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ITR News: The process of filing Income Tax Return (ITR) for the financial year 2023-24 has started. Experts advise that you should make some preparations before filing ITR. As such, reconcile all your transactions and tax deductions with Form-16, AIS and Form 26AS. Salaried employees will get Form-16 by this month. By taking some precautions, taxpayers can avoid the notice of Income Tax Department.
do this work first
1. If you have not yet linked PAN and Aadhaar, then complete this work first.
2. If you want to get full refund on time, check your mobile and PAN number with your bank. If there is any error please write to the bank for KY.
avoid these mistakes
1. Wrong personal information: While filling the ITR form, taxpayers should ensure that all the personal information like name, PAN, address and bank account details are filled correctly in the form.
2. Choosing the wrong ITR form: It is important for a taxpayer to choose the right ITR form based on the source of income and type of income. Filling out the wrong form can lead to problems and fines.
3. Not giving complete information about income: Information about income from all sources including salary, interest income, rental income, capital gains will have to be given in ITR. Hiding this may result in a fine for tax evasion.
4. Ignoring TDS: ITR should include details of TDS from Form 16 and 16-A issued by the employer or deductor. Failure to provide correct TDS information may result in penalty.
5. Incomplete information on investments and deductions: Correctly declare all investments, expenses and deductions to claim eligible tax benefits under Section 80C, 80D, 80G of the Income Tax Act. Failure to do so may increase tax liability.
6. Hiding Interest Income: The taxpayer should give correct information about interest earned from savings account, FD or other sources. Disclosure of interest income is mandatory.
7. Mismatch of Form-26AS: All details filled in ITR should match with Annual Information Statement (AIS) and Form 26AS. This can be achieved by downloading the AIS app. It contains details of your income tax information.
8. Not filing ITR on time: The last date for filing ITR may vary depending on your tax bracket, so check it properly. Late filing of ITR may result in penalty.
9. Not verifying ITR: After filing ITR online make sure to verify it electronically (through OTP or net banking). Without this the process will not be completed. ITR can also be verified by sending it to the department's address.
10. Not maintaining necessary records: Maintain records of all documents, receipts and evidence related to income, investments and tax deductions. These may be required for verification or in case of any tax investigation in future.