Who Must File Income Tax Returns (ITR) in 2025?

Who Must File Income Tax Returns in India for FY 2024–25?

Filing your income tax return (ITR) isn’t just a compliance formality—it’s often a legal requirement, even if you don’t owe tax. Here's a clear look at when filing becomes mandatory under current rules for the financial year 2024–25, i.e., for returns due in Assessment Year 2025–26.

1. Individuals Exceeding Basic Income Limits

Whether or not you owe tax, filing becomes compulsory once your gross total income crosses the exemption threshold—before applying deductions like Section 80C.

Under the Old Tax Regime:

• Below 60 years: Income over ₹2.5 lakh
• Senior Citizens (60–79 years): Income over ₹3 lakh
• Super Senior Citizens (80+): Income over ₹5 lakh

Under the New Tax Regime (default from FY 2024–25):

• All individuals: Income above ₹3 lakh

Note: While the new regime’s exemption limit will increase to ₹4 lakh from FY 2025–26, the current return filing (due in 2025) follows the ₹3 lakh threshold.

2. Income from Foreign Sources or Assets Abroad

Even if your Indian income is below the exemption limit, you must file a return if during the year you:

• Earned any foreign income
• Held foreign assets (like shares or bank accounts)
• Had signing authority in an overseas bank account

This applies even if your total income is technically nil.

3. High-Value Financial Activities (Even with Low Income)

The Income Tax Act requires ITR filing if you’ve carried out specific financial transactions, such as:

• Depositing over ₹50 lakh into a savings account
• Depositing over ₹1 crore into a current account
• Spending over ₹2 lakh on foreign travel (for yourself or someone else)
• Paying over ₹1 lakh in electricity bills during the year
• Having combined TDS or TCS deductions of ₹25,000 or more (₹50,000 for senior citizens)

4. Business or Professional Earnings Above Limits

If you're self-employed, you must file if:

• Your business turnover exceeds ₹60 lakh in the year
• Your professional receipts exceed ₹10 lakh

This is to ensure tax compliance and audit trail maintenance, regardless of profit levels.

5. Situations Where Filing Is Advisable or Necessary

You should also file ITR if you:

• Want to claim a tax refund
• Need to carry forward capital losses or other eligible losses
• Are applying for visas, loans, or government benefits
• Have earned exempt income that you want to disclose (e.g., certain capital gains or tax-free dividends)
• Are issued a notice or covered by specific compliance rules (e.g., foreign disclosure mandates)

Companies and Firms

Regardless of profit or turnover, every registered company or firm is required to file an ITR—even if there is no income or business activity in the year.

ITR Deadlines for FY 2024–25

• Individuals / HUFs (non-audit): September 15, 2025
• Audit cases / businesses: October 31, 2025
• Belated or revised returns: December 31, 2025

Summary: Key Triggers for Mandatory ITR Filing

Trigger	Threshold (FY 2024–25)
Income (Old Regime)	₹2.5 lakh (below 60 years)
Income (Senior Citizens, Old Regime)	₹3 lakh / ₹5 lakh (80+)
Income (New Regime)	₹3 lakh (all individuals)
Foreign income or assets	Any value
Savings account deposit	Above ₹50 lakh
Current account deposit	Above ₹1 crore
Foreign travel expense	Above ₹2 lakh
Electricity bill (annual)	Above ₹1 lakh
TDS/TCS total	₹25,000+ (₹50,000 for seniors)
Business turnover	Above ₹60 lakh
Professional receipts	Above ₹10 lakh

Why You Might File Even If It’s Not Mandatory

Filing an ITR, even when not strictly required, often proves helpful. It:

• Creates a formal income record
• Improves creditworthiness
• Helps during visa applications or loan approvals
• Lets you claim refunds and carry forward losses

Final Note

If you’re unsure whether you fall under mandatory filing, it’s generally safer to file. With increased use of data analytics and financial tracking by the Income Tax Department, voluntary compliance today may help avoid unnecessary notices or complications later.