The responsibility to file their ITR falls on the legal heir or representative. Doing this not only avoids future disputes with the tax department but also ensures any pending refunds are released.
Losing a loved one is never easy, and dealing with paperwork during such a time can feel overwhelming. But if the person who passed away had an income, there's one important responsibility the family can't overlook — filing their income tax return (ITR).
Here's a simple, step-by-step guide to help you through the process.
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Why You Need to File
The Income Tax Act, 1961 makes it clear: if a person passes away, their income up to the date of death is still taxable. The responsibility to file their ITR falls on the legal heir or representative. Doing this not only avoids future disputes with the tax department but also ensures any pending refunds are released.
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Step 1: Get the Death Certificate
Start by getting the death certificate from the local municipal office. It’s the first and most essential document — you’ll need it for almost every step that follows.
In most cases, the legal heir is the spouse, children, or parents. If none of them are alive, siblings may be considered. You will need to prove your status with either a Legal Heir Certificate or a Succession Certificate from the authorities or a court.
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Step 3: Register as Legal Heir Online
Go to incometax.gov.in
Log in with your account (or create one).
Look for the option “Register as Legal Heir”.
Upload:
Death certificate
PAN of the deceased
Your PAN
Legal heir certificate
Wait for the Income Tax Department’s approval (usually a few days).
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Step 4: Gather the Income Details
You will need all income proofs for the period before the person passed away. This could include:
Form 16 from their employer
Bank interest certificates
Capital gains statements
Rental income records
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Step 5: File the Return
Once your legal heir status is approved:
Choose the right ITR form based on the income type.
Fill in the details exactly as they apply up to the date of death.
Pay any pending tax, or claim a refund if due.
The refund will go to your bank account linked with the e-filing portal.
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Step 6: Keep Everything on Record
Hold on to all acknowledgements, certificates, and tax-related documents for at least six years. This will help in case the department has any queries later.
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Don’t Miss the Deadline
The due date for filing is the same as for regular taxpayers — usually July 31 of the assessment year. If the death happened during a financial year, you only consider the income earned till the date of passing.
