In India, a person above the age of 60 is named a Senior Citizen and a person of 80 or extra is named a Super Senior Citizen. Tax exemption is given by the government on the premise of age and it’s available on filling advance tax, tax submitting, the exemption in old tax regimes, curiosity obtained from a bank and putting up the office and different things.
Today, in this article, we’re going to inform you about the tax exemption available to senior residents and senior residents.
Old Tax Regime
In the old tax regime, the income of senior residents as much as Rs 3,00,000 comes beneath the ambit of tax exemption, whereas the income of Rs 5,00,000 for every old resident is tax exempt.
E-filing of your tax returns is mandatory for senior citizens. Whereas, very old citizens can file tax returns using ITR 1 (Sajh) and ITR 4 (Sugam) by visiting the tax office.
Advance Tax Relief
As per section 208 of the IT Act, if the tax liability of a person exceeds Rs 10,000, he has to pay advance tax. Whereas, senior citizens are exempted from paying advance tax. The situation is that revenue shouldn’t be from business and profession.
Exemption from return filing under section 194P of the IT Act
Citizens above 75 years of age are also exempted from submitting ITR beneath Section 194P of the IT Act, however, your income should be from pension and curiosity solely.