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Tax Returns

What Is Tax Returns?

Definition of 'Tax Refund' The return of excess amounts of income tax that a taxpayer has paid to the state or federal government throughout the past year. In certain cases, taxpayers may even receive a refund if they owed no taxes, because certain tax credits are fully refundable.

A return of excess taxes paid during a given tax year; this is more accurately known as a "Tax Refund".

Individuals, especially the salaried class, always ask: why should I file my income tax returns when all taxes have been already deducted from my salary?

Many assume that the filing of tax returns is a harrowing experience. There are some myths associated with these filings. A common fear is that the taxman comes knocking at the door if the tax returns is filed. The fact remains that each individual having taxable income has an obligation to file his/her incometax returns for the relevant financial year. The finance minister recently indicated that salaried employees earning below Rs 5 lakh and not having any other sources of income would be exempt from filing the income-tax returns.

The due date for filing tax returns by individuals depends on the category one belongs to. In case of individuals whose accounts are required to be compulsorily audited, the return is to be filed by 30 September. For the rest, July 31 is the due date.

Benefits of Tax Filling :

Filing of tax returns ensures that the individual is compliant with the tax laws.

There are other benefits also. By staying within the time lines, the individual would be able to manage his financial affairs effectively. For instance:

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Tax Returns

Tax Returns

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