us, self-assessment tax deposited etc.

Before filing income tax return it is important to match tax payments and TDS deducted with 26AS to get tax credit as tax credit can be taken of only those items appearing in 26AS. One can claim for benefit of tax credit or get refund only if return is filed.

Due Dates of Income Tax Return Filing

Tax Payer Due Date
Company 30th September
Persons whose accounts are required to be Audited u/s 44AB 30th September
Working Partner in a firm (where firm’s accounts are required to be audited) 30th September
Individuals, HUF,AOP,BOI etc. whose accounts are not required to be audited u/s 44AB 31st July

An assesses who fail to submit income tax return then return can be submitted after due date u/s 139(4) and will have to pay interest u/s 234(a). Belated return can be filed on or before 31st March of the relevant Assessment Year. In case error is discovered after filing of the return then revised return can be filed by an assesses before the end of the relevant assessment year or before the completion of the assessment, whichever is earlier.

Why Enterslice?
Asia Winner
Top 100 Most Innovative Companies in Asia - Red Herring
Top 25 Consultants
Top 25 Consulting Firm in India - Consultants Review
100%
Success Rate. Your Order Comes with Money Back Guarantee
100+
Services delivered by 100+ Qualified CA and CS
Latest news
Enterslice begins operations in Hong Kong
Enterslice begins operations in Hong Kong

Hong Kong [China], May 04 (NewsVoir): Enterslice has earned a remarkable reputation for helping..

Read more
Peer to peer lending now needs NBFC registration - Interview of Narend..
Peer to peer lending now needs NBFC registration - Interview of Narend..

Apart from helping these startups raise organized funding, this announcement also means that the..

Read more
Prodigee Finance gets license from Reserve Bank of India
Prodigee Finance gets license from Reserve Bank of India

It's quite understandable that the rules and regulations of the Reserve Bank of India make it a c..

Read more
As seen in
Testimonials
5.0

" Enterslice use technology better than others. That saves time and money; Team enterslice is more efficient than traditional competitors, and that helps to pass on the cost advantage to its clients. The company is building a high-level transparency in legal services by optimum use of technology and process automation in consulting. I highly recommend this company. "

Nilanjan Bandyopadhyay
Nilanjan Bandyopadhyay
5.0

" Excellent advisory role by Enterslice Team. They are a trusted partners to us. Narendra and his team helped us with our pre NBFC applications and Post NBFC advisory services. "

Amit Goel
Amit Goel
5.0

" Amazing services provided by your organization. They have completed our NBFC registration order within stipulated time period of 90 days. They provide constant guidance and support in the process. Their support in building fintech software is amazing. "

Manisha Mantri
Manisha Mantri
Trusted by
Finstar Financial
Fashiontv
Bioworld
Acme Solar
Opera Software
BANK OF AMERICA
Razorpay