How to E-Filing Your ITR
Taxation is a
technique via which the government collects money from its citizens and business organizations to fund public offerings and packages which includes
education, healthcare, infrastructure improvement, and country’s national
defenses. Taxes can take extraordinary forms, such as income tax, sales tax,
property tax, and corporate tax, among others. The taxes are often driven with
the aid of the want for revenue technology to satisfy the government's expenditure
responsibilities. Taxes can also be used to influence the conduct of people and
business organizations, which includes encouraging investment or discouraging
dangerous activities like smoking, drinking, etc. Tax rules are typically set
up by the government through regulation and are enforced by way of tax
government. Understanding the tax system is a critical thing of financial management for individuals and business organizations. So, in this blog everything about
e-filing will be easier for understanding.
become more convenient with simplified procedures.”
for Income Tax Return, is a document filed by an individual or a business with
the tax authorities to serves as proof of income earned and tax liability or
paid for a financial year. A form 16 you have to fill and submit to the IT
department which carries all your information which includes details of all
sources of income, deductions claimed, and taxes paid. The filing of ITR is
mandatory for individuals and businesses that meet certain income thresholds,
and non-compliance can result in penalties and legal consequences. The
government uses ITR to assess tax liabilities and ensure compliance with tax
WHY IS IT
IMPORTANT TO FILE AN ITR?
Filing an ITR
is important for several reasons. It serves as proof of income and taxes paid,
helps in claiming tax refunds, and avoids penalties for non-compliance. It also
helps individuals and businesses establish their creditworthiness and financial
stability, which is useful to claim many advantages. Additionally, filing an
ITR is a legal requirement and mandatory as per the Income-tax Act, 1961 for
those who meet certain income thresholds, and failure to do so can lead to
legal and financial consequences. Some of the possibility where an ITR becomes
Own any Foreign Assets
Adjust any capital gains or losses
Helps in avoiding a penalty
WHO ALL NEED
TO FILE ITR?
and businesses who meet certain income thresholds are required to file an ITR.
In India, individuals with an annual income of more than Rs 2.5 lakh, and
businesses with a turnover of over Rs 20 lakh, are required to file an ITR. However,
certain exemptions and deductions may apply, and it is important to consult a
tax professional to determine the specific requirements.
It is also
who are residents and ordinarily residents in India are required to file an
(a) Holds any asset (including any financial interest in
any entity) located outside India.
(b) Has signing authority in any account outside India.
(c) Is a beneficiary of any asset (including any
financial interest in any entity) outside India.
is obligated to file an ITR if the total deposits made in their current bank
accounts exceed Rs. 1 crore.
individual has incurred expenses exceeding Rs. 2 lakhs for foreign travel, they
are required to file an ITR.
individual has incurred expenses exceeding Rs. 1 lakh towards electricity
consumption, they are required to file an ITR.
If the total
sales, turnover, or gross receipts of a business exceed Rs. 60 lakhs, the
business is required to file an ITR.
If the total
gross receipts of a profession exceed Rs. 10 lakhs, the individual is required
to file an ITR.
If the total
tax deducted and collected at source is Rs. 25,000 or more (Rs. 50,000 in the
case of resident senior citizens), the individual is required to file an ITR.
If an individual's
aggregate deposit in one or more savings bank accounts is Rs. 50 lakh or more,
they are required to file an ITR.
to file and stay ahead of the tax game!”
important to file your taxes accurately and efficiently, it is essential to
have all your documents in order and in handy. Here's a comprehensive list
we've created to assist you with getting organized.
To file your
taxes, you'll need a salary certificate or Form 16 from your employer.
life insurance premium receipts are important documents to have on hand for tax
statement are important documents to have on hand for tax filing.
tax filing, interest certificates are important documents needed for tax
filing, especially if you have deposits, education loans, or housing loans.
accuracy when filing taxes, it's crucial to have Form 26AS, which indicates any
taxes already deducted or paid in the previous year.
bank account number and IFSC code is crucial when nominating a bank account for
tax refund, especially if the account is not pre-validated.
Make sure to
have quarter-wise information on dividends received during the previous year to
file taxes accurately.
Information Statement (AIS) is a necessary document that provides a summary of
all financial transactions made in the previous year.
Form 16 is a
certificate issued by an employer to its employees, containing details of the
salary earned and deposited on your behalf during the year and the amount of
tax deducted at source (TDS) by the employer. It serves as proof of income and
TDS for the employee and helps in filing income tax returns. Form 16 is
mandatory for salaried individuals.
· Form 16 is issued by your employer and can be obtained
Information Statement (AIS):
Information Statement (AIS) is a consolidated statement that provides a
comprehensive view of all the financial transactions made by an individual or
entity during the financial year. It includes details of investments,
purchases, and sales of assets, among other things. AIS is a helpful tool for
assessing tax liability and preparing tax returns.
How to view Annual
Information Statement (AIS) Form:
income tax portal
Click on Annual
Information Statement (AIS)
Form 26AS is
an annual tax credit score announcement that consists of information about the
amount of tax that has been deducted at source (TDS) and deposited by using
diverse entities on behalf of the taxpayer. It is usually detailed information
of tax refunds, excessive and high value transactions, tax credit received
during the financial year. Form 26AS facilitates taxpayers to reconcile their
tax legal responsibility and facilitates the submitting of income tax returns.
download Form 26 AS?
Go to e-file
menu, select Income Tax Return
your tax filing process with e-filing portal.”
Once you have
gathered all the necessary documents, you can easily begin the e-filing process
by following a few simple steps. Firstly, you need to visit the official
e-filing portal at www.incometax.gov.in and log in using your credentials to
get started with your tax filing.
the e-Filing portal (If you are first time filer & not already registered)
e-Filing Portal with e-Filing ID and Password
Digital Signature (if applicable)
personal mobile number and email ID as primary contact details.
taxes with confidence using our simple e-Filing process!
you need to do to start filing your Income Tax Return now that everything's in
It refers to
verifying the information provided in the tax return and making sure it is
correct. Validation can be done through various methods, including digital
signatures and one-time passwords.
Information: Verify the auto-filled data
from your e-Filing profile
deductions: Verify any deductions you wish
to claim under Chapter VI-A of the Income-tax Act, 1961.
Income: Examine at the pre-crammed
facts and double-check the details of your income sources, along with your
profits/salary/pension, income from rent, and other assets (including interest
income, capital profits, and many others, etc.). Take a look at for any exempt
earnings you may have for the duration of the previous year. Discuss with the
(AIS) earlier than finalize total profits.
Tax Paid: It is important to cross-check the tax paid data that
is pre-filled in the Income Tax Return (ITR) form with the entries mentioned in
Form 26AS to ensure accuracy. This helps to avoid any discrepancies or errors
in the tax calculation and filing process.
On the Preview and Submit Your Return page. enter Place,
select the declaration checkbox and click Proceed to Validation.
validated, click Proceed to Verification.
Your work is
not complete until you have finished this final step.
tax return (ITR) will remain incomplete until you complete this final step of
verification. There are several ways to E-verify your return, which are
mentioned below. It's important to note that your return won't be processed
until it has been verified.
Verification Code (EVC) through Bank Account.
Verification Code (EVC) through Demat Account.
signed ITR-V through Post to Central Processing Centre (CPC) Bengaluru.
conclusion, as we continue making e-Filing easier, faster and taxpayer friendly
for you e-filing income tax return (ITR) is a convenient and efficient manner
to file tax returns online. It now not handiest saves time but also exclude the need for physical visits
to tax offices. To e-file your ITR, you need to keep all necessary documents equipped
and ready, validate personal information,
cross-check tax details, and verify the return summary. Once all steps are
complete, you can submit your ITR online, and then verify it through EVC or
other modes mentioned. The Central Processing Center (CPC) processes ITRs
submitted online, and you can keep track of your ITR status online as well.
E-filing ITR has made the tax-filing process simpler and faster, helping
taxpayers to comply with tax laws and regulations in India.