Even if your income is below the taxable limit, filing a Nil Income Tax Return (ITR) has many benefits:
- Get Your TDS Refund – If tax has been deducted from sources like bank FD interest, filing a Nil ITR helps you claim that refund.
- Build a Financial Record – A history of filed ITRs acts as proof of income, making it easier to apply for loans, credit cards, or visas in the future.
- Stay on the Right Side of Tax Laws – In cases of high-value transactions, a Nil ITR ensures you don’t face unnecessary scrutiny from the tax department.
- Be Prepared for Future Needs – Having ITRs filed in previous years can be useful when applying for government schemes, business opportunities, or financial aid.
- Filling a Nil ITR is a simple yet smart step that helps you stay compliant, avoid issues, and keep your financial records in order.