With the quintessential changes brought about by the digital boom these days, life has become comfortable and facilitated by convenience. Everything can be done with a single click, from utility bills to shopping, from dining to travel bookings. This era of digital transformation has also revolutionized tax filing, making it faster, more convenient and efficient.
After these convenient benefits, most taxpayers opt to file their ITR returns electronically. However, as easy as it may seem, attention should always be paid to every detail while e-filing ITR for a hassle-free experience. Since tax regimes, deductions and benefits change every year, you should always consider seeking help from a tax professional.
“Filing an income tax return is not a piece of cake for everyone. For many people who are not familiar with tax policy and schemes, it is a very complex and tedious process and that is why they seek help from professionals to file their tax return,” says Vikas Dahiya, Director, All India ITR.
It is essential to consider some key points for error-free electronic filing of tax returns, such as:
Select the correct ITR form: With different ITR forms for different taxable persons such as employees, self-employed, etc., it is of great importance to select the correct ITR form.
Accurate personal information: Any error in personal details like PAN number, name and address may result in rejection or delay in e-filing. Therefore, it is vitally important to fill in the details carefully and verify all entries and details.
Correct bank account details: The applicant must re-verify all banking details to be eligible for any refund that may be directed to their bank account.
Transparent Income Reports: Contrary to normal thinking, one must report their income through various sources, including capital gains, rent, and even gifts.
Exemptions and deductions: It is necessary to know all the deductions and sections and have all the supporting documents at hand when submitting the ITR.
ITR Verification: After filing the ITR, make sure to verify it. This can be easily done through electronic verification (EVC) or you can send a signed physical copy of your return to the CPC, Bengaluru.
Some Quicker Tips to Ease ITR E-Filing
- To avoid penalties and late fees, file your return before the due date.
- When using a digital signature, make sure it is valid and applied correctly.
- To avoid notices from the Tax Department, make sure you reconcile income and taxes with Form 16, Form 16A and Form 26AS.
- Report your foreign income and assets (if any) to avoid severe penalties.
- Check the pre-filled data with your actual records.
- Stay informed about updates and changes in tax laws or filing procedure.
- Consult a professional if you have complex tax situations.
