Gone are the days when people used to get irked by the end of July for filing their Income Tax and TDR returns. Now, it’s no longer needed to stand in long queues in front of ‘Tax Consultants’ office to file IT or TDR returns. Filing IT returns for individual or combined income or for business turnover has become hassle-free with the advent of e-governance system in Income Tax Department. The Government of India has launched E -Filing Portal to encourage citizens to honestly file their income tax and contribute to the development ofthe country. Follow these few simple steps to file your Income Tax returns using online portal.
- Identify your income and ‘ITR’ category- This is the most important information you must identify before filing your IT returns.
- If a person’s individual or combined family income comes within Rs.50 lakhs then he will come under ITR-1 Category. The form for filing IT returns under this category is named as ‘SAHAJ’.
- When a person has income from “Profits and Gains from Business or Profession” including foreign assets, lotteries, legal gambling etc. then he has to file his income tax under ITR-2 Category. Also, all the Non Residents (NR) and Resident not ordinarily resident (RNOR) have to file under this category.
- If the individual is running any business or profession then he has to file under ITR-3 Category.
- The ITR-4 form is for those tax payers who have opted for presumptive tax schemes under Section 44AD, 44AAD. For this scheme, business turnover must be under 2 crores while your net income will be considered 8% of it. Also, there is no need to maintain or audit accounting records and to pay advance taxes.
- Visit the e-filing website: https://incometaxindiaefiling.gov.in with the above information ready.
- If you are a first time user then click on ‘New Registration’ tab and register yourself by providing relevant details and creating your profile and password. Also, ensure that you have an active email ID and phone number before registration. Otherwise, click on ‘Registered User’ tab to enter the portal.
- Click on ‘Login’ tab and enter the required details including User id, password and date of birth. Your account dashboard will open after signing up. Click on ‘e-file’ tab and select ‘Prepare and Submit ITR online’
- Now, select the relevant form and assessment year for which the return has to be filed. You can submit your details according to your PAN Database or fill new details.
- The department will ask you whether you want to digitally sign your return. If selected ‘Yes’, you have to upload your digital signature which has to be pre registered with income tax department.
- By clicking on ‘Submit’ button, you will be directed to the ‘ITR form’ which you selected for filing returns. Before filling up details, go once through ‘General Instructions’.
- Now, enter all the information related to your income and taxes paid in ITR form. Also, check whether your calculations are matching up with the actual tax paid in the form.
- Before submitting the form, recheck the data once and save your form as draft to avoid mistakes. Once, ‘Submit’ button is clicked, ITR will get uploaded and you will be asked to verify your returns using available options.
- You can submit your digital signature (if you have already registered). Once it is uploaded and submission has been made, the procedure for filing ITR is complete. No further verification or submission of acknowledgement is required.
- If you haven’t uploaded the digital signature then you have to verify your return by AADHAR OTP or by sending a signed print out of ITR Verification to CPC, Bengaluru within 120 days of filing. An acknowledgment will be sent once the return is successfully uploaded.
With this e-filing portal, everyone now can file Income Tax returns conveniently. The portal not only provides convenience but also creates transparency in governance and discourages tax thefts. The portal is totally safe and the information provided remains confidential with Government of India. Also, it has multi-step verification to protect privacy and maintain safety. Therefore, we should encourage the use of ‘e-filing portal’ rather than other methods to save our time as well as to enhance our economy.