Globalization while having paved the way for business expansions has also facilitated workforce to work in multinational enterprises. However, irrespective of the country where they work or conduct any forms of business, every earning individuals is expected to pay their taxes to the government.

1. Individual tax Returns-An Important Aspect of Tax Laws
Globalization while having paved the way for business expansions has also facilitated workforce
to work in multinational enterprises. However, irrespective of the country where they work or
conduct any forms of business, every earning individuals is expected to pay their taxes to the
government.
Referred to as income tax, this is an amount imposed on the financial income generated by the
entities within their jurisdiction. First imposed in America during the War of 1812, this was
meant to repay the $100 million debt incurred for war related expenses. However, over the
years payment of income tax became a permanent feature. For the government, income tax is a
key source of funds that is used to fund its activities for serving the pubic. As per the regulations
laid down by the government authorities, every year businesses houses and individuals must file
their individual tax returnsto determine whether they owe any taxes to the government or are
eligible for any refund.
Most countries follow a progressive income tax system wherein individuals with higher income
pay a higher tax. Nevertheless, filing of income tax returns is mandatory irrespective of the size
of business or income. Individuals who may have to pool out large amounts in taxes, tend to
evade payment of taxes regularly. Tax evasion however is a crime and leads to harsh penalties
and even imprisonment. Further, in order to minimize their tax liability individuals also tend to
deliberately keep away from filing the individual tax returns. However, this is also considered
punishable. Individuals therefore should focus on tax planning methods that will help them
manage their taxes effectively. Professional tax consultants help individuals and business houses
with effective tax planning guides that will help them achieve financial gains.
While individuals go through important milestone of competing the task of filing their income tax
returns, this does not work as a final one. The tax office works through a verification process to
cross check the income tax returns and ensure if all the transactions are reported correctly and
taxes duly paid. In case of any discrepancies and challenges arising from the process, the
consultants offering tax planning services go a long way in helping the individual tax payer.
The leading tax consultants help tax payers with best practices to file their individual income tax
returns. However, today with technology playing a leading role across every industry sector, the
electronic filing of income tax returns has fastened the process of filing IT returns before the
specified due date. With their web presence, the income tax departments has made the process
of filing the tax returns simpler for every individual.
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