Mitali
Quick Summary
Yes, you are correct if your monthly pension income is up to ₹39,500 = ₹4,74,000 annually then you need not have to file an income tax return. Under the New Tax Regime (from AY 2026-27), pensioners get: Standard Deduction = ₹75,000 Since the taxable income after deduction is: Rs.4,74,000 Rs.75,
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FAQ :
If your monthly pension income is up to ₹39,500, which equates to ₹4,74,000 annually, you are generally not required to file an Income Tax Return (ITR).
Under the New Tax Regime, pensioners receive a standard deduction of ₹75,000. This reduces the taxable income, meaning an annual pension of ₹4,74,000 becomes taxable at ₹3,99,000, which is below the ₹4 lakh threshold where tax payment is not required.
Yes, even if your pension income is below ₹4 lakh, you may need to file an ITR if you have made significant bank deposits (₹50 lakh+ in savings, ₹1 crore+ in current accounts), spent over ₹2 lakh on foreign travel, or have foreign income or assets.
A Specified Senior Citizen is an Indian resident aged 75 years or more. If their income is solely from pension and interest from the same bank, and they submit Form 12BBA, the bank will calculate and deduct TDS, potentially exempting them from filing an ITR even if their income exceeds ₹4 lakh.
Filing an ITR is mandatory if you have deposited ₹50 lakh or more in savings accounts, have current account transactions of ₹1 crore or more, have credit card expenses over ₹2 lakh, electricity bills over ₹1 lakh, foreign travel expenses over ₹2 lakh, TDS/TCS of ₹50,000 or more, or have foreign income or assets.
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