How to file your Income Tax Return : Steps

Applicable Provision: Sec 139(1) of the Income Tax Act, 1961 in the country, 

Who Required to File ITR: individuals whose total income during the previous year exceeds the maximum amount not chargeable to tax, should file their income tax returns (ITR).

Due Date for filing Tax Returns: 31^st July (Physical or Onine), if non Audit Case.

Mode of Filing: E-filing, either go to professional help or file your returns yourself from the comfort of your home by registering on the income tax department website or other websites.

Types of e-Filing:

1.       Use Digital Signature Certificate (DSC) to e-file. It is mandatory to file IT forms using Digital Signature Certificate (DSC) by a chartered accountant.

2.      If you e-file without DSC, ITR V form is generated, which should then be printed, signed and submitted to CPC, Bangalore by ordinary post or speed post within 120 days from the date of e-filing. Or You can also E-Verify your return through Aadhar OTP or Net banking.

3.      You can file IT returns through an E-return Intermediary (ERI) with or without DSC.

Checklist for e-Filing IT Returns

There are a few prerequisites to filing your tax returns smoothly and effectively. Major points have been highlighted below.

1.       Choose the right form to file your taxes electronically

It can be confusing deciding which form to submit when filing your tax returns online. The different categories of Income Tax Return (ITR) forms and who they are meant for are tabulated below.

ITR 1 (SAHAJ)	Individuals with income from salary and interest
ITR 2	Individuals and Hindu Undivided Families (HUF) not having income from business or profession
ITR 3	Individuals/HUFs being partners in firms and not carrying out business or profession under any proprietorship
ITR 4	Individuals and HUFs having income from a proprietary business or profession
ITR 4S (SUGAM)	Individuals/HUF having income from presumptive business
ITR 5	Firms, AOPs,BOIs and LLP
ITR 6	Companies other than companies claiming exemption under section 11
ITR 7	Persons including companies required to furnish return under section 139(4A) or section 139(4B) or section 139(4C) or section 139(4D)

2.      Check your tax credit - Form 26AS vs. Form 16

First, You should check Form 26AS before filing your returns. It shows the amount of tax deducted from your salary and deposited with the IT department by your employer. You should ensure that the tax deducted from your income as per your Form 16 matches with the figures in Form 26AS. If you file your returns without clarity on errors, you will get a notice from the IT department.

3.      Claim deductions, savings certificates and other (Most Common 80C, 80G, 80TTA)

You can claim extra deductions if you forgot to claim them. Similarly, you can also claim deductions under section 80G on donations made to charitable institutions. Deduction up to Rs.10,000 is allowed on interest earned on savings accounts. However, interest earned on bank deposits, if any, forms a part of your taxable income and is taxable at applicable slab rates.

Also refer the following documents.

4.      Tax return- Previous Year

5.      Statements of all Bank Accounts

6.      TDS (Tax Deducted at Source) certificates

7.      Profit and Loss (P&L) Account Statement, Balance Sheet and Audit Reports, if applicable

Ensure your system is equipped with the below.

8.     Java Runtime Environment Version 7 Update 6 or above

How to File e-return?

Filing your income tax returns online doesn’t have to be a complicated process. Simply follow the below steps.

log on to incometaxindiaefiling.gov.in And register on the website.

·         Enter user ID – Your Pan No.

·         View your tax credit statement or Form 26AS, should match with your form 16.

·         Download the ITR form as applicable, see above list as mentioned.

·        Open excel utility or java utility (the downloaded return preparation software) and fill out the form by entering all details using your Form 16.

·         Check the tax payable amount by clicking the 'calculate tax' tab.

·         Pay tax (if applicable) and fill in the challan details.

·         Confirm all the data provided in the worksheet by clicking the 'validate' tab.

·         Generate an XML file and save it in a folder where you want to save.

·       Go to income tax online portal and select 'upload return'  and upload the saved XML  file.

·    A pop-up will be displayed asking you to digitally sign the file. In case you have  obtained a digital signature, select ‘Yes’. If you have not got digital signature, choose 'No'.

·         The acknowledgment form, ITR Verification (ITR-V) will be generated which can be  downloaded by you.

·          Take a printout of the form ITR-V and sign it in blue ink

·         Send the form by ordinary or speed post to the Income-Tax Department-CPC , Post  Bag No. 1 ,Electronic City Post Office, Bangalore, 560 100, Karnataka within 120 days of  filing your returns online. Or you can also e-verify it through Aadhar OTP or Net Banking.