ITR stands for Income Tax Return. It is a form that taxpayers use to report their income, deductions, and tax payments to the government. Filing an ITR is mandatory for individuals and businesses that meet certain income thresholds or have certain types of income. The ITR form varies depending on the type of income and the status of the taxpayer. Filing an ITR helps taxpayers to claim tax refunds, carry forward losses, and avoid penalties for non-compliance.

Filing an Income Tax Return (ITR) is important for several reasons. It is a legal obligation for individuals and businesses that meet certain income thresholds or have certain types of income. Filing an ITR helps taxpayers to claim tax refunds, carry forward losses, and avoid penalties for non-compliance. It also serves as proof of income, which can be useful when applying for loans or visas. Additionally, filing an ITR can help taxpayers to establish a good financial record, which can be beneficial when dealing with financial institutions or government agencies.