The Importance of Filing Your Income Tax Return on Time 🕒
As a crypto enthusiast, you are always on top of your financial game. While you may not be a tax expert, you understand the importance of filing your income tax return (ITR) on time to stay compliant with the law. The deadline for filing your ITR for the financial year 2023-24 (assessment year 2024-25) is July 31, 2024. It is crucial to meet this deadline, especially if you fall into the category of taxpayers who do not require their accounts to be audited, such as salaried individuals or certain self-employed professionals.
Why Should You Consider Switching Tax Regimes? 🔄
- New Tax Regime: The new tax regime has been the default option since April 1, 2023. If you do not actively choose the old tax regime, your taxes will be calculated based on the new regime. However, you have the flexibility to opt for either regime while filing your ITR. Here are some key points to consider:
- If you want to switch from the new tax regime to the old tax regime, you will need to manually calculate your income under different categories, along with the exemptions and deductions you are eligible for. Be prepared to provide proof of these calculations if requested by the income tax department.
- On the other hand, if you decide to switch from the old tax regime to the new tax regime, you will need to recalculate your income by including incomes that were previously exempt under the old regime and removing deductions that are no longer applicable in the new regime.
Expert Insights on the ITR Filing Deadline ⏳
According to Sujit Bangar, a former IRS officer and founder of TaxBuddy.com, the deadline for filing ITR should ideally be extended to September 15. He suggests that the due date for filing should be three months after the last date for the issuance of Form 16/16A, which is typically around June 15. Extending the deadline would allow individuals and non-audit cases more time to compile their financial details and submit their returns.
Other experts echo the sentiment that the ITR filing deadline should be extended permanently. Surana, a tax expert, recommends a permanent extension from July 31 to August 31 to provide taxpayers with ample time to gather necessary documents, select the appropriate form, and submit their returns accurately and on time.
Hot Take: Stay Ahead of the Game! 🚀
As a savvy crypto investor, staying on top of your tax obligations is essential for maintaining a healthy financial portfolio. By filing your income tax return on time and considering the benefits of switching tax regimes if needed, you can ensure compliance with the law and optimize your tax liabilities. Take the expert insights into account and mark your calendar to meet the upcoming ITR filing deadline – staying ahead of the game has never been more important! 📈
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