Senior citizens must file ITR by July 31:Understand these 4 things to save tax and choose the right regime

The last date for filing income tax returns for pensioners and senior citizens with non-professional income for 2025-26 is July 31. In such a situation, it is important to understand who needs to file ITR, who does not, and which tax regime is beneficial for you. 1. Those above 75 years of age are exempt from filing ITR – If you are 75 years or older, you may be exempt from filing ITR under Section 194P. – Income is only from a pension. Interest income is only from the bank where the pension is received. If Form-125 has been submitted to the bank, the bank will calculate the tax itself and deduct TDS. After this, you will be exempt from filing the return. Warning: This exemption will not apply if there is other income such as shares, mutual funds, rent, or profit. 2. You can choose the regime that is beneficial in tax calculation – From financial year 2025-26, the new tax regime (Section 115BAC) is the default regime. To choose the old regime, you will have to explicitly select the option while filing ITR. – The old regime can be beneficial – if investments under Section 80C, health insurance premium (80D), home loan interest or other deductions are high. – The new regime can be beneficial if deductions are low, and general income is up to ₹12 lakh. Be sure to calculate tax under both regimes before filing ITR. 3. You can still avail of these exemptions in the old tax regime – Section 80C: Deduction of ₹1.5 lakh on investments in LIC, PPF, NSC, SCSS, FD. – Section 80D: Deduction of up to ₹50,000 on health insurance. If there is no health insurance, there is also a deduction of up to ₹50,000 on actual medical expenses. – Section 80TTB: Deduction of up to ₹50,000 on interest income from deposits in banks, cooperative banks or post offices, but NRIs do not get this benefit. – Section 80DDB: Deduction of up to ₹1 lakh on treatment of serious illnesses like cancer and kidney failure. 4. If TDS has been deducted, file an ITR for a refund – If interest income in a bank for senior citizens exceeds ₹50,000, the bank deducts 10% TDS. – If your total income is not taxable, you can get relief from TDS deduction by submitting Form-15H to the bank at the beginning of each financial year. – If you have not filled Form-15H at the beginning of the financial year and the bank has deducted TDS, it is mandatory to file ITR to get a refund. – E-verification within 30 days of filing ITR is also necessary; otherwise, the return will be considered incomplete. Know where and how much income is exempt Exemption in Old Regime: For those aged 60-80 years, income up to ₹3 lakh is exempt, and for those aged 80+ years, income up to ₹5 lakh is exempt. Exemption in New Regime: The limit for all categories is ₹4 lakh. Section 87A Exemption: In the Old Regime, ₹12,500 on income of ₹5 lakh. Exemption in New Regime: Up to ₹60,000 on income of ₹12 lakh. (Note: The exemption under Section 87A does not apply to income from capital gains such as equity shares, etc.)