• 9003009901; 9003009902
  • support@bizguardian.in
About Us

Are You Eligible for a Tax Refund? Here’s How to Claim It Correctly (FY 2024–25)

Did you know that thousands of salaried employees and pensioners in India are eligible for tax refunds — but never claim them?
Every year, the Income Tax Department holds crores in unclaimed refunds — just because people didn’t file their ITR or filed it incorrectly.

👉 In this blog, we help you understand:

  • Who is eligible for a tax refund
  • How to check if a refund is due
  • How to claim it safely and get it faster

What is an Income Tax Refund?

A tax refund is the extra amount of tax you paid to the government — more than what your actual tax liability is.
The Income Tax Department returns this excess amount to you — only when you file your ITR.

Who Can Get a Refund?

You may be eligible for a refund if:

  • Your employer deducted excess TDS on salary
  • Bank deducted TDS on FD interest (even when you were under exemption limit)
  • You forgot to declare investments/deductions (80C, 80D, etc.) at the time of employment
  • You sold property or shares and paid more capital gains tax than required
  • You paid advance/self-assessment tax more than necessary
  • You filed under the wrong regime and later found Old Regime saves more tax

Common Refund Scenarios

  • Senior Citizens — TDS on FDs even if your income is below ₹5L — eligible for full refund.
  • Salaried Employees — Forgot to declare LIC, HRA, or home loan at office → more TDS cut.
  • Parents — School fees, tax-saving FDs, ELSS invested later → not declared to HR.
  • Property Sellers — 1% TDS deducted on sale of property even if capital gains are exempt.
  • Investors — Sold shares but STCG was below taxable limits → refund due.

How to Check If You’re Eligible for Refund

  1. Login to the Income Tax Portal
  2. Download Form 26AS and AIS (Annual Information Statement)
  3. Compare tax deducted (TDS/TCS) vs actual tax liability
  4. If more tax is paid → you are eligible for a refund

How to Claim the Refund

👉 You must file your ITR to claim refund — there’s no automatic refund without ITR filing.

Steps to Claim Refund:

  1. File your ITR before the due date (Sep 15, 2025)
  2. Make sure all TDS entries are pre-filled or correctly entered
  3. Choose the correct ITR form
  4. Mention bank account details (with IFSC) for refund credit
  5. E-verify the return — without this, refund won’t be processed

Refunds are usually processed within 7–45 days if filed correctly.

Important: Refund Mistakes to Avoid

  • Wrong bank details or IFSC code
  • Not e-verifying the return
  • Mismatch in Form 26AS / AIS and ITR
  • Filing under wrong regime or ITR form
  • Not reporting all sources of income → may lead to refund rejection

What If You Miss the Deadline?

  • You can still file a belated return (by Dec 31, 2025), but may get lower refund and late filing fees.
  • Interest may be paid by the department if there’s a delay after processing — under Section 244A.

Let BizGuardian Help You Get What You Deserve

  • We help you check your refund eligibility
  • We prepare your ITR correctly — with all TDS and deductions
  • We ensure fast, verified filing with zero errors
  • We help track your refund till it reaches your account

👉 Don’t leave your refund unclaimed — Contact BizGuardian today.
[ Email: support@bizguardian.in / WhatsApp : 9003009901]

Share:

More Posts

SFT Reporting on Issue of Shares for Private Limited Company

Raising share capital is common for startups and private limited companies. However, many founders, directors, and finance teams are unaware that receipt of ₹10 lakh or more from a single investor triggers mandatory SFT reporting under the Income-tax Act, 1961. If your company has issued shares during the financial year, this guide will help you understand whether Form 61A (SFT filing) is required. 📌 What is SFT (Statement of Financial Transactions)? SFT stands for Statement of Financial Transactions, governed by: It requires reporting of specified high-value financial transactions to the Income Tax Department. 📌 Is SFT Applicable on Issue of Shares by Private Companies? Yes. A company in which the public are not substantially interested (i.e., Private Limited Company) must report: Receipt from any person of ₹10 lakh or more in a financial year for acquiring shares (including share application money). Important Clarification 📊 Example – When SFT Filing Becomes Mandatory Investor Amount Invested SFT Filing Required? Mr. A ₹15,00,000 ✅ Yes Mrs. B ₹8,00,000 ❌ No Mr. C ₹12,00,000 (3 tranches) ✅ Yes If any investor crosses ₹10 lakh → Form 61A filing is mandatory. 📌 Which SFT Code is Used for Share Capital? Under the current reporting utility: 👉 SFT-008 – Purchase of Shares Though the description says “purchase”, it includes: 📅 Due Date for SFT Filing Form 61A must be filed on or before: 31st May following the financial year Example: Late filing attracts penalty under Section 271FA. ⚠️ Penalty for Non-Filing of SFT Under Section 271FA: Failure to file may also trigger:  How to File SFT for Issue of Shares? Step-by-step process: ❌ Common Mistakes in SFT Reporting for Share Capital 🏢 Why Startups & Private Companies Must Not Ignore This Compliance Many startup founders assume SFT applies only to banks. This is incorrect. If your company: You must review SFT applicability before 31 May. Proper compliance ensures: ✔ No penalty exposure✔ Clean AIS record for investors✔ Reduced scrutiny risk✔ Strong governance framework 📌 Final Takeaway If your private limited company received ₹10 lakh or more from any investor during a financial year, SFT filing in Form 61A is mandatory. Proactive compliance avoids unnecessary penalties and departmental notices. 📞 Need Assistance with SFT Filing? At BizGuardian, we assist private limited companies, startups, and growing businesses with: 📧 Email: support@bizguardian.in📱 Mobile: 9003009901 / 9003009902🌐 Website: www.bizguardian.in Avoid last-minute penalties. Ensure compliant capital raising.

Foreign Investments Not Disclosed in ITR – A Major Trigger for Income Tax Notices

The Income Tax Department has significantly enhanced its data analytics and information exchange mechanisms. As a result, many taxpayers are receiving notices for non-disclosure of foreign investments, even where the income involved is minimal. If you are a Resident and Ordinarily Resident (ROR) in India and hold foreign shares, ESOPs, ETFs, or overseas mutual funds, disclosure in your Income Tax Return (ITR) is mandatory. What Is Considered a Foreign Investment? Foreign investments include: Important: Disclosure is required even if no income is earned from these investments. Where Should Foreign Investments Be Disclosed in the ITR? Foreign investments must be reported under: Non-disclosure or partial disclosure is viewed as misreporting. How Does the Income Tax Department Detect This? The department receives information through: If your ITR does not match this data, automated notices are triggered. Consequences of Non-Disclosure Failure to disclose foreign investments may result in: Even unintentional omissions can attract scrutiny. How Can You Correct the Mistake? Depending on your situation, you may: Early correction significantly reduces litigation risk. Professional Tip Many salaried employees and startup professionals miss foreign disclosures because no tax was deducted abroad. However, disclosure ≠ taxation. Reporting is mandatory regardless of taxability. Need Professional Help? If you have: BizGuardian can assist with review, correction, and end-to-end compliance support. [ Email: support@bizguardian.in / WhatsApp : 9003009901]

Which ITR Form Should Freelancers Use? A Simple Guide – FY 2024–25

One of the most common questions freelancers ask is — “Which ITR form should I file?”With ITR-1 to ITR-7 floating around, it’s easy to get confused. But don’t worry — in this blog, we’ll break it down and tell you exactly which ITR form is right for freelancers, and when to use which one. First, Understand: Who Is a Freelancer for Tax Purposes? If you earn money from professional or creative services without being on a company payroll, you’re considered a freelancer under the “Profits and Gains from Business or Profession” category.This includes: And anyone working independently on platforms like Fiverr, Upwork, or even directly with clients. What Are the ITR Forms Available? Here’s a simplified view: ITR Form Who Can Use It Not For ITR-1 (Sahaj) Salaried individuals with income up to ₹50L Freelancers, business/professional income ITR-2 Salaried individuals with capital gains, multiple properties Freelancers with business/professional income ITR-3 People with income from business or profession Freelancers (normal tax route) ITR-4 (Sugam) Individuals using Presumptive Scheme (Section 44ADA) Freelancers with income ≤ ₹50L Which ITR Form Should You Use as a Freelancer? You’ll typically use either ITR-3 or ITR-4, based on the way you declare your income: Use ITR-3 if: Use ITR-4 (Sugam) if: 🧾 Example 1 – Riya (ITR-4 User)Riya is a freelance content writer. Annual earnings: ₹18,00,000 Wants simple filing and no record keeping✅ She opts for Section 44ADA👉 She files ITR-4 📘 Example 2 – Arjun (ITR-3 User)Arjun is a freelance web developer. Earnings: ₹22,00,000 Keeps books of accounts and has business expenses like software, coworking rent, etc.✅ He opts for normal taxation👉 He files ITR-3 Can Freelancers Use ITR-1 or ITR-2? No. Even if your income is below ₹2.5L or you have no expenses — freelancing is business income.ITR-1 & ITR-2 are strictly for salaried/pension income and cannot be used by freelancers. What Happens If You Use the Wrong ITR Form? Your return may be marked defective (u/s 139(9)) Refund may get delayed or rejected You may receive a notice asking for clarification or revision Refiling means wasting more time and effort 👉 Bottom line — always file the correct form! 🧾 Bonus Tip: Freelancers with Salary + Freelance Income?Yes, many freelancers also have part-time or past salaried income. 📌 In such cases: Don’t Know Which Form to Choose? Let BizGuardian HelpAt BizGuardian, we: Don’t risk your refund or get stuck with notices. File it right with us.[ Email: support@bizguardian.in / WhatsApp : 9003009901]

How to Calculate Tax on Freelance Income in India (with Examples) – FY 2024–25

Freelancing is rewarding — but when it comes to taxes, most freelancers are unsure where to start.How do you calculate your taxable income? What expenses can you deduct? Do you pay tax on the full amount you receive? In this blog, we walk you through the tax calculation process for freelancers, with simple examples to make it easy. Understand What Counts as Freelance Income Freelance income includes all payments received for professional services, such as: Income is taxable on receipt or accrual basis, whichever is earlier. Taxable Income = Gross Receipts – Business Expenses Freelancers are taxed under:📌 “Profits and Gains from Business or Profession” That means your net income is:👉 Gross receipts – Allowable business expenses Allowable Business Expenses You Can Deduct Keep bills, receipts, and payment records! Example 1: Regular Tax Calculation Riya, a freelance content writer, earned ₹9,00,000 in FY 2024–25.Her expenses were: ₹1,50,000 (rent, internet, laptop, subscriptions) Net taxable income = ₹9,00,000 – ₹1,50,000 = ₹7,50,000Now add: ₹50,000 standard deduction (not available) ❌ Deductions under 80C / 80D (if eligible)Assume Riya invests ₹1.5L in PPF → claim under Section 80C So, final taxable income = ₹7,50,000 – ₹1,50,000 = ₹6,00,000Tax = ₹12,500 (after 87A rebate, if eligible) Example 2: Using Presumptive Tax Scheme (Section 44ADA) If you’re a professional (like designer, writer, CA, architect, etc.) and your income is ≤ ₹50L, you can opt for presumptive tax. You declare 50% of your gross receipts as taxable income — no need to maintain books or show expenses. Example:Arjun, a freelance designer, earned ₹18,00,000Opting for presumptive scheme (44ADA): Taxable income = 50% of ₹18L = ₹9,00,000 Tax (Old Regime) = Around ₹72,500 (after deductions & rebate) You pay tax only on ₹9L, even if you didn’t spend ₹9L in expenses. What About TDS? Clients may deduct TDS at 10% on your payment.Check Form 26AS or AIS to see how much was deducted.You still need to file ITR — and pay balance tax or claim refund. Should Freelancers Pay Advance Tax? Yes!If your tax liability exceeds ₹10,000/year, you must pay advance tax in 4 instalments (June, Sept, Dec, March). Missing it? You may have to pay interest under Section 234B/C Quick Recap: Tax Filing Options for Freelancers Option When to Use ITR Form Regular tax with expense deduction If you want to claim real business expenses ITR-3 Presumptive scheme (44ADA) If income ≤ ₹50L and you want a simpler option ITR-4 Let BizGuardian Help You File the Right Way At BizGuardian, we: Freelancing is your freedom — let us handle your tax burden. [ Email: support@bizguardian.in / WhatsApp : 9003009901]

Send Us A Message

contact

  • Bangalore Office: 720, fifth Floor, RBI Layout, J P Nagar 7th Phase, Opp to Shell Petrol Pump, Bangalore - 560078
  • Chennai Office: 18/61A Velayutham colony second street, Saligramam,
    Chennai - 600093
  • 9003009901 ; 9003009902
  • support@bizguardian.in

Quick Links

Policies

© 2025 BizGuardian. All Rights Reserved.
Your Trusted Partner for Business Formations, Compliance & Accounting.

Facebook Instagram Linkedin

Disclaimer: Our company offers only support services and we are a private firm and not affiliated with any government agencies and do not offer direct registration services.

Are You Eligible for a Tax Refund? Here’s How to Claim It Correctly (FY 2024–25)

Scroll to Top