ITR Filing for Freelancers

In this post you will get to know about tax returns for freelancers

March 17, 2024, 2:45 p.m.

Personal Finance and Taxation

March 17, 2024, 2:45 p.m.

Personal Finance and Taxation

If you are a freelancer then you have to file your income tax return because it is possible that you have a Tax deduction at the time of your payout from a business house. Any freelancer earning an annual income exceeding INR 2.5 lakhs is required to file ITR. Even if your income is below this threshold, you can voluntarily choose to file ITR but still we at moneyseth will tell you to file your income tax return for future benefits.

Benefits of filing Income Tax Return for Freelancers

There are many benefits of filing income tax return for a freelancer some the benefits are given below.

Easy Loan for Business Expansion

If you want to expand your freelancing business in future then you may require funds for this. Whenever you ask for Business loan to bank then such bank will ask you to give last year ITRs for sanctioning the loan.

TDS Refund

If you have any TDS deduction in your freelancing then such tds can be refunded back to your bank account after filing income tax return on timely basis.

For buying Term Insurance Plan for high Maturity amount

Many times if your sum assured is higher in terms of insurance company then such insurance company can ask you to provide income tax return for validating the sum assururance in a policy.

Carry forward of Losses

Suppose if you have a loss in a partulcar year then you can carry forward such losses for adjusting it with future profits. But adjustment of losses with future profit is only available if you have filied the ITR in earlier years.

Quick Visa Processing

Suppose if you want to visit a country for your freelancing business purpopse then some of the developed countries embassy will ask you to provide the income declaration proof for visa purpose then ITR will help to declare your income.


  • What is Income Tax

    Income Tax is a type of tax which is imposed on all the citizens of India and non citizens of India who are earning in India or earning from India or earing through India. Normally it is believed that income tax is paid by rich people and corporates but it is not true, In India tax payment liability is defined by the income range of the individual, even a middle class person who has many dependants has to pay tax even if his salary is not enough to feed the dependents, if his salary is above a prescribed limit then he has to pay tax on his income.

  • What is Income Tax Return

    An income tax return (ITR) is a form that taxpayers file with the income tax authorities or revenue authorities to report their income, expenses, deductions, financials, and other relevant details for tax payment purpose or for TDS refund purpose. Every Individual or Business has to choose form ITR 1 to ITR 6 for filing purpose.

  • is filing ITR mandatory for freelancers

    Yes it is mandatory to file ITR if you have a TDS or if your income is higher than 2.5 lakh in a year. we at moneyseth helps you to file your ITR accurately and on timely basis.

Tags - Freelancer Taxation ITR Filing for Freelancer Income Tax Return for Freelancer


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