Filing an Income Tax Return (ITR) is an essential annual obligation for individuals and entities whose income exceeds the prescribed limits or who meet other specific conditions. This process ensures proper tax compliance and enables taxpayers to claim refunds or avoid penalties.

Governing Body

The Central Board of Direct Taxes (CBDT) is the apex body that regulates direct taxation in India. It functions under the Department of Revenue, Ministry of Finance, and is responsible for policy-making, administration, and enforcement related to income tax.

Governing Act

The process of ITR filing is governed by the Income-tax Act, 1961, which outlines the laws related to the levy, computation, and recovery of income tax. The Income-tax Rules, 1962, provide procedural guidelines for implementing the provisions of the Act.

Who Should File ITR?

ITR filing is mandatory for the following categories:

  1. Individuals with total income exceeding ₹2.5 lakh (for those below 60 years).
  2. Individuals seeking an income tax refund.
  3. Persons with foreign income or assets.
  4. Those who deposited over ₹1 crore in a bank, spent more than ₹2 lakh on foreign travel, or ₹1 lakh on electricity.
  5. All companies and firms, regardless of income level.

Types of ITR Forms

Form

Applicable To

ITR-1 (Sahaj)

Salaried individuals (income ≤ ₹50 lakh, one house property)

ITR-2

Individuals & HUFs with capital gains or foreign income

ITR-3

Individuals/HUFs with business or professional income

ITR-4 (Sugam)

Presumptive income scheme for small businesses/professionals

ITR-5/6/7

Firms, LLPs, Companies, Trusts, and others

Steps to File ITR Online

  1. Collect necessary documents: Form 16, salary slips, bank statements, investment proofs, TDS certificates, etc.
  2. Log in to the Income Tax Portal.
  3. Go to “e-File” > “Income Tax Return”.
  4. Select the Assessment Year (AY 2024–25 for FY 2023–24).
  5. Choose the correct ITR form based on your income type.
  6. Review and verify pre-filled data.
  7. Add details of income, deductions, and taxes paid.
  8. Submit the return and e- verify using Aadhaar OTP, net banking, or other methods.

Due Dates for AY 2024–25

  1. 31st July 2024 – For individuals and non-audit cases.
  2. 31st October 2024 – For businesses requiring audit.
  3. 30th November 2024 – For entities under transfer pricing provisions.

Penalties for Late Filing

  1. A fee of up to ₹5,000 may apply under Section 234F if the return is filed after the due date (₹1,000 if income is below ₹5 lakh).
  2. Interest may also be charged under Sections 234A, 234B, and 234C for late payment of taxes.

Conclusion

Filing your Income Tax Return is not just a legal requirement but also a key step in managing your finances responsibly. It helps maintain financial transparency, enables you to claim refunds, and ensures compliance with the law—preventing penalties and legal issues. With the income tax system becoming increasingly digital, the process has become more streamlined and accessible.

Corpzo makes this process even easier. With a dedicated team of tax professionals and compliance experts, Corpzo ensures your ITR is filed accurately, on time, and in a hassle-free manner. Whether you are an individual, a business owner, or managing a company, Corpzo provides tailored support—especially in handling complex company filings. From choosing the right ITR form to verifying deductions and completing e-verification, their experts manage every step, giving you peace of mind and full compliance with the Income-tax Act.