Charitable trusts are required to file Income Tax Returns (ITR) annually to disclose their income, donations received, and expenses incurred for charitable purposes under the Income Tax Act, 1961. Filing ensures transparency, compliance with statutory requirements, and maintenance of tax-exempt status under sections such as 12A and 80G. Trusts must report all sources of income, including donations, interest, and income from property or investments, and claim applicable exemptions or deductions. The ITR must be accompanied by audited financial statements, and proper documentation must be maintained to substantiate income and expenditures. Timely filing of returns prevents penalties, scrutiny notices, and potential loss of exemption benefits. Professional assistance is often recommended to accurately prepare accounts, reconcile donations and receipts, and file the ITR using the appropriate form (usually ITR-7). Accurate and timely filing of returns strengthens the trust’s credibility, ensures legal compliance, and facilitates continued eligibility for tax benefits while promoting transparency to donors and regulators.