Income Tax Return (ITR) Filing: Know about additional TAX BENEFITS senior citizens, very senior citizens are entitled to

Senior citizens and very senior citizens are granted a higher exemption limit as compared to normal taxpayers. Exemption limit is the quantum of income up to which a person is not liable to pay tax. The exemption limit granted to senior citizens and very senior citizens for the financial year 2020-21 is as follows: 

Senior citizen: A senior citizen is granted a higher exemption limit compared to non-senior citizens. The exemption limit for the financial year 2020-21 available to a resident senior citizen is Rs 300,000. The exemption limit for non-senior citizens is Rs 250,000. Thus, it can be observed that an additional benefit of Rs 50,000 in the form of a higher exemption limit is available to a resident senior citizen as compared to normal taxpayers.              

Very senior citizen: A very senior citizen is granted a higher exemption limit compared to others. The exemption limit for the financial year 2020-21 available to a resident very senior citizen is Rs 5,00,000. The exemption limit for non-senior citizen is Rs. 2,50,000. Thus, it can be observed that an additional benefit of Rs 2,50,000 in the form of a higher exemption limit is available to a resident very senior citizen as compared to normal taxpayers. 

So, at what age a person is qualified as a senior citizen and a very senior citizen under the Income Tax law? Before understanding the age criteria, it is very important to know that the tax benefits offered under the Income-tax Law to a senior citizen/very senior citizen are available only to resident senior citizen and resident very senior citizens.

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In other words, these benefits are not available to a non-resident even though he may be of higher age. The age and other criteria to qualify as a senior citizen and very senior citizen under the Income-tax Law should be of the age of 60 years or above but less than 80 years at any time during the respective year for senior citizens, and they should be Indian resident. And for every senior citizen, the I-T department has set the bracket at 80 years or above at any time during the respective year they should be the Indian resident.