So, you are a salaried employee and TDS on your income has already been deducted from your salary and you are feeling that if TDS has been deducted your responsibility towards Income Tax Department has been completed, but this is not completely true. Let us clarify…
Filing Income tax return is not mandatory for salaried individuals with salary income less than 5 lakhs, as the same was exempted. However, there are certain conditions that such individuals need to fulfill to avail this exemption.
Following are some important conditions:
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The entire income must accrue from a single employer. That is, if an individual has a taxable salary income of less than Rs 5 lakh but had switched jobs in the middle of 2017-18, then he would have to file tax returns, clubbing income from all the employers.
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The gross total income of the employees less deductions should not cross Rs 5 lakhs.
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Third condition is that the employee has reported his Permanent Account Number to the employer and should obtain certificate of tax deduction in Form No. 16.
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The exemption will also not be available to individuals who have interest income of more than 10,000 in their savings deposits. Those with interest income of less than 10,000 will need to declare such income to their employer and have tax deducted on it to avail of the exemption.
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Those individuals having income from sources other than salary or having refund claims will not be covered under the scheme.
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Many such conditions have to be fulfilled only then there arises no filing of IT returns.
So the summary is, if your total earning from salary after all deductions is more than 5 lakhs and you are having any income other than your salary along with an interest on savings bank more than 10K, you are responsible to file the return.
We hope you found this article helpful. To get help in filing your return please contact us.
