Filing your Income Tax Return (ITR) is not just a legal obligation — it’s also a financial responsibility that ensures transparency and compliance with the Indian tax system. Whether you are a salaried professional, a self-employed individual, or a business owner, filing your return on time is essential to avoid penalties and unlock financial benefits like easy loan approvals, visa processing, and refunds.
In this comprehensive blog, we will cover everything you need to know about ITR filing in India for the Financial Year 2024-25 (Assessment Year 2025-26). From eligibility, documents required, filing process, types of ITR forms, to benefits and common mistakes — this guide covers it all.
What Is Income Tax Return (ITR)?
An Income Tax Return (ITR) is a form that individuals, companies, or any other legal entity use to report their income, expenses, exemptions, and taxes to the Income Tax Department of India. Filing an ITR is mandatory if your income exceeds the basic exemption limit under the Income Tax Act, 1961.
Who Should File ITR in 2025?
Filing an ITR is mandatory for the following persons:
- Salaried individuals earning more than ₹2.5 lakh (below 60 years), ₹3 lakh (above 60), or ₹5 lakh (above 80).
- Self-employed professionals and freelancers earning above the exemption limit.
- Businesses with profits or even those under presumptive taxation schemes.
- Anyone who has foreign income or foreign assets.
- Individuals who wish to claim a refund of excess TDS.
- Persons filing returns to carry forward losses.
- Those who have deposited ₹1 crore or more in a bank account.
- Those who spent more than ₹2 lakh on foreign travel or ₹1 lakh on electricity in a year.
Even if your income is below the exemption limit, it’s advisable to file an ITR to maintain a financial record.
Types of ITR Forms (AY 2025-26)
The Income Tax Department has specified different ITR forms based on income sources and category of taxpayer.
| Form | Who Should Use |
|---|---|
| ITR-1 (Sahaj) | Salaried individuals with income up to ₹50 lakh, one house property, and other sources (interest, etc.) |
| ITR-2 | Individuals/HUFs with income from capital gains or more than one house property |
| ITR-3 | Individuals and HUFs with income from business or profession |
| ITR-4 (Sugam) | Individuals, HUFs, and firms (other than LLP) opting for presumptive taxation under Section 44AD, 44ADA, 44AE |
| ITR-5 | Partnership firms, LLPs, AOPs, BOIs |
| ITR-6 | Companies other than those claiming exemption under Section 11 |
| ITR-7 | Trusts, political parties, NGOs, etc., required to file under Sections 139(4A) to 139(4F) |
For most salaried individuals, ITR-1 or ITR-2 will apply depending on their income and assets.
Documents Required for ITR Filing
Before filing your return, keep these documents handy:
- PAN card and Aadhaar card
- Form 16 from your employer
- Salary slips
- Bank account statements
- TDS certificates (Form 16A, 16B, etc.)
- Interest certificates (FD, savings)
- Capital gain statement (if applicable)
- Investment proofs (ELSS, LIC, PPF, etc.)
- Home loan interest certificate
- Rent receipts (if claiming HRA)
- Advance tax / Self-assessment tax receipts
- Foreign income details (if applicable)
- Aadhaar-linked mobile number (for OTP verification)
How to File ITR Online in 2025
Here is a step-by-step process to file your ITR through the official e-filing portal:
✅ Step 1: Visit the Income Tax e-Filing Portal
- Register or login using PAN, password, and captcha code.
✅ Step 2: Select ‘File Income Tax Return’
- Choose Assessment Year 2025-26.
- Select mode as Online and click on Proceed.
✅ Step 3: Choose Applicable ITR Form
- Based on your income, choose the relevant ITR form.
✅ Step 4: Fill Income and Tax Details
- Fill in income from salary, house property, other sources, and deductions under Chapter VI-A.
✅ Step 5: Claim Deductions
- Enter deductions like 80C (LIC, PPF), 80D (medical insurance), 80G (donations), etc.
✅ Step 6: Preview and Validate
- Review the entire form for any errors.
- Validate using Aadhaar OTP or Digital Signature.
✅ Step 7: Submit and E-Verify
- After submission, you must e-verify the return using:
- Aadhaar OTP
- Net banking
- Demat account
- Bank ATM (offline verification also possible via ITR-V)
Note: Filing is incomplete without e-verification.
Due Dates for ITR Filing (FY 2024-25)
| Category | Due Date |
|---|---|
| Individual taxpayers (non-audit cases) | 31st July 2025 |
| Audit cases (business/profession) | 31st October 2025 |
| Companies | 31st October 2025 |
| Revised/Belated Returns | 31st December 2025 |
Late filing may attract penalties ranging from ₹1,000 to ₹5,000, depending on your income.
Benefits of Filing ITR
Even if it’s not mandatory, filing ITR has several advantages:
✅ 1. Claim Tax Refunds
You can claim any excess TDS deducted by employers or banks.
✅ 2. Loan and Visa Processing
Banks and embassies require ITR as proof of income for home loans, education loans, and visas.
✅ 3. Carry Forward Losses
Filing ITR allows you to carry forward business or capital losses to future years.
✅ 4. Avoid Penalties and Notices
Timely filing helps avoid penalties, late fees, and scrutiny from the Income Tax Department.
✅ 5. Act as Proof of Income
ITR can serve as proof of income and address while applying for various licenses and registrations.
Common Mistakes to Avoid
- Filing incorrect ITR form
- Not reporting all income sources
- Mismatch in income details and Form 26AS
- Not verifying the ITR after filing
- Missing deductions under Chapter VI-A
- Forgetting to declare interest income (from FDs, savings)
Always cross-verify Form 26AS and AIS (Annual Information Statement) before final submission.
What Happens After Filing ITR?
Once you file and verify your ITR:
- It is processed by the Centralized Processing Centre (CPC), Bengaluru.
- If eligible, the refund is credited directly to your bank account.
- You can check refund status under “View Returns/Forms” tab on the portal.
FAQs About ITR Filing (2025)
Q1. Can I file ITR without Form 16?
Ans: Yes. You can manually calculate income from salary slips and match it with Form 26AS and AIS.
Q2. Is Aadhaar mandatory for ITR filing?
Ans: Yes. Linking Aadhaar with PAN is mandatory, and Aadhaar OTP is required for verification.
Q3. What if I miss the ITR filing deadline?
Ans: You can still file a belated return till 31st December 2025 with a late fee.
Q4. Do I need to file ITR if my income is below ₹2.5 lakh?
Ans: Not mandatory, but advisable for record-keeping and eligibility for loans or refunds.
Q5. Can I revise my return after submission?
Ans: Yes. You can file a revised return under Section 139(5) before 31st December 2025.
Conclusion
Filing your Income Tax Return in 2025 is not just about fulfilling a legal requirement. It also reflects your financial discipline and opens doors to various benefits. With the government pushing for a more transparent digital economy, timely ITR filing plays a crucial role in maintaining a clean financial profile.
Whether you do it yourself or with help from a tax consultant, make sure your return is accurate, timely, and complete. With the e-filing portal becoming more user-friendly each year, it’s never been easier to stay compliant.