When filing an income tax return, one must indicate if filing is for any of the following reasons, as commonly asked on tax filing portals:
- Taxable income exceeds the basic exemption limit.
- Filing as per conditions under tax law provisos, such as:
- Deposits in bank current accounts exceeding a specified limit during the year.
- Expenditure on foreign travel exceeding a set amount.
- Expenditure on electricity consumption exceeding a set value.
- Filing due to other prescribed conditions under the income tax laws.
- Voluntary filing even if income is below the exemption limit for benefits such as claiming refunds, applying for loans, or establishing a consistent financial record.
These reasons help clarify the necessity and basis for filing the return, as well as fulfill legal and financial requirements.
