Outlook Money
The process of filing an ITR for seniors is the same as that of other individuals, but one must analyse their financial records to get an idea of their total income for the year.
Under section 194P of the Income Tax Act, there is a specific exemption from filling ITR is present for seniors above the age of 75.
The exemption of the seniors above 75, should have income which comprises only of pension and interest income. Therefore, one must check such conditions.
If a person is not eligible for the exemption, ITR must be filled by analysing various sources of income
One must select the tax regime based on annual financial needs, savings, and investments done during the year, etc.
The new tax regime offers lower tax rates with wider slabs and the old tax regime offers various investment-linked and medical deductions.
Depending on the criteria mentioned, one must choose the ITR form. For example, ITR 1 is for taxpayers with income up to Rs 50 lakh and where income comprises only salary, one house property, pension, and other sources like interest.
Senior citizens should have all relevant and necessary documents like PAN, Aadhaar, Form 16, all bank statements, rental receipts, investment proofs, Form 26AS, Form AIS, pension certificates, etc.