The last date for filing income tax returns in 2022 is July 31. If you want, you can also fill the ITR yourself. But before that you have to calculate your total taxable income.
New Delhi. For the financial year 2021-22, you will have to file income tax return on the last day of this month i.e. by 31st July. After this, if you file the return, then you will have to pay the fine. If you want, you can do the return yourself or you can take the advice or help of an expert. Many information is pre-filled in the return form. But, for this you have to do some homework. The first of these is to know your taxable income.
The very first step to file income tax return is to know what is your taxable income. It means that part of your income on which you have to pay tax. For those who are employed, it is easy to know their taxable income.
Five types of income sources
According to the rules of income tax, there are five sources of income – Income from Salary, Income from house property, Income from capital gains, 4. Income from business and profession, and Income from other sources.
In Income from Salary, you get income in the form of salary. Its details are given in Form 16. The company in which you work issues you Form 16 every year. Companies have to issue Form 16 to their employees by June 15. This includes salary received by you in the previous financial year, TDS deduction every quarter, tax exemption and deduction claimed.
House rent allowance and leave travel concession, investment made under 80C, mediclaim premium payment under 80D, etc. come under tax exemption and deduction. Apart from these, salaried people also get a standard deduction of Rs 50,000 in a financial year.
House property has three parts
There are also terms and conditions to know the income from house property. For this the property is divided into three parts. These include self-occupied property, rental property and property deemed to be let out. Self-occupied property means a property (house), which you use for your living. According to the new rules of income tax, two properties can be considered as self-occupied. If you have a third property, whether you have let it out or not, it will be treated as deemed out. Then the income from this (rent) will be considered as your income.
There is a special type of income under income from capital gains. These include gains from the sale of assets, mutual funds, shares. It is of two types – short term capital gain and long term capital gain. The time taken after buying and selling the asset depends on whether the profit would be short term capital gain or long term capital gain. There is a different tenure for different properties.
Separate category of workers
Income from business and profession is for those who are self-employed. It includes lawyers, chartered accountants, freelance writers, etc. Such people have to declare their income under the head ‘Income from business and profession’.
Finally income comes from other sources. The income which is in addition to the above mentioned 4 sources of income is shown under Income from other sources. This includes bank’s savings account, FD account, pension received from insurance company, dividend received from shares, etc.
After adding the income from all the above sources, you will get your total taxable income. From this, you have to deduct the deduction available under section 80C, section 80D etc. Then the amount left over will be taxed accordingly.
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