Pensioners are individuals who receive a regular income from their employer or government after retirement. Pension income can be from government service, private companies, or superannuation funds, and it may include commuted or uncommuted pension, gratuity, and other retirement benefits. Under the Income Tax Act, 1961, pension is taxable under the head “Salaries.” Certain portions, such as commuted pension for government employees, may be exempt from tax, while others are fully taxable. Pensioners can also claim deductions available under Chapter VI-A to reduce taxable income. Accurate record-keeping of pension slips, Form 16A (if TDS is deducted), and other related documents is essential for filing income tax returns. Tax deductions at source (TDS) may be applicable depending on the type of pension. Timely filing and reporting of pension income ensures statutory compliance, avoids penalties, and allows the pensioner to claim eligible deductions and exemptions. Professional guidance is recommended for understanding tax liability, exemptions, and filing accurate returns. Proper management of pension income ensures transparency, legal compliance, and effective financial planning post-retirement.