10 Point Checklist while Filing Your Income Tax Returns

Income Tax Returns

1. Select the correct income tax returns form

Call it a hazard of tax filing – but there are simply too many forms and often first time users are left grappling with identifying the correct one. For most individual tax payers, the applicable form is ITR 1 (Sahaj). In case you need to be sure, confirm the form details with your chartered account. Or visit the e-filing website, which is helpful.

2. Timely filing

The government mandates that individuals who earn a specified amount of annual income must file a income tax returns within a pre-determined due date. So timely filing of returns is important and will help avoid interest and penalty.

3. Accurate entry of details

Make sure you enter details such as name, address, date of birth, father’s name, details of bank account, the PAN/GIR details, credit card and other relevant details as accurately as possible.

4. Disclose exempt income

Individuals are required to disclose all exempt income while filing returns even though no tax is required to be paid on the same – for instance PPF interest, fixed deposit interest, dividends, among other details.

5. Claim deductions

This is fairly obviously so don’t miss it –claim all permissible deductions and fill all relevant information at the time of filing return. If you happen to miss out on any important information it can result in a higher tax liability, a needless charge that can be avoided by carefully browsing through all details before submission.

6. Claim loss return

In case of a loss return, the same must be claimed and the return filed within the due date as prescribed by the Income Tax Act. A delay in filing means the loss under the specified head cannot be carried forward.

7. Go for online filing

Assessees should choose online filing of income tax return over manual filing to avail all related benefits of online filing provided by the Income Tax Department.

8. ITR acknowledgement

Assessees may file income tax returns (ITR)with their digital signatures. If they don’t have one, they can opt to receive an acknowledgement form – ITR-Verification which must be signed physically and forwarded to the Income Tax Department.

9. Update PAN data at all times

The assesse must furnish details of latest PAN or changes or correction in PAN before filing return.

10. Maintenance of documents as proof

The assesse must preserve proof of having filed a return. This is usually in the shape of an ITR acknowledgement that is generated at the time of filing return and is even emailed to the registered email id.

Curated from 10 Point Checklist while Filing Your Income Tax Returns

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