Income Tax Day, also known as Aaykar Diwas, is an important day in India that's celebrated on July 24 annually to spread awareness about paying income tax and encouraging everyone to do so. If you wonder why it is observed in India and why you must part with your hard-earned money and pay taxes, then read on. But first, let's know a bit more about Income Tax Day.
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Why 24 July?
On this day in 1860, Sir James Wilson introduced income tax in India for the first time to help the British government recover from the huge losses they suffered during the First War of Independence in 1857. On 24 July 2010, India celebrated its first Income Tax Day to observe the importance of taxes in building a stronger nation.
Why it's your duty to pay taxes
The government uses your tax money for many welfare schemes, including employment. With your money, roads, schools, and hospitals are built and maintained, and it's used for many other things that help the country and its people, including you, your family, your friends, and every single citizen.
Why you must file your income tax returns
The government needs to track who pays how much money in taxes. That's where the income tax department comes in. Income tax is the money you give to the government from your earning or the amount you receive. It's like sharing a small part of your income to help the country.
When you file your returns, you tell the government exactly how much money you earned in the past year and how much tax you paid. It's like filling out a special form to show your contributions to the government.
File it on time
When you file the income tax returns (ITR) on time, it shows that you are a responsible and honest citizen, contributing your fair share to or nation's development and progress. It is also beneficial for you, as you may get some money back if you have paid more tax than required.
So, paying taxes is an important responsibility for every working Indian. It helps our nation grow and become better for everyone to live in. And if filing returns seems tricky and boring, you can always seek a professional's help.
