Choosing the New Tax Regime: Those opting for the new tax regime must also file an ITR if their income exceeds the basic exemption limit or if TDS has been deducted by their employer.
Multiple Income Sources: If a salaried person has additional income such as bank interest, rental income, or capital gains, filing an ITR becomes a legal obligation.
Tax Deducted at Source (TDS) in Form 16: Employees whose employers have deducted TDS, as shown in Form 16, must declare this income by filing their ITR.
To Claim Tax Refunds: If excess tax has been deducted compared to your actual liability, filing an ITR is necessary to claim a refund directly into your bank account.
Income Proof for Loans and Visa Applications: Even if your income falls below the taxable threshold, filing an ITR can be beneficial for securing home loans, education loans, or during visa processing, where income proof is often required.
Foreign Income or Assets: Residents with foreign income, overseas bank accounts, or foreign investments are mandatorily required to file an ITR, regardless of their total income.