Why wait for July end Deadline?
File your IT Returns Online Now
The steps to follow and what you should remember while filing your income-tax returns online
The deadline for tax filing is just
weeks away. And filing returns online seems to be the way to go this year for
individuals who earn more than Rs.10 lakh. (EVEN OTHERWISE FOR THOSE PC SAVVY
THIS IS THE BEST WAY)
Now these individuals don’t have the option of filing tax returns offline
through a tax consultant or chartered accountant anymore. The Central Board of
Direct Taxes (CBDT) has issued a notification in March making it mandatory for
individuals with annual income of more than Rs.10 lakh to file their returns
online from the current financial year. The new notification is applicable to individuals
and Hindu Undivided Family (HUF) taxpayers, too.
“It is now mandatory for individuals with total income above Rs.10 lakh to file their personal tax returns online through the income tax website,” says Vineet Agarwal, director, KPMG. “Further, resident individuals with assets abroad (including authority to sign a bank account held abroad) are compulsorily required to file their return electronically for AY 2012-13 and for subsequent assessment years as well,” says Vaibhav Sankla, director-business development and tax training, H&R Block India.
Though many individuals may be a bit apprehensive about filing returns online because of security and connectivity issues, online tax filing could actually be a blessing. It means you have the option of filing the returns on any day and from any location. Tax payers have an option to file their tax returns through incometaxindiaefiling.gov.in, the tax portal run by the Income Tax Department. You don’t have to pay anything to file returns through this site. There are also several private players who charge anywhere between Rs. 180 to Rs. 1,500 for filing returns online.
“It is now mandatory for individuals with total income above Rs.10 lakh to file their personal tax returns online through the income tax website,” says Vineet Agarwal, director, KPMG. “Further, resident individuals with assets abroad (including authority to sign a bank account held abroad) are compulsorily required to file their return electronically for AY 2012-13 and for subsequent assessment years as well,” says Vaibhav Sankla, director-business development and tax training, H&R Block India.
Though many individuals may be a bit apprehensive about filing returns online because of security and connectivity issues, online tax filing could actually be a blessing. It means you have the option of filing the returns on any day and from any location. Tax payers have an option to file their tax returns through incometaxindiaefiling.gov.in, the tax portal run by the Income Tax Department. You don’t have to pay anything to file returns through this site. There are also several private players who charge anywhere between Rs. 180 to Rs. 1,500 for filing returns online.
DOCUMENT CHECK
A basic document check before starting the filing process could be helpful. “For salaried individuals, Form 16 is a crucial document. Secondly, if you have taken any housing loan, you should have the bank statement which mentions the exact amount of interest paid in a financial year,” says Saakar S Yadav, managing director, myitreturn.com, a tax portal. “If you are filing for HRA, you would need the rent receipts,” he adds.
Self-employed individuals need a profit or loss statement in case they run a strategic business unit in which they remunerate themselves through a profit sharing model. “In case self-employed individuals follow a salary model in their own company, they require Form 16 A to file their returns online,” says Saakar S Yadav.
STEPS FOR E-FILING
First, register your personal details to choose a login ID. At this stage the portal will take you to the next stage to complete the registration process. Second, enter the income particulars in ITR software tool, which would generate the ITR form in electronic format (XML file). You have to upload the Form 16, enter other details on TDS, housing loan if any, particulars of tax investments, and so on. Three, as you finish the process, a copy of your XML file will be sent to your email address. It will tell you if you are eligible for a tax refund or you are liable to pay taxes.
Four, if you are using a private portal, you will be directed to the payment gateway to pay for the e-filing. Five, an acknowledgement, called ITR Form-V, would be generated and mailed to your email ID. You have to download the form and mail it to the Central Processing Unit in Bangalore within 120 days of e-filing.
Last, the IT Department will send you the final acknowledgement which is the final step for e-tax filing.
POINTS TO REMEMBER
Don’t wait till the last week of July to e-file your return. “The tax department’s e-filing website becomes almost inaccessible (due to server overload) during the last few days of July, forcing many to file their returns offline,” says Vaibhav Sankla. Also, if you are using the tax department’s template, make sure you save the incompletely filled file on your computer’s disk.
In case you’re using private portals, make sure you have
saved your changes before you log out. If you are using a private portal for
tax filing, make sure that the portal is licensed e-Return Intermediary (ERI),
which is authorised by the Income Tax Department. You will have access to this
information on the website of the portal.
Enter details on housing loan, HRA, tuition fees for children, medical insurance, bank interest income and capital gains to ensure you file the accurate return. Even if you have missed out on filing these details in your investment declaration submitted to the employer, ensure you fill these details at the time of online filing. You will be eligible for a tax refund at a later stage.
Enter details on housing loan, HRA, tuition fees for children, medical insurance, bank interest income and capital gains to ensure you file the accurate return. Even if you have missed out on filing these details in your investment declaration submitted to the employer, ensure you fill these details at the time of online filing. You will be eligible for a tax refund at a later stage.
Lastly, beware of
emails that lands on your inbox with a link to the Income Tax Office website.
Don’t click on the link before double checking the source of the mail.
“These should be carefully evaluated as they may be intended to steal your sensitive personal information like credit card details/bank details,” cautions Vineet Agarwal of KPMG.
“These should be carefully evaluated as they may be intended to steal your sensitive personal information like credit card details/bank details,” cautions Vineet Agarwal of KPMG.
Vidyalaxmi ET120626
No comments:
Post a Comment