Is income tax filing getting too complicated for you? You can override the complexities of income tax by e-filing the return. File your ITR online on the official income tax portal and enjoy the benefit of faster processing. ITR filing and getting tax refunds has never been so easy, quick, and reliable.
What is Income Tax?
Income tax is the most discussed term, especially around this time of the year. It is mandatory to pay the income tax if an individual’s income exceeds the basic exemption limit fixed by the government.
The term income tax refers to the amount a person has to pay for his income in a particular financial year. His tax liability is determined by how much he has earned and under which taxation slab his income falls, considering his savings, rebates, investments, etc.
Income tax return refers to the person’s annual record, tax paid/unpaid, and investments for the specific financial year. Submission of this financial record to the income tax department in a set format is known as filing the income tax return.
In short, income tax is the amount of direct tax on income paid by the taxpayer, and submission of its yearly record is the ‘income tax return.’
Even if a person has zero tax liabilities, filing of ITR is necessary because of the following reasons –
● Easy loan processing
● Swift VISA approval
● Quick issuing of credit cards
● Credibility with the Income Tax Department
The due date for filing of ITR may vary for individuals, corporates, and the taxpayers who fall under mandatory tax liability or not.
Now big question is which ITR need to be file? For that you need to review this information.
E-Filing of Income Tax Return
Before 2004, ITR was filed manually. The taxpayer had to visit the Income Tax Office to fill the relevant forms and submit evidence of his income and investments. Understandably, the manual filing of ITR was a cumbersome process and brought along many clerical and calculative errors.
From September 2004 onwards, the government has enabled e-filing of ITR through its digital portal. Needless to say, the facility of e-filing has revolutionized the financial process of filing ITR, making it easier and convenient.
Benefits of E-Filing of Income Tax Return
Income tax e-filing scores over manual filing in the following ways –
You can e-file your income tax returns from anywhere. First, you need to log in to the IT portal and file your return in a few clicks. Submission of application is followed by the e-verification message and also a confirmation email. The portal is easy to navigate, and even first-timers can fill all the details with ease-to-use web tools.
The e-filing portal has been designed to minimize errors in the application. The applicant can save the application form for perusal for editing or re-editing it several times before submission. Thus, there is no cumbersome process of correcting errors manually on paper forms or filling them multiple times.
Confidentiality of Financial Information
The e-filing portal offers complete transparency and secrecy. There is no scope for your fiscal information to be visible to third parties. While registering on the ITR e-portal, you would be choosing a unique username and a password known only to you. Until these personal login details are shared, the data will remain private.
Electronic filing of income tax has eliminated dire dependency on qualified accountants. The portal remains active round the clock, and users can file their returns anytime.
Unlike manual filing, an online ITR file involves no hassles of long queues, exploitation by agents, bribery, discrimination, or last-minute rush. Anyone can file for an online income tax return from anywhere, irrespective of their strata, financial status, location, or profession.
Online Record Maintenance
With e-filing comes freedom from retaining hard copies of ITR documents in bulky folders. All the records remain archived in the portal and can be accessed at any time.
They remain digitally organized year-wise. In case of any error or omission in the submission of income tax returns online, the complaint can be filed online along with proof of compliance. The status of queries or complaints can be easily checked on the portal.
Easier Tax Refunds
Earlier taxpayers had to stand in long queues for their tax refund. E-filing allows auto-transfer of the refund straightaway into the registered bank account within four to six weeks, along with an SMS alert on the registered mobile number. The process of the tax refund can also be tracked regularly.
Manual filing has become redundant with so many benefits in favor of e-filing of income tax returns. The objective behind creating this e-portal was to bring ease and convenience to the taxation procedure. Moreover, it has empowered a common man to file his return with honesty, thus fulfilling his duty towards the nation’s development.
Instead of worrying over finding a credible accountant for filing your income tax return, register over with our portal and give your time consuming work to us.
Frequently Asked Questions Related to Income Tax Return:
1. What is Form 16?
A. Form 16 is a certificate (issued under section 203 of the Income Tax deducted at source (TDS) by the employer and submitted by him/her to the Income Tax Department (IT Department). It has details of how much tax did the employer deduct and when was it submitted to the IT department.
2. Why Income Tax Return Filing is Important?
A. It helps to claim tax deductions. If you have made such tax-saving investments but have paid more income tax in the form of TDS, you can claim a refund for the same by filing tax returns.
3. What is the last date to file ITR?
A. The last date to file an income tax return (ITR) for the financial year 2020-21 has been extended till September 30, 2021.