In this article, you will get to know Things About Income Tax Filling in India.
Income tax is a proportion of your earnings that you must pay to the government directly. The money raised through this direct tax mechanism is utilized by the government to fund infrastructure improvements as well as pay central and state government personnel. The tax savings under section 80D are available to term insurance policyholders.
Furthermore, if the policyholder has a term insurance policy with health riders, the premiums for the health riders can be claimed under Section 80D. The income tax requirements and numerous relevant deductions are governed by the Income Tax Act of India, which was passed in 1961. However, since 1961, the law has been amended several times to take care of inflation and other socio-economic situations.
Here are 5 must-know Things About Income Tax Filling;
1. ITR can be filled after the missed due date
The most important Things About Income Tax Filling in India is ITR can be filled after the missed due date. Even if you’ve missed the deadline, you can still file your Income Tax Return. This is referred to as late filing. A belated return must be filed within one year of the assessment year’s end or before it, whichever comes first. It is important to remember that a late return will result in interest and penalties.
2. Tax Payers can get Tax Deductions
A tax payer should be aware of the tax deductions available for specific investments or expenses, this is important in Things About Income Tax Filling in India. Many tax deductions are available under sections 80C, 80D, and 80U, among others. The deductions possible in various investments/expenditures are defined in each area. It is a legal need to file taxes. To prevent any penalties, make sure you file your taxes on time. Keep tax filing at the top of your priority list and treat it as such.
You don’t want to waste time and money on unneeded procedures and fines. Make sure you’ve claimed all of the deductions you’re entitled to under various provisions of the Internal Revenue Code. For example,
a. Under Sec 80 C – For investments made like PF, PPF, NSC, school tuition fees of children, insurance premium, investments in specified mutual funds etc.
b. Under Sec 80 G – Donations made to charitable organizations
c. Housing deduction for interest on housing loan etc.
3. The Requirement for linking of Aadhar with PAN
Linking Aadhar card with pan Card is another Things About Income Tax Filling. Every assessee must link his or her PAN to his or her aadhar card number. Now, you may link your accounts by logging into the IRS website. This was done to guarantee that each assessee has just one PAN and one Aadhar card, hence reducing tax evasion. This would also facilitate the filing of income tax returns, since there will be no need to send an ITR acknowledgement copy to CPC Bangalore after connection, saving time and money.
Finally, it goes without saying that it is the social responsibility of every responsible Indian to submit their tax returns on time, since failing to do so would result in a lot of hassle in terms of interest, penalties, and in some circumstances, even prosecution.
4. File by Due Date & In the Right Tax Jurisdiction
Following the completion of the tax return, the following step is to file it on time. Individuals with solely wage and interest income have until July 31, 2009 to file their tax returns for the fiscal year 2008-09. Either online or on paper, the return can be filed. Even the electronically submitted return must be filed in paper form within a certain time frame in a few situations. “It is also necessary to verify that the return is submitted with the appropriate tax officer (tax jurisdiction).
The individual’s address is used to ascertain this. In the case of salaried employees, the jurisdiction is established by the employer’s details “Vasal informs. The acknowledgment, which is stamped and signed by the tax officer and a copy of which is returned to the individual, is proof of submitting the return. One thing to keep in mind is that, whether filing electronically or on paper, taxpayers no longer need to submit any documents or attachments to their tax returns.
5. Income Tax can be filed electronically
E-filing is the process of electronically filing your tax returns. This approach has grown in popularity over the last several years since it allows you to file your ITR from the convenience of your own home or business. To file your Income tax Return, you do not need to go to the Income Tax Office. The greatest part is that it’s absolutely free, and you can do it yourself (if you know what you’re doing)!
E-filing may be divided into three categories: Using a DSC for e-filing (Digital Signature Certificate). E-filing without the need of a DSC. An ITR V form is created in this scenario, which must be printed, signed, and delivered to the CPC (Bangalore) within 120 days after submitting the tax return. Using an E-return Intermediary to file electronically (ERI). This may be done either with or without DSC.