Chartered Accountant · ICAI M.No. 153926 · FRN 136869W
When it's mandatory
Income above the basic exemption, or specified triggers: foreign assets/income, deposits over the prescribed limits, large spends on foreign travel or electricity, or TDS/TCS above the threshold. Confirm the current trigger limits per the Finance Act.
When you should file anyway
To claim a refund, to carry forward a loss, or as proof of income for a loan or visa.
The triggers that catch people out
Income above the basic exemption is the obvious test, but several triggers make filing mandatory even when income is below it. You must file if you deposited more than ₹1 crore in current accounts (or ₹50 lakh in a savings account), spent over ₹2 lakh on foreign travel or over ₹1 lakh on electricity in the year, hold any foreign asset or signing authority in a foreign account, had business turnover over ₹60 lakh or professional receipts over ₹10 lakh, or had TDS/TCS of ₹25,000 or more (₹50,000 for senior citizens). A resident with foreign assets must file regardless of income, and not disclosing them carries heavy penalties under the black-money law. Separately, it’s worth filing even when not required: to get back TDS as a refund, to carry forward a capital or business loss to set against future gains, and to have a return on record as proof of income for a loan, a visa, or a credit card. The basic-exemption figure itself differs by regime — check it for the year and regime you’re using. Confirm the current trigger limits, which the Finance Act revises.