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Filing your Income Tax Return (ITR) is an essential responsibility for every eligible taxpayer in India. Whether you are a salaried employee, freelancer, business owner, or professional, filing your ITR on time helps you stay compliant with tax laws and avoid penalties. In this complete guide, we will explain what ITR is, who needs to file it, required documents, different ITR forms, due dates, and the step-by-step filing process. What is Income Tax Return (ITR)? Income Tax Return (ITR) is a form submitted to the Income Tax Department of India that declares your income, expenses, deductions, and taxes paid during a financial year. It helps the government calculate whether: You have paid the correct amount of tax You are eligible for a tax refund You owe additional tax Filing ITR also serves as proof of income for loans, visa applications, and financial documentation. Who Needs to File ITR? You must file ITR if: Your total income exceeds the basic exemption limit You want to claim a tax refund You have foreign income or foreign assets You deposited large amounts in bank accounts You are a company or partnership firm You are self-employed or running a business Even if your income is below the taxable limit, filing ITR can be beneficial. Basic Exemption Limits (For Individuals) Under the new tax regime (subject to updates): Up to ₹3 lakh – No tax ₹3 lakh to ₹6 lakh – 5% ₹6 lakh to ₹9 lakh – 10% ₹9 lakh to ₹12 lakh – 15% ₹12 lakh to ₹15 lakh – 20% Above ₹15 lakh – 30% Always check the latest Finance Act updates before filing. Types of ITR Forms Choosing the correct ITR form is important. ITR-1 (Sahaj) For salaried individuals with income up to ₹50 lakh. ITR-2 For individuals with capital gains or foreign income. ITR-3 For individuals running business or profession. ITR-4 (Sugam) For taxpayers under Presumptive Taxation Scheme. Documents Required for ITR Filing Keep these documents ready: PAN Card Aadhaar Card Form 16 (for salaried employees) Bank statements Investment proof (80C, 80D etc.) Home loan statement (if applicable) Capital gain statements (if applicable) Having complete documents ensures accurate filing. Step-by-Step Process to File ITR Online Visit the Income Tax e-Filing portal Login using PAN and password Select “File Income Tax Return” Choose assessment year Select the correct ITR form Fill income details Claim deductions Verify tax computation Submit and e-verify using Aadhaar OTP / Net banking After successful submission, you will receive an acknowledgment (ITR-V). Benefits of Filing ITR on Time Avoid penalties and interest Faster tax refunds Loan and credit card approvals Visa processing support Financial credibility