Simply put, income tax means tax on gross income has to be paid to the central government, which is decided by the government on the basis of income. Income Tax Return Filing is very important for everyone, whether they are individuals, NRIs, partnership firms, LLP companies, or trusts. It is mandatory for everyone to File Income Tax Returns each year. Individuals and NRIs are required to File an Income Tax Return if their gross income exceeds above Rs: 5 lakhs in a year. Proprietorship firms, partnership firms, and Pvt. Ltd. companies are also required to file their income tax return, irrespective of the amount of income or loss. All companies and LLPs are mandatorily required to file their Income Tax Return, irrespective of turnover or profit.  Assistfile provides an income tax return service with our dedicated tax expert support. For filing your income tax return, upload your Form-16, and be relaxed. Our tax experts will file your income tax return and provide you the update within 1–4 business days.

Deadline For  Filing Income Tax Return

• The due date of filing Income Tax Return  for individuals is 31st July 
• The due date of filing income tax returns for companies is September 30th, and a taxpayer also required a tax audit.

Taxpayers who did not file their income tax return on time are subject to penalty and charged interest on the late payment of income tax. Also, the penalty for late filing income tax return on time has been increased recently. The penalty for late filing income tax return is now as follows:

• Late Filing between 1st August and 31st December: Rs. 5000
• Late Filing After 31st December: Rs. 10,000
• Penalty if taxable income is less than Rs. 5 lakhs – Rs. 1000

For A Business

If you are a businessman, then a tax audit would be required if the total sales turnover or gross receipts in the business exceeds Rs. 1 crore in any previous year.

For a Professional

If you are in a  profession or professional, in that case, a tax audit would be necessary if your gross income/profit in the profession exceeds Rs. 50 lakhs in any of the previous years.

Presumptive Taxation Scheme

If a person is enrolled under the presumptive taxation scheme under section 44AD and total turnover or sales is exceeds more than Rs. 2 crores, then tax audit would be required.

Types of ITR forms 

Income Tax Return has different category forms on the basis of individuals and companies. As follows

1. FOR INDIVIDUALS/HUF—ITR-1, ITR-2, ITR-3 & ITR-4
2. FOR COMPANY–ITR-6 & ITR-7
3. FOR OTHER THAN INDIVIDUALS AND companies

ITR1 is a SAHAJ form It is the most used by Individuals Who have their income more than 50 Lakhs, have earned their income through Salary Or pension in the financial year and have only one house Property and other sources excluding racehorses, legal gambling, lottery, Etc are required to file their Income Tax  Return with using ITR-1 form.

The ITR-1 form must be filed by individuals and HUFs on or before 31st July of every year.

ITR-2 Form 

The ITR-2 Form is an important income tax return form because those individuals who are not eligible to use ITR-1 can use the ITR-2 Form. Individuals and undivided Hindu families who have their income exceeding 50 lakhs through salary or pension  for the financial year and who have more than house property, income from capital gains, income from foreign assets/income, from business or profession as a partner (not proprietor), and other sources including racehorses, legal gambling, and the lottery are eligible to file their income tax return using ITR-2.

ITR-2 form must be filed by individuals and HUFs on or before 31st July in each year.

ITR-3 Form Filing

The ITR-3 Form is particularly for those individuals and Hindu undivided families who have eaten their income from carrying on a profession or from proprietary business. If an Individual/HUF is having income as a partner of a partnership firm that is carrying out business/profession, he cannot file ITR-3. In such a case, he is required to file ITR 2.

The due date for filing ITR3  is 31st July for Individuals and 30th September for Businesses.

ITR-4 SUGAM Form Filing

The ITR-4 Form particularly used by Individuals, Hindu Undivided Families who are having a running business with a turnover of fewer than 2 Crores and Professionals with gross income exceeding 50 Lakhs, provided they have opted for the presumptive income scheme as per Section 44AD, Sec 44ADA and Section 44AE of the Income Tax Act.

ITR-5 Form Filing

The ITR-5 Form is mostly  used by firms, limited liability partnerships (LLPs), associations of persons (AOP), bodies of individuals (Bois), artificial judicial persons, cooperative societies, and local authorities, provided they are not required to file the return of income under sections 139(4A), 139(4B), 139(4C), or 139(4D) (i.e., trusts, political parties, institutions, colleges, etc.).

Individuals, HUFs (Hindu Undivided Families), and companies cannot use the ITR-5 Form.

 ITR-6 Form Filing

The ITR-6 Form can be used only by Companies. Only companies that are not claiming an exemption under section 11 (Income from property held for charitable or religious purposes) can use the form to file their Tax Returns with the Income Tax Department of India.

ITR-7 Form Filing

ITR-7 Form mostly used by companies, firms, local authorities, associations of persons (AOP), and artificial judicial persons that are claiming exemption as one of the following :

• Who has income from a charitable or religious trust under Section 139 (4A)?
• Who has income from Political party under Section 139 (4B)?
• Who has income from Scientific research institutions under Section 139 (4C)?
• Who has income from universities, colleges, institutions, or Khadi and Village industries under Section 139?

Procedure for filing Income Tax Return

• At Assistfile our tax expert will collect the necessary information and documents from you and prepare your income tax return.
• And after that  Based on the documents and information presented, our  Expert will prepare your return and send for your approval.
• Lastly Once the tax return is verified and accepted by you, our Tax expert will file your tax return with the Income Tax Department.

1. Helps in Applying for Loans
2. Helps in Claims Refunds
3. To Carry Forward Capital Losses
4. ITR Receipt is an important/essential document
5. Useful As address proof
6. Important for Visa Processes
7. Useful for self-employed
8. ITR receipt is essential to obtain Government Tender