As per the Income Tax Act, 1961, the Government of India levies income tax on eligible individuals. Technically speaking, income tax rules apply to any person, even an NRI, earning an income in India. This form of direct tax is calculated based on the income tax slab you fall under, which in turn is dependent on your total income, be it from your salary, savings account or even a lottery. If you earn more than the exemption limit in one financial year, submitting information pertaining to your earnings to the income tax department is mandatory through an income tax return form. With the last date to file revised/belated ITR for FY 19-20 extended to 31st August 2020, you have time in your hands to understand the nuances of income tax in India.
Income tax, by definition, is a tax that a country levies on income generated by businesses and individuals. The concept of income tax first surfaced in the country in the year 1860. At the time income tax served as a means to overcome financial deficits incurred due to the freedom movement.
At present, citizens pay taxes to the Income Tax Department of India in accordance to the rules and regulations written down in the Income Tax Act, 1961. Today, income tax, meaning a portion of your income that goes to the government, is a preeminent source of income for the government. Money earned via income tax goes towards maintaining government bodies and infrastructural development.
| Month | Important Dates | Details of Events and Tasks to Complete |
| January | 15th Jan 2020 | Filing of quarterly statement for Tax Collected at Source (TCS) for quarter ending 31st December 2019. |
| 30th Jan 2020 | Issue of quarterly TCS certificate for tax collected for quarter ending 31st December 2019. | |
| 31st Jan 2020 | Filing of quarterly Tax Deducted at Source (TDS) statement for quarter ending 31st December 2019. | |
| February | 15th Feb 2020 | Issue of TDS certificate for payments (other than salary) for quarter ending 31st December 2019. |
| March | 15th Mar 2020 | Advance tax payment (4th installment) for Financial Year 2019-20. |
| 31st Mar 2020 | Last date for revised ITR filing for Financial Year 2018-19. | |
| April | – | – |
| May | 15th May 2020 | Quarterly TCS statement filing for quarter ending 31st March 2020. |
| 31st May 2020 | Quarterly TDS return filing for quarter ending 31st March 2020. | |
| June | 15th Jun 2020 | Advance tax payment (1st installment) for Financial Year 2020-21. |
| 15th Jun 2020 | Issue of Form 16 and Form 16A for TDS (quarter ending 31st March 2020). | |
| July | 30th Jul 2020 | TCS statement filing for quarter ending 30th June 2020. |
| 31st Jul 2020 | TDS statement filing for quarter ending 30th June 2020. | |
| 31st Jul 2020 | ITR filing deadline for individuals and entities not requiring audit. | |
| August | 15th Aug 2020 | Issue of TDS certificate for quarter ending 30th June 2020. |
| September | 15th Sep 2020 | Advance tax payment (2nd installment) for Financial Year 2020-21. |
| 30th Sep 2020 | ITR filing deadline for assessees requiring audit. | |
| October | 15th Oct 2020 | TCS statement filing for quarter ending 30th September 2020. |
| 30th Oct 2020 | Issue of TCS certificate for quarter ending 30th September 2020. | |
| 31st Oct 2020 | TDS statement filing for quarter ending 30th September 2020. | |
| November | 15th Nov 2020 | Issue of TDS certificate for quarter ending 30th September 2020. |
| 30th Nov 2020 | ITR filing deadline for assessees with audit and international transactions. | |
| December | 15th Dec 2020 | Advance tax payment (3rd installment) for Financial Year 2020-21. |
Keeping track of these dates helps in proper tax planning and timely compliance, ensuring you can also maximize deductions while calculating tax liability.
| ITR Form | Details |
| ITR-1 (Sahaj) | For resident individuals with income up to ₹50 lakh from salary, one house property, other sources, and agricultural income up to ₹5,000. |
| ITR-2 | For individuals and HUFs not having income from business or profession. |
| ITR-3 | For individuals and HUFs having income from business or profession. |
| ITR-4 (Sugam) | For individuals, HUFs, and firms (excluding LLP) with income up to ₹50 lakh under presumptive taxation. |
| ITR-5 | For firms, LLPs, AOPs, BOIs, etc. (not individuals, HUFs, or companies). |
| ITR-6 | For companies (except those claiming exemption under Section 11). |
| ITR-7 | For entities required to file returns under specific sections like trusts and institutions. |
| Acknowledgement | Proof of successful filing of Income Tax Return. |
