ITR for deceased spouse without a will: Legal heir tax rules and filing responsibilities explained
A spouse’s death brings emotional and financial challenges, including filing the deceased’s ITR. Understanding the ITR for deceased spouse rules, legal heir responsibilities and succession laws helps families complete tax formalities correctly and avoid unnecessary disputes.
Who files the ITR of a deceased spouse when there is no Will? Know the tax rules for legal heirs.
The loss of a spouse tends to bring immense emotional and psychological turmoil. This, along with the burden of financial responsibilities associated with the spouse, can sometimes become too much to handle. To avoid such a situation, you must plan in advance for the hard realities of life.
One such responsibility is determining whether an Income Tax Return (ITR) needs to be filed for the deceased person. Who is required to complete the entire process? What is the protocol in such cases? Especially when there is no will to substantiate the claims.
For the financial year 2024-25, the Income Tax Act of 1961 will be applicable. The updated and new Income Tax Act 2025 will come into effect from the next financial year. Under the current scheme of things, the legal representatives of a deceased taxpayer are primarily responsible for filing the ITR, if required.
Furthermore, in most cases, this responsibility is taken up by the deceased's legal heir. The return will be filed for the period from 1 April of the financial year to the date of the individual's demise.
When does the deceased person’s ITR need to be filed?
As explained in Section 139 of the Income Tax Act, the return must be filed diligently if the deceased individual’s total income exceeds the applicable basic exemption limit during the given financial year.
Further, the exemption limits may vary depending on the taxation regime and the individual's age. Keeping this in mind, the basic exemption limit is discussed below:
Tax regime
Basic exemption limit
Old regime (below 60 years)
₹2.5 lakh
Old regime (60 to 80 years)
₹3 lakh
Old regime (80 years and above)
₹5 lakh
New regime (all individuals)
₹4 lakh
Note: The basic exemption limit discussed above is illustrative only. Tax-related decisions for individuals must be made after proper discussion with a certified tax consultant and financial advisor.
There are several other vital aspects to keep in mind, even if the total income of the deceased is below these limits, filing of the taxes might still be compulsory, if certain conditions are met, such as:
If the electricity bill exceeds ₹1 lakh,
If more than ₹2 lakh is spent on foreign travel during the financial year.
Nominee does not replace the legal heir
Now, let us acknowledge and understand the most important aspect of such cases where the deceased spouse has left no will. In such cases, the assets are inherited by legal heirs in accordance with the applicable succession laws.
Furthermore, a nominee is appointed on a demat or bank account, which only facilitates the transfer process and does not automatically make the nominee the owner of the assets. The holdings are transferred from the nominee (as the caretaker) to the correct legal heir.
Therefore, while the nominee may initially receive the assets in such cases, they still hold them for the benefit of the rightful legal heirs only. The tax filing responsibility remains linked to the deceased person’s income, and the legal representative's obligations are governed by the Income Tax Act.
Understanding these provisions clearly, along with the numerous variations in legal parlance, is critical to resolving such problems. It is prudent to consult a legal advisor and a tax consultant to identify the root of such issues before proceeding with the filing.
So that the concerned family can complete post-death financial formalities correctly and avoid confusion regarding nominations, tax responsibilities, and inheritance.
