ITR Filing 2025: Do you need to file the income tax return even when you have paid all the taxes in advance?

Every individual must file an Income Tax Return (ITR) if their income (before considering certain exemptions and deductions) exceeds the maximum exemption limit. For the Financial year 2024-25, the last date to file ITR is September 15, 2025. Taxpayers ​​​​​​​​​​​​​​​​​​​​can file their return of income either in hard cop​y (only ITR 1/4 in specified cases) at the local office of the Income Tax Department or can be electronically filed at https://www.incometax.gov.in/iec/foportal.

As per the information available on the I-T Department official website, with effect from Assessment Year 2020-21, it is mandatory for every person, who is not required to furnish a return of income under any other provision of section 139(1)​, to file a return of income if during the previous year he:

​- Has deposited an amount (or aggregate of amounts) over Rs one crore in one or more current accounts maintained with a bank or a co-operative bank.

- Has incurred aggregate expenditure above Rs two lakh for himself or any other person for travel to a foreign country.

- Has incurred aggregate expenditure over Rs one lakh towards payment of the electricity bill.

​Other conditions when you need to file an ITR:

According to the CBDT (Central Board of Direct Taxation) vide notification No 37/2022, dated 21-04-2022, additional conditions under the seventh proviso to section 139(1)​​ whereby return filing is made mandatory. These additional conditions are as follows:

1) If total sales, turnover, or gross receipts of the business exceed Rs 60 lakh during the previous year; or

2) If the total gross receipt of the profession exceeds Rs 10 lakh during the previous year, or

3) If the total of tax deducted and collected in case of a person during the previous year is Rs 25,000 or more. The threshold limit shall be Rs 50,000 in case of a resident individual of the age of 60 years or more; or

4) If the aggregate deposit in one or more savings bank accounts of the person is Rs 50 lakhs or more during the previous year.

Do I need to file ITR even if I paid advance tax?

• Even when the advance taxes have been paid, they need to be reported to the Department through the ITR filing procedure.
• This completes the self-assessment of income, and taxes are computed on the same.
• Failure to file the income tax return will attract of penalty.
• Form 26AS reflects the taxes that have been reported by the third party to whom the taxes have been deposited or by whom the taxes have been deducted.
• The ITR helps in reconciling the records as submitted by the assessee and as per the Income Tax department records.​
• Assessee claims refund.