Tax filing season is here! Feeling a bit overwhelmed or unsure about how to get started? You’re not alone. Many find the process daunting at first, but don’t worry—this guide is designed to walk you through every step, ensuring you can navigate your tax obligations with ease.
Why File an ITR?
Filing your ITR is essential not just to comply with the law, but it also helps you in many practical ways, such as loan applications or visa applications easier and allowing you to claim tax refunds.
Documents You Need
Before you start, gather these necessary documents:
- PAN Card: Your tax identification number.
- Aadhaar Card: Essential for linking with your PAN.
- Bank Statements: To report interest income and other transactions.
- Form 16: Provided by your employer, detailing your salary and taxes deducted.
- Form 26AS: A summary of taxes deducted on your behalf and deposited to the government.
- Proof of Investments: Records of investments that qualify for tax deductions.
Choosing the Right Form
Selecting the right ITR form is vital to ensure you file correctly. The correct ITR form for you depends on the nature of your income. Here’s a brief overview:
- ITR-1 (Sahaj): For individuals with income up to ₹50 lakh from salaries, one house property, and other sources.
- ITR-2: For those with capital gains or foreign income.
- ITR-3 and ITR-4: For business owners and professionals with income from business or profession.
For a detailed guide on which ITR form to choose, refer to our blog “Which ITR Form Should You Choose?”
Step-by-Step Filing Process
Filing your ITR can be done efficiently by following these detailed steps:
- Registration: First, create an account on the Income Tax e-Filing portal if you haven’t already. Use your PAN as the user ID.
- Form Selection: Log in and select the ‘e-File’ menu and click ‘Income Tax Return’ link. Select the appropriate form based on your income types and sources.
- Fill the Form: You can choose to fill the form online for a direct submission or download the utility to fill the form offline at your convenience. Make sure to gather all necessary documents such as your PAN, Aadhaar, bank account details, and investment proofs to enter accurate information.
- Verify Details: Carefully review all the information for any discrepancies or errors. Correcting mistakes beforehand can save you the hassle of filing an amended return later.
- Pay Taxes (if applicable): If you owe additional taxes, calculate the exact amount and pay it online via the ‘e-Pay Tax’ option on the portal. Ensure you enter the details of the payment in your ITR form.
- Submit Your ITR: After filling out the form and paying any due taxes, submit your return online. Once submitted, you will receive an acknowledgment on your registered email.
- E-Verify: The final step is to e-verify your submitted return through options like Aadhaar OTP, net banking, or bank account which can be accessed under the ‘My Account’ menu. Verification is essential as it completes the process of filing your return.
