Income Tax: Six Tips For Hassle-Free ITR Filing

Income tax return (ITR) filing is a challenging task for many people. The process can be daunting, particularly for taxpayers who are filing their return for the first time. While the difference between ITR forms, which tax regime (old/new) to opt for and which deductions you can avail can be confusing at first, there are some ways you can ease your stress.

By following a few simple tips while filing your income tax return, you can manage to complete the process in minutes. Here are some simple tips to ensure your ITR filing is smooth.

Gather all documents: Looking for a key document in the middle of filing your ITR can be extremely frustrating. Chances are, by the time you find the required documentation, you might have to log into the ITR portal again to continue your filing. The best way to avoid this is to keep all your documentation ready before starting the income tax return filing. 

Ensure you have the correct form: Talk to your colleagues or a financial expert to ensure that you are using the correct income tax form to file your return. If you are opting for the old tax regime, you will be able to get more deductions. If you choose the new regime, the number of tax deductions available will be lower. You can also check the official website of the Income Tax Department for more clarity on the matter.

Calculate your taxes and deductions: Check that you have entered all your investments and availed all possible deductions you can opt for under your chosen tax regime. If you are not using Form 16, make sure you have the requisite salary slips and bank documents to calculate your taxes.

Verify your Annual Information Statement, Form AS26: Taxpayers need to double-check their income statement and Form AS26 to ensure all financial details are correct. If the details do not match, your ITR can be rejected by the Income Tax Department.

Pre-validate your bank account: One step taxpayers sometimes forget to factor in is pre-validating their bank account details. This step can make it easier for them to get any tax returns. 

Verify your ITR: After you are done with the filing, you will see an option to verify your returns. If you leave the task for another day, it can delay the processing of your ITR. Failure to verify the return makes it invalid. It is best to complete the verification just after filing the tax return to ensure a smooth process.

By keeping in mind these easy tips, you can ensure your ITR filing goes smoothly.