Income Tax Return E-Filing

Taxation
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December 15, 2020

An Income tax return (ITR) is used to furnish the income and tax thereof for a person during the financial year and needs to be filed the ITR with the Income-tax department. The tax liability of a taxpayer is estimated based on his or her income. Tax returns have to be filed by an individual or a business before a specified date. It is necessary to file ITR online for all the registered taxpayers. Filing an ITR for the first- time can is confusing as it involves a lot of documents related to a taxpayer’s finances. The government gives four months to compile all the documents.

The Income-tax department had recently extended the due date for filing the ITR till 31^st December’ 2020 for the financial year 2019-20, to simplify the tax-filing process for assesses, amid the coronavirus crisis.

Details required for filing ITR

Login and enter required documents
Your personal information
Your salary details
Points for claiming a deduction
Details of taxes paid
E-file ITR
E-verify

List of documents required to file ITR
Form-16
For all salaried individuals, Form-16 is an essential document for filing the ITR. The employer issues this document to its employees. It is a binding document, and every employer is liable to give Form-16 to all its employees from whom income tax has reduced from their earnings. It is a tax reduced at source TDS certificate and carries the attribute of the compensation paid to the employees and their TDS.

Form-26AS
The Income-tax department generates an annual consolidated tax statement which is known as ‘Form-26AS’. Using PAN, all taxpayers can easily approach it from the income-tax database. It contains the aggregate of the TDS of the salaried class and taxes paid during the financial year. Improved “Form-26AS were introduced by the government last month, i.e. November’2020. It carries detail in various categories of an individual’s financial transactions specified in the Statement of financial transactions (SFTs).

Certificates for interest income
Apart from the income from salary, an individual gets income from various interest investments such as savings account deposits and fixed deposits from banks and post office. These financial institutions provide bank statements/interest certificate to their depositors for the same.

Tax saving investments
Individuals who could not yield their tax-saving investments to their employers during the declared period in the preceding financial year will now have to submit the proof of the same to the Income-tax department for claiming tax deductions. These include receipt of LIC premium paid, receipt of medical insurance, PPF passbook, 5-year FD receipts, mutual funds investment, home loan repayment certificate, tuition fee paid receipt etc.

Medical insurance
Under section-80D payment of health insurance premium, you can assert up to Rs. 25,000. These insurance policies could be for yourself, your spouse or your children. If the case of senior citizens, the limit is Rs. 50,000.

Other investments
Interest paid on housing loan (for a self-occupied house), education loan interest payment.

Important due dates for filing ITR

The due date of enhancing the income tax returns for taxpayers whose accounts required to be audited has been extended to 31^st January’ 2020.
The due date for enhancing various audit reports under the Act, including the tax audit reports and report of international/specified domestic transaction is extended to 31^st December’2020.
The due date for small taxpayers or income tax assesses with tax liability up to Rs. 1 lakh, is extended to 31^st January’ 2021.

At AJSH, we assist our clients in dealing with various income tax compliances, including income tax assessments, TDS returns, tax advisory and other related services by providing them adequate support and guidance from our end. If you have any questions or wish to know more about the Income-tax Return Filings, kindly contact us.