There will be 5 tremendous benefits by filing income tax return
Every year, crores of taxpayers file Income Tax Return (ITR) due to falling in the tax slab. But do you know that even if your income does not fall under the tax limit, there are still many benefits of filing ITR. It is a financial document that proves helpful in loans, investments, visas and many other matters. That is, it not only saves you from legal hassles, but also gives financial benefits. So even if your income is low and you do not fall under the income tax slab, filing tax returns can still be beneficial for you.
There are many benefits of filing ITR, so financial advisors also advise those people to file returns for whom filing ITR is not necessary. Let us tell you that taxpayers have to file income tax returns by March 31. Now let us tell you 5 big benefits of filing (ITR Filing Benefits).
1. Tax refund claim
Even if your income is low, but if TDS (Tax Deducted at Source) is deducted from it every month, then you can get your deducted money back only by filing ITR. TDS can be deducted on your salary, commission, interest or fees. If more TDS has been deducted on your income, then you have only one way to get it back, filing ITR.
2. Ease in getting loan from bank
If you need a business loan, home loan, car loan or personal loan, then at such a time your ITR works as an important income proof. Before giving a loan to any person, the bank or NBFC sees what his income is and whether he files tax or not. If you have ITR proof of the last 2-3 years, then it will be easy for you to get a loan.
Let us tell you that you can get a loan even if you do not have ITR, but then the bank can charge you a higher interest rate. Therefore, if you are planning to take a loan in the future, then filing ITR will be beneficial for you.
3. Help in applying for visa
If you are planning to travel abroad or applying for a visa for a job or education abroad, then at such a time your ITR will prove to be an important document. Embassies of many countries ask for 2-3 years’ ITR receipts for income proof. Especially, if someone is applying for a visa to countries like America, Canada, Europe or Australia, then ITR of the last few years may be asked from him. Actually, ITR gives an idea of the financial condition of the visa applicant, which helps in knowing whether he can manage his expenses in another country or not.
4. Will be useful in insurance cover and investment
If you want to take a big insurance policy (such as a term plan of Rs 50 lakh or 1 crore), then insurance companies may ask you for ITR receipts of the last few years. Apart from this, if you want to invest in the stock market, mutual funds or other investment instruments, then even at such times ITR is useful as a strong financial record.
5. Applying for a credit card will be easy
If you are applying for a credit card, then filing ITR strengthens your credit score. It assures banks and other institutions that you are a responsible taxpayer and your financial condition is stable. This will make it easier for you to get a credit card.
