Income Tax: 10 situations where ITR filing is mandatory

The last date for filing Income Tax Return (ITR) filing for the financial year 2016-17 is approaching fast and the taxpayers are left with just five days. 

If you are still thinking whether you are eligible to file ITR or not, then we give you 10 situations as per the Income Tax Act which makes it mandatory for an individual to file ITR in India:

1. Your gross total income (before allowing any deductions under section 80C to 80U) exceeds Rs.2,50,000 in the FY 2016-17. This limit is Rs 3,00,000 for senior citizens ( who are more than 60 years old but less than 80 years old) or Rs 5,00,000 for super senior citizens (who are more than 80 years old)

2. You are a company or a firm irrespective of whether you have income or loss during the financial year. 

3. You want to claim an income tax refund.

4. You want to carry forward a loss under a head of income.

5. You have exempt long term capital gains from – sale of equity shares in a company OR sale of unit of equity oriented mutual funds, OR sale of unit of business trust, of more than Rs 2,50,000 in a financial year. Even though these gains are exempt from tax, such persons have to mandatorily file an income tax return.

6. Return filing is mandatory if you are a Resident individual and have an asset or financial interest in an entity located outside of India. (Not applicable to NRIs or RNORs)

7. Or if you are a Resident and a signing authority in a foreign account. (Not applicable to NRIs or RNORs)