Why Students and Unemployed Should Start Filing ITR: Know Hidden Benefits of Filing ITR, Even If You Don’t Earn

Why Students and Unemployed Should Start Filing ITR: Know Hidden Benefits of Filing ITR, Even If You Don’t Earn

Do you think that filing ITR is only for salaried employees or businesspersons? If you think so, then you are wrong.

There is a big misconception that filing an Income Tax Return (ITR) is mainly for salaried employees or business owners; however, a rapidly increasing number of students and unemployed youth are being encouraged to file their ITRs even when their income is below the basic tax exemption limit. This offers major benefits that can pave the way for future stability.

The Income Tax Act mandates ITR filing only for individuals whose annual income exceeds the basic exemption limit. According to the latest rules, the limit is Rs 2.5 lakh under the old tax regime and Rs 3 lakh under the new tax regime. This usually excludes most students and unemployed individuals. But professionals highlight that voluntary filing is a smart financial habit.