All you need to know about Income Tax returns
Whenever the financial year is coming to an end on 31st March, all we can think about is the returns that need to be filed thereafter. To make your life simpler, I have put below a few steps that you need to take that can help you in filing your income tax returns on time without any worries:
- Register yourself :
To e-file your income tax return, you will have to register on the Income Tax Department’s online tax filing site (incometaxindiaefiling.gov.in). You have to provide your permanent account number (PAN), name and date of birth and choose a password. Your PAN will be your user ID.
- Choose how you want to e-file
There are two ways of e-filing your income tax return. One is to go to the download section and select the requisite form, save it on your desktop and fill all the details offline and then upload it back on the site. Or you can choose to fill the form online by selecting the quick e-file option.
- Select the requisite form
ITR-1: For individuals earning a salary, pension, or income from property or sources other than the lottery.
ITR-2: For those earning capital gains. ITR 2A for those owning more than one house but no capital gains.
ITR 3, 4 and 4S: Professionals and business owners.
- Keep the documents ready
Keep your PAN, Form 16, interest statements, TDS certificates, details of investments, insurance, and home loan papers ready. Maintain a file with all such documents so that as and when you make any new investment you can file it at the same time and it is up to date by the time you prepare to file your returns. Download Form 26AS, which summarizes tax paid against your PAN. You can then validate your tax return with Form 26AS to check your tax liability.
- Fill form and upload
If you choose to fill the form offline, downloaded the relevant form and fill in all the details, then click ‘generate XML’. Thereafter, log in to the portal, and click the ‘upload XML’ button. Select the newly created XML file saved on your system.
- Verify ITR V
On submitting your ITR form, an acknowledgment number is generated. In case the return is submitted using a digital signature, you just have to preserve this number. If the return is submitted without a digital signature, an ITR-V is generated and is sent to your registered email ID.
The tax filing process is incomplete and ITR is invalid unless your ITR V is verified. You can electronically verify or mail the signed ITR V to the processing center.
If you are not very confident about filing the ITR by yourself, you can always take help from a certified CA. Tax Filing Portals too can help you file your taxes at a requisite fee.
If you have missed the due date to file your return, you can still file it before 31 Dec 2018 by paying a fee of Rs 5,000. If you are filing after 31 December 2018, you will have to pay a fee of Rs 10,000. Also, note that the time limit for filing a return late for FY 2017-18 expires on 31 March 2019.
Plan to do investments in advance and ensure filing on time. Don’t wait for the last minute!