{"id":10328,"date":"2026-05-15T12:21:35","date_gmt":"2026-05-15T12:21:35","guid":{"rendered":"https:\/\/www.caindelhiindia.com\/blog\/?p=10328"},"modified":"2026-05-15T12:21:35","modified_gmt":"2026-05-15T12:21:35","slug":"myth-low-income-means-no-need-to-file-itr-not-true","status":"publish","type":"post","link":"https:\/\/www.caindelhiindia.com\/blog\/myth-low-income-means-no-need-to-file-itr-not-true\/","title":{"rendered":"Myth: Low Income Means No Need to File ITR : Not True"},"content":{"rendered":"<h2><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-full wp-image-10330\" src=\"https:\/\/www.caindelhiindia.com\/blog\/wp-content\/uploads\/2026\/05\/TAX-FILLING-.png\" alt=\"\" width=\"758\" height=\"345\" srcset=\"https:\/\/www.caindelhiindia.com\/blog\/wp-content\/uploads\/2026\/05\/TAX-FILLING-.png 758w, https:\/\/www.caindelhiindia.com\/blog\/wp-content\/uploads\/2026\/05\/TAX-FILLING--300x137.png 300w\" sizes=\"(max-width: 758px) 100vw, 758px\" \/><\/h2>\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_58 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<p class=\"ez-toc-title\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a07442910bea\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a07442910bea\"  aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/www.caindelhiindia.com\/blog\/myth-low-income-means-no-need-to-file-itr-not-true\/#Myth_Low_Income_Means_No_Need_to_File_ITR_Not_True\" title=\"Myth: Low Income Means No Need to File ITR : Not True\">Myth: Low Income Means No Need to File ITR : Not True<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/www.caindelhiindia.com\/blog\/myth-low-income-means-no-need-to-file-itr-not-true\/#Income_Tax_Filing_Thresholds_%E2%80%93_Summary\" title=\"Income Tax Filing Thresholds \u2013 Summary\">Income Tax Filing Thresholds \u2013 Summary<\/a><ul class='ez-toc-list-level-3'><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/www.caindelhiindia.com\/blog\/myth-low-income-means-no-need-to-file-itr-not-true\/#Basic_Filing_Thresholds_AY_2026%E2%80%9327\" title=\"Basic Filing Thresholds (AY 2026\u201327)\">Basic Filing Thresholds (AY 2026\u201327)<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/www.caindelhiindia.com\/blog\/myth-low-income-means-no-need-to-file-itr-not-true\/#Threshold_limits_under_Income_Tax_ACT_for_AY_2026-27\" title=\"Threshold limits under Income Tax ACT for AY 2026-27\">Threshold limits under Income Tax ACT for AY 2026-27<\/a><ul class='ez-toc-list-level-3'><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/www.caindelhiindia.com\/blog\/myth-low-income-means-no-need-to-file-itr-not-true\/#Threshold_Limits_%E2%80%93_Income_Tax_Act_AY_2026%E2%80%9327\" title=\"Threshold Limits \u2013 Income Tax Act (AY 2026\u201327)\">Threshold Limits \u2013 Income Tax Act (AY 2026\u201327)<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/www.caindelhiindia.com\/blog\/myth-low-income-means-no-need-to-file-itr-not-true\/#Surcharge_on_Individuals_HUF_AOP_BOI_Artificial_Juridical_Person\" title=\"Surcharge on Individuals \/ HUF \/ AOP \/ BOI \/ Artificial Juridical Person\">Surcharge on Individuals \/ HUF \/ AOP \/ BOI \/ Artificial Juridical Person<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/www.caindelhiindia.com\/blog\/myth-low-income-means-no-need-to-file-itr-not-true\/#Salaried_Individuals_%E2%80%93_Salary-Related_Thresholds\" title=\"Salaried Individuals &#8211; Salary-Related Thresholds\">Salaried Individuals &#8211; Salary-Related Thresholds<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/www.caindelhiindia.com\/blog\/myth-low-income-means-no-need-to-file-itr-not-true\/#House_Property\" title=\"House Property\">House Property<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/www.caindelhiindia.com\/blog\/myth-low-income-means-no-need-to-file-itr-not-true\/#Business_Profession\" title=\"Business &amp; Profession\">Business &amp; Profession<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-10\" href=\"https:\/\/www.caindelhiindia.com\/blog\/myth-low-income-means-no-need-to-file-itr-not-true\/#Business_Profession_%E2%80%93_Tax_Audit_us_44AB\" title=\"Business &amp; Profession &#8211; Tax Audit u\/s 44AB : \">Business &amp; Profession &#8211; Tax Audit u\/s 44AB : <\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-11\" href=\"https:\/\/www.caindelhiindia.com\/blog\/myth-low-income-means-no-need-to-file-itr-not-true\/#Capital_Gains\" title=\"Capital Gains\">Capital Gains<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-12\" href=\"https:\/\/www.caindelhiindia.com\/blog\/myth-low-income-means-no-need-to-file-itr-not-true\/#Income_From_Other_Sources\" title=\"Income From Other Sources\">Income From Other Sources<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-13\" href=\"https:\/\/www.caindelhiindia.com\/blog\/myth-low-income-means-no-need-to-file-itr-not-true\/#Chapter_VI%E2%80%91A_Deductions\" title=\"Chapter VI\u2011A Deductions\">Chapter VI\u2011A Deductions<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-14\" href=\"https:\/\/www.caindelhiindia.com\/blog\/myth-low-income-means-no-need-to-file-itr-not-true\/#Limits_on_Property_Purchase_in_Cash\" title=\"Limits on Property Purchase in Cash\">Limits on Property Purchase in Cash<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-15\" href=\"https:\/\/www.caindelhiindia.com\/blog\/myth-low-income-means-no-need-to-file-itr-not-true\/#TDS_TCS_Advance_Tax\" title=\"TDS \/ TCS \/ Advance Tax\">TDS \/ TCS \/ Advance Tax<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-16\" href=\"https:\/\/www.caindelhiindia.com\/blog\/myth-low-income-means-no-need-to-file-itr-not-true\/#Return_Filing\" title=\"Return Filing\">Return Filing<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-17\" href=\"https:\/\/www.caindelhiindia.com\/blog\/myth-low-income-means-no-need-to-file-itr-not-true\/#Return_Filing_Mandatory_if\" title=\"Return Filing Mandatory if:\">Return Filing Mandatory if:<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-18\" href=\"https:\/\/www.caindelhiindia.com\/blog\/myth-low-income-means-no-need-to-file-itr-not-true\/#Penalties\" title=\"Penalties\">Penalties<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-19\" href=\"https:\/\/www.caindelhiindia.com\/blog\/myth-low-income-means-no-need-to-file-itr-not-true\/#Do_You_Really_Need_to_File_Taxes\" title=\"Do You Really Need to File Taxes?\">Do You Really Need to File Taxes?<\/a><ul class='ez-toc-list-level-3'><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-20\" href=\"https:\/\/www.caindelhiindia.com\/blog\/myth-low-income-means-no-need-to-file-itr-not-true\/#Consequences_of_Not_Filing\" title=\"Consequences of Not Filing\">Consequences of Not Filing<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-21\" href=\"https:\/\/www.caindelhiindia.com\/blog\/myth-low-income-means-no-need-to-file-itr-not-true\/#Why_Filing_Even_at_Low_Income_Is_Smart\" title=\"Why Filing Even at Low Income Is Smart\">Why Filing Even at Low Income Is Smart<\/a><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<h2><span class=\"ez-toc-section\" id=\"Myth_Low_Income_Means_No_Need_to_File_ITR_Not_True\"><\/span><span style=\"color: #000080;\"><strong>Myth: Low Income Means No Need to File ITR : Not True<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Many people believe that if they don\u2019t \u201cearn enough,\u201d they don\u2019t need to file an income tax return (ITR). This myth is widespread \u2014 but incorrect. The Truth: Filing Depends on Your Gross Total Income, Not Your Final Taxable Income. You must file your ITR if your Gross Total Income (GTI) <em>before deductions<\/em> exceeds the basic exemption limits:<\/p>\n<ul>\n<li>INR 250,000 \u2013 Individuals below 60<\/li>\n<li>INR 300,000 \u2013 Senior Citizens (60\u201380)<\/li>\n<li>INR 500,000 \u2013 Super Senior Citizens (80+)<\/li>\n<\/ul>\n<p>Even if your final taxable income becomes zero after claiming deductions (like 80C, 80D, NPS), you may still be legally required to file.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Income_Tax_Filing_Thresholds_%E2%80%93_Summary\"><\/span><span style=\"color: #000080;\"><strong>Income Tax Filing Thresholds \u2013 Summary<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Income tax filing thresholds are the income limits specified under the Income Tax Act, 1961, that determine whether an individual must mandatorily file an Income Tax Return (ITR). These thresholds are based on a person\u2019s Gross Total Income (GTI) before claiming deductions under Chapter VI\u2011A (such as 80C, 80D, etc.).<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Basic_Filing_Thresholds_AY_2026%E2%80%9327\"><\/span><span style=\"color: #000080;\"><strong>Basic Filing Thresholds (AY 2026\u201327)<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>You must file your ITR if your gross total income exceeds the following:<\/p>\n<ul>\n<li>INR 2,50,000 \u2013 Individuals below 60 years<\/li>\n<li>INR 3,00,000 \u2013 Resident senior citizens (60\u201380 years)<\/li>\n<li>INR 5,00,000 \u2013 Resident super senior citizens (80+ years)<\/li>\n<\/ul>\n<p>Even if your final taxable income becomes zero after deductions, the filing requirement is determined before deductions.<\/p>\n<p>You can check official rules and file returns on the Income Tax Department portal: incometax.gov.in<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Threshold_limits_under_Income_Tax_ACT_for_AY_2026-27\"><\/span><span style=\"color: #000080;\"><strong>Threshold limits under Income Tax ACT for AY 2026-27<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>The Income-tax Department has published consolidated Important threshold limits for AY 2026\u201327 covering exemptions, deductions, TDS, audits, penalties, and filing requirements and deductions under the Indian Income-tax Act for AY 2026\u201327. few entries require clarification or caution because actual applicability depends on the Finance Act, notifications, and specific conditions. Key Highlights are mentioned here under :<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Threshold_Limits_%E2%80%93_Income_Tax_Act_AY_2026%E2%80%9327\"><\/span><span style=\"color: #000080;\"><strong>Threshold Limits \u2013 Income Tax Act (AY 2026\u201327)<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><strong>New Tax Regime Slabs \u2013 AY 2026\u201327<\/strong><\/p>\n<table width=\"470\">\n<thead>\n<tr>\n<td>Taxable Income<\/td>\n<td>Tax Rate<\/td>\n<\/tr>\n<\/thead>\n<tbody>\n<tr>\n<td>Up to INR 4 lakh<\/td>\n<td>Nil<\/td>\n<\/tr>\n<tr>\n<td>INR 4 lakh \u2013 INR 8 lakh<\/td>\n<td>5%<\/td>\n<\/tr>\n<tr>\n<td>INR 8 lakh \u2013 INR 12 lakh<\/td>\n<td>10%<\/td>\n<\/tr>\n<tr>\n<td>INR 12 lakh \u2013 INR 16 lakh<\/td>\n<td>15%<\/td>\n<\/tr>\n<tr>\n<td>INR 16 lakh \u2013 INR 20 lakh<\/td>\n<td>20%<\/td>\n<\/tr>\n<tr>\n<td>INR 20 lakh \u2013 INR 24 lakh<\/td>\n<td>25%<\/td>\n<\/tr>\n<tr>\n<td>Above INR 24 lakh<\/td>\n<td>30%<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p>Resident individuals under the new regime may get rebate u\/s 87A up to INR 60,000 where taxable income does not exceed INR 12 lakh. Salaried taxpayers may effectively have nil tax up to INR 12.75 lakh because of the standard deduction.<\/p>\n<p><strong>Basic Exemption Limit<\/strong><\/p>\n<ul>\n<li>Individuals \/ HUF \/ AOP \/ BOI: INR 2,50,000(old regime)<\/li>\n<li>Resident Senior Citizen (60\u201380 years): INR 3,00,000<\/li>\n<li>Resident Super Senior Citizen (80+ years): INR 5,00,000<\/li>\n<\/ul>\n<ul>\n<li>New Regime (Section 115BAC): INR 4,00,000 New Regime u\/s 115BAC: INR 4 lakh shown in chart (verify with latest Finance Act\/official slab notification before use)<\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"Surcharge_on_Individuals_HUF_AOP_BOI_Artificial_Juridical_Person\"><\/span><span style=\"color: #000080;\"><strong>Surcharge on Individuals \/ HUF \/ AOP \/ BOI \/ Artificial Juridical Person<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul>\n<li>Income above INR 50 lakh up to INR 1 crore: 10%<\/li>\n<li>INR 1\u20132 crore: 15%<\/li>\n<li>INR 2\u20135 crore: 25%<\/li>\n<li>Above INR 5 crore: 37%<br \/>\n<em>(25% cap under new regime in certain cases)<\/em><\/li>\n<li>Health &amp; Education Cess: 4% extra<\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"Salaried_Individuals_%E2%80%93_Salary-Related_Thresholds\"><\/span><span style=\"color: #000080;\"><strong>Salaried Individuals &#8211; Salary-Related Thresholds<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul>\n<li>Entertainment Allowance (Govt employees): Least of INR 5,000 or 1\/5th of salary or actual allowance<\/li>\n<\/ul>\n<ul>\n<li>Leave Encashment (non-govt): Leave Encashment Exemption: For non-government employees: Least of Actual amount received, 10 months\u2019 average salary, Cash equivalent of leave and Statutory limit : Max INR 3,00,000<\/li>\n<\/ul>\n<ul>\n<li>Retrenchment Compensation: Least of section limits or INR 5,00,000 or actual<\/li>\n<li>Death-cum-Retirement Gratuity: Max INR 20,00,000<\/li>\n<li>VRS Compensation: Exempt up to INR 5,00,000<\/li>\n<li>Children Education Allowance: INR 100 per child (max 2)<\/li>\n<\/ul>\n<ul>\n<li>Gratuity Exemption: For employees covered under Payment of Gratuity Act: Least of Actual gratuity received and INR 20 lakh and Formula-based calculation<\/li>\n<\/ul>\n<ul>\n<li>Hostel Allowance: INR 300 per month per child (max 2)<\/li>\n<li>Standard Deduction:\n<ul>\n<li>Old regime: INR 50,000<\/li>\n<li>New regime: INR 75,000<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"House_Property\"><\/span><span style=\"color: #000080;\"><strong>House Property<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul>\n<li>Interest on home loan (self-occupied): Up to INR 2,00,000<\/li>\n<li>Repairs \/ Renovation interest: Up to INR 30,000<\/li>\n<li>House Property: Self-Occupied Property Interest: Construction\/Purchase: deduction up to INR 2 lakh and Repair\/Renovation: up to INR 30,000<\/li>\n<li>Standard Deduction: 30% of Net Annual Value<\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"Business_Profession\"><\/span><span style=\"color: #000080;\"><strong>Business &amp; Profession<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul>\n<li>Books of Accounts (Sec 44AA):\n<ul>\n<li>Business: Turnover &gt; INR 10 lakh or income &gt; INR 1.2 lakh<\/li>\n<li>Profession: Receipts &gt; INR 2.5 lakh<\/li>\n<\/ul>\n<\/li>\n<li>Audit Limits (Sec 44AB):\n<ul>\n<li>Business: Turnover &gt; INR 1 crore\n<ul>\n<li>If 95% digital transactions: limit INR 10 crore<\/li>\n<\/ul>\n<\/li>\n<li>Profession: Receipts &gt; INR 50 lakh<\/li>\n<\/ul>\n<\/li>\n<li>Presumptive Taxation:\n<ul>\n<li>Business (44AD): Turnover \u2264 INR 3 crore (if 95% digital)<\/li>\n<li>Profession (44ADA): Receipts \u2264 INR 75 lakh<\/li>\n<\/ul>\n<\/li>\n<li>Cash Transactions:\n<ul>\n<li>Donations &gt; INR 2,000 \u2013 not allowed<\/li>\n<li>Loans\/Deposits &gt; INR 20,000 \u2013 restricted<\/li>\n<li>Cash payments (43A\/40A) &gt; INR 10,000 disallowed (INR 35k for transport)<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"Business_Profession_%E2%80%93_Tax_Audit_us_44AB\"><\/span><span style=\"color: #000080;\"><strong>Business &amp; Profession &#8211; Tax Audit u\/s 44AB : <\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul>\n<li>In case Business: INR 1 crore normal limit and INR 10 crore where cash receipts\/payments are within prescribed limits<\/li>\n<li>In case Profession: INR 50 lakh<\/li>\n<\/ul>\n<p><span style=\"color: #000080;\"><strong>Presumptive Taxation<\/strong><\/span><\/p>\n<ul>\n<li>u\/s 44AD: INR 2 crore (INR 3 crore for eligible digital transactions)<\/li>\n<li>u\/s 44ADA: INR 50 lakh (INR 75 lakh for eligible digital receipts)<\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"Capital_Gains\"><\/span><span style=\"color: #000080;\"><strong>Capital Gains<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul>\n<li>Section 54: Exemption available on reinvestment in residential house subject to conditions. Exemption u\/s 54: Max INR 10 crore<\/li>\n<li>Section 54EC: Investment in specified bonds: Maximum: INR 50 lakh &#8211; NCD \/ Bonds (54EC): Max investment INR 50 lakh<\/li>\n<li>LTCG \u2013 Equity: Exempt up to INR 1,25,000<\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"Income_From_Other_Sources\"><\/span><span style=\"color: #000080;\"><strong>Income From Other Sources<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul>\n<li>Gift Tax (Sec 56): &gt; INR 50,000 taxable<\/li>\n<li>Family Pension: Deduction \u2013 INR 15,000 or 1\/3rd (lower)<\/li>\n<\/ul>\n<p><strong>Trusts<\/strong><\/p>\n<ul>\n<li>Anonymous donations taxable @ 30%<\/li>\n<li>Max exemption: INR 1,00,000 or 5% of donation (lower)<\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"Chapter_VI%E2%80%91A_Deductions\"><\/span><span style=\"color: #000080;\"><strong>Chapter VI\u2011A Deductions<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul>\n<li>Section 80C: INR 150,000- Maximum deduction: INR 1.5 lakh, Includes LIC, PPF, ELSS, Tuition fees, Principal repayment of housing loan<\/li>\n<li>80CCC: INR 1,50,000<\/li>\n<li>Section 80CCD(1B): INR 50,000 extra \u2013 i.e Additional NPS deduction: INR 50,000<\/li>\n<\/ul>\n<ul>\n<li>Section 80D: Medical insurance: FOR Self\/family: INR 25,000 AND FOR Senior citizens: INR 50,000<\/li>\n<li>Section 80DD \/ 80DDB: Disability and specified disease deductions subject to conditions and certification.<\/li>\n<\/ul>\n<ul>\n<li>Sec 80D: INR 25,000 (non-senior) \/ INR 50,000 (senior)<\/li>\n<li>Section 80G: Depending on category<\/li>\n<li>Section 80E \u2013 Education Loan: Actual interest<\/li>\n<li>Sec 80TTA\/80TTB: INR 10,000 \/ INR 50,000<\/li>\n<li>Section 80U: INR 75,000 or INR 1,25,000 (disability)<br \/>\n<em>(Subject to old regime only)<\/em><\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"Limits_on_Property_Purchase_in_Cash\"><\/span><span style=\"color: #000080;\"><strong>Limits on Property Purchase in Cash<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul>\n<li>Mumbai: &gt; INR 75 lakh<\/li>\n<li>Delhi: &gt; INR 50 lakh<\/li>\n<li>Metro cities: &gt; INR 25 lakh<\/li>\n<li>Other regions: &gt; INR 10 lakh<\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"TDS_TCS_Advance_Tax\"><\/span><span style=\"color: #000080;\"><strong>TDS \/ TCS \/ Advance Tax<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul>\n<li>Salary TDS: Based on slab<\/li>\n<li>Interest TDS (194A): If &gt; INR 40,000 (INR 50,000 for seniors)<\/li>\n<li>Contractor (194C): INR 30,000 single \/ INR 1 lakh aggregate<\/li>\n<li>Professional Fee (194J): INR 30,000<\/li>\n<li>Purchase of Property: TDS u\/s 194IA applicable if value &gt; INR 50 lakh<\/li>\n<li>Advance tax applicable if liability &gt; INR 10,000<\/li>\n<\/ul>\n<ul>\n<li>Bank Interest u\/s 194A: Non-senior citizens: threshold INR 50,000 shown in chart And Senior citizens: INR 1 lakh. These limits should be cross verified with latest Finance Act amendments because TDS thresholds are frequently revised.<\/li>\n<li>Advance Tax : Applicable where total tax liability exceeds: INR 10,000<\/li>\n<\/ul>\n<p><span style=\"color: #000080;\"><strong>TDS Threshold Limits<\/strong><\/span><\/p>\n<table width=\"588\">\n<thead>\n<tr>\n<td><strong>Section<\/strong><\/td>\n<td><strong>Nature<\/strong><\/td>\n<td><strong>Threshold<\/strong><\/td>\n<\/tr>\n<\/thead>\n<tbody>\n<tr>\n<td>194A<\/td>\n<td>Bank Interest<\/td>\n<td>INR 50,000<\/td>\n<\/tr>\n<tr>\n<td>194A<\/td>\n<td>Senior Citizens<\/td>\n<td>INR 1,00,000<\/td>\n<\/tr>\n<tr>\n<td>194C<\/td>\n<td>Contractor \u2013 Single Payment<\/td>\n<td>INR 30,000<\/td>\n<\/tr>\n<tr>\n<td>194C<\/td>\n<td>Aggregate Annual Payment<\/td>\n<td>INR 1,00,000<\/td>\n<\/tr>\n<tr>\n<td>194J<\/td>\n<td>Professional Fees<\/td>\n<td>INR 50,000<\/td>\n<\/tr>\n<tr>\n<td>194IA<\/td>\n<td>Purchase of Immovable Property<\/td>\n<td>INR 50 lakh<\/td>\n<\/tr>\n<tr>\n<td>194Q<\/td>\n<td>Purchase of Goods<\/td>\n<td>INR 50 lakh<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<h3><span class=\"ez-toc-section\" id=\"Return_Filing\"><\/span><span style=\"color: #000080;\"><strong>Return Filing<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>PAN is mandatory in cases such as:<\/p>\n<ul>\n<li>Business turnover above INR 5 lakh<\/li>\n<li>Property transactions above INR 10 lakh<\/li>\n<li>Cash deposits above prescribed limits<\/li>\n<li>Foreign travel expenditure above INR 2 lakh<\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"Return_Filing_Mandatory_if\"><\/span><span style=\"color: #000080;\"><strong>Return Filing Mandatory if:<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul>\n<li>Income exceeds basic exemption<\/li>\n<li>Deposits &gt; INR 50 lakh<\/li>\n<li>Foreign travel &gt; INR 2 lakh, etc.<\/li>\n<\/ul>\n<p>Mandatory filing thresholds shown:<\/p>\n<ul>\n<li>Normal individual: INR 2.5 lakh<\/li>\n<li>Senior citizen: INR 3 lakh<\/li>\n<li>Super senior citizen: INR 5 lakh<\/li>\n<\/ul>\n<p>However, return filing may still be mandatory in cases involving:<\/p>\n<ul>\n<li>Foreign assets<\/li>\n<li>High-value transactions<\/li>\n<li>TDS claims\/refunds<\/li>\n<li>Deposits\/electricity\/travel conditions under seventh proviso to section 139(1)<\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"Penalties\"><\/span><span style=\"color: #000080;\"><strong>Penalties<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><strong>Failure to quote PAN\/Aadhaar\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 INR 10,000<\/strong><\/p>\n<ul>\n<li>Late TDS return: INR 200\/day<\/li>\n<li>Failure to deduct TDS: INR 10,000<\/li>\n<li>Cash receipts &gt; INR 2 lakh: Penalty = equal amount<\/li>\n<li>Late Filing Fee u\/s 234F: Up to INR 1,000 for income up to INR 5 lakh and other \u00a0INR 5,000 otherwise<\/li>\n<li>Failure to Maintain Books u\/s 271A: INR 25,000<\/li>\n<li>Cash Receipt Violation u\/s 271DA: Penalty equal to amount received in violation of section 269TH.<\/li>\n<\/ul>\n<h2><span class=\"ez-toc-section\" id=\"Do_You_Really_Need_to_File_Taxes\"><\/span><span style=\"color: #000080;\"><strong>Do You Really Need to File Taxes?<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Many people believe filing is optional if no tax is due. However, Filing is mandatory if GTI exceeds the basic exemption limit. Filing is also required under various special conditions, even when income is below the basic limit. (e.g., high-value transactions, foreign assets, TDS credits, business turnover, etc.). Filing voluntarily can also be beneficial for loan applications, visa processing, and claiming refunds.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Consequences_of_Not_Filing\"><\/span><span style=\"color: #000080;\"><strong>Consequences of Not Filing<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>Ignoring your filing obligations can lead to:<\/p>\n<ol>\n<li>Late Filing Fees (Section 234F)<\/li>\n<\/ol>\n<ul>\n<li style=\"list-style-type: none;\">\n<ul>\n<li>INR 5,000 if total income exceeds INR 500,000<\/li>\n<li>INR 1,000 if total income is below INR 500,000<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<ol start=\"2\">\n<li>Interest on Unpaid Tax: Interest under Sections 234A, 234B, 234C applies if tax remains unpaid.<\/li>\n<li>Loss of Refunds : If TDS\/TCS was deducted but ITR is not filed, you cannot claim your refund later.<\/li>\n<li>Inability to Carry Forward Losses: Business loss, capital loss, and other eligible losses cannot be carried forward.<\/li>\n<li>Difficulty Getting Loans &amp; Visas: Banks and embassies often require ITR copies as income proof.<\/li>\n<li>Higher Scrutiny Risk: Non-filing may trigger enquiries by the Income Tax Department, especially when AIS\/26AS shows activity.<\/li>\n<\/ol>\n<h3><span class=\"ez-toc-section\" id=\"Why_Filing_Even_at_Low_Income_Is_Smart\"><\/span><span style=\"color: #000080;\"><strong>Why Filing Even at Low Income Is Smart<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>Filing should not be viewed only as a tax payment requirement. It helps you:<\/p>\n<ul>\n<li>Prove your income for loans, scholarships, and visas<\/li>\n<li>Claim refunds on TDS<\/li>\n<li>Avoid penalties and notices<\/li>\n<li>Maintain clean compliance records<\/li>\n<\/ul>\n<h2><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-full wp-image-10329\" src=\"https:\/\/www.caindelhiindia.com\/blog\/wp-content\/uploads\/2026\/05\/MYTH.jpg\" alt=\"\" width=\"1304\" height=\"1553\" srcset=\"https:\/\/www.caindelhiindia.com\/blog\/wp-content\/uploads\/2026\/05\/MYTH.jpg 1304w, https:\/\/www.caindelhiindia.com\/blog\/wp-content\/uploads\/2026\/05\/MYTH-252x300.jpg 252w, https:\/\/www.caindelhiindia.com\/blog\/wp-content\/uploads\/2026\/05\/MYTH-860x1024.jpg 860w, https:\/\/www.caindelhiindia.com\/blog\/wp-content\/uploads\/2026\/05\/MYTH-768x915.jpg 768w, https:\/\/www.caindelhiindia.com\/blog\/wp-content\/uploads\/2026\/05\/MYTH-1290x1536.jpg 1290w, https:\/\/www.caindelhiindia.com\/blog\/wp-content\/uploads\/2026\/05\/MYTH-800x953.jpg 800w\" sizes=\"(max-width: 1304px) 100vw, 1304px\" \/><\/h2>\n","protected":false},"excerpt":{"rendered":"<p>Myth: Low Income Means No Need to File ITR : Not True Many people believe that if they don\u2019t \u201cearn enough,\u201d they don\u2019t need to file an income tax return (ITR). This myth is widespread \u2014 but incorrect. The Truth: Filing Depends on Your Gross Total Income, Not Your Final Taxable Income. You must file &hellip;<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_mi_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[1035],"tags":[],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/www.caindelhiindia.com\/blog\/wp-json\/wp\/v2\/posts\/10328"}],"collection":[{"href":"https:\/\/www.caindelhiindia.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.caindelhiindia.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.caindelhiindia.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.caindelhiindia.com\/blog\/wp-json\/wp\/v2\/comments?post=10328"}],"version-history":[{"count":2,"href":"https:\/\/www.caindelhiindia.com\/blog\/wp-json\/wp\/v2\/posts\/10328\/revisions"}],"predecessor-version":[{"id":10332,"href":"https:\/\/www.caindelhiindia.com\/blog\/wp-json\/wp\/v2\/posts\/10328\/revisions\/10332"}],"wp:attachment":[{"href":"https:\/\/www.caindelhiindia.com\/blog\/wp-json\/wp\/v2\/media?parent=10328"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.caindelhiindia.com\/blog\/wp-json\/wp\/v2\/categories?post=10328"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.caindelhiindia.com\/blog\/wp-json\/wp\/v2\/tags?post=10328"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}