It is not necessary for everyone to file ITR but there are certain circumstances in which ITR filing is mandatory. Those circumstances are mentioned below:
1. Gross Total Income Exceeds the Exemption Limit
If your Gross total income (income before allowing for any deductions) exceeds the exemption limit.
Exemption Limits: –
- For normal taxpayer- ₹2.5 lakhs.
- For senior citizens (aged above 60 but less than 80)-₹3 lakhs.
- For super senior citizens (aged above 80) -₹5 lakhs.
Income above this limit are considered as taxable income.
2. Foreign Travel Expense
If you spend more than ₹2 lakhs in foreign travel during a financial year.
3. Electricity Bill Payment
If you pay more than ₹1 lakh for electricity during a financial year.
4. Owner of foreign assets
If you are a Resident individual and have any asset or financial interest in an entity located outside India and accruing income from the same.
5. Bank deposits
If you deposit more than ₹1 crore in one or more bank accounts in a financial year.
6. Income tax refund
If you want to claim an income tax refund.
7. Carry forward of loss
If you want to carry forward a loss to subsequent financial years.