As the new financial year kicks off, the buzz around filing income tax returns is everywhere. The tax department has rolled out the latest ITR forms, and many are eagerly waiting for the online filing tools to go live. But here’s something to cheer about—not everyone has to file an ITR this year.
If you’re a senior citizen or have elderly family members, there’s a special rule that could save you from the hassle of filing taxes. The Income Tax Act has a unique provision just for individuals aged 75 and above. If you or your loved ones fall into this category, you might be completely off the hook, as long as a few simple conditions are met.
Who Qualifies for an ITR Exemption?
If you are 75 years or older, live in India, and your only sources of income are your pension and the interest earned from the same bank where you receive your pension, you may not need to file an ITR at all. All you have to do is submit a declaration to your bank. Once you do, the bank takes care of everything else.
The bank will calculate your total income, apply any tax rebates or deductions you’re eligible for, and deduct the correct amount of tax directly from your payments. Once this process is complete, there’s no need for you to file an income tax return.
Why This Rule Exists
This special exemption was created to make life easier for older taxpayers. It’s especially helpful for pensioners with straightforward income sources, who may find the process of filing returns complex and stressful. By removing the need for paperwork and annual filings, the government aims to support senior citizens as they manage their finances and health in retirement.
