Can You File ITR Without a Digital Signature?
- PRITI SIRDESHMUKH
- 3 days ago
- 9 min read
Filing Income Tax Returns (ITR) in India no longer always requires a Digital Signature Certificate (DSC). Most individual taxpayers with simple income sources—like salary, pension, or interest—can file their returns online and e-verify using Aadhaar OTP, net banking, or other digital methods. However, certain taxpayer categories such as companies, LLPs, and those subject to tax audits are still mandated to use a DSC. Understanding these distinctions is crucial to ensure your return is valid and processed smoothly.
Table of Contents
Understanding Digital Signatures in ITR Filing
A Digital Signature Certificate (DSC) is an electronic form of signature that validates the identity of a taxpayer while filing income tax returns online. It serves as a secure authentication tool issued by government-recognized certifying authorities. A DSC ensures that the information in the return remains confidential and tamper-proof. It is primarily used by companies, LLPs, and individuals who are legally required to authenticate returns digitally. DSCs are based on encryption technology, making them safer and more reliable than manual signatures in confirming the authenticity of online filings.
When Can You File ITR Without a Digital Signature?
Individual taxpayers and salaried employees not covered under audit provisions can file their income tax returns without using a DSC. In such cases, the return can be verified electronically through Aadhaar OTP, net banking, or bank account validation. Alternatively, they can send a signed physical copy of the ITR-V acknowledgment to the Centralized Processing Centre (CPC) in Bengaluru within 120 days of filing. This option provides flexibility for those who do not hold a DSC, especially first-time filers or small taxpayers.
When Is a Digital Signature Mandatory for ITR Filing?
A Digital Signature Certificate (DSC) serves as an electronic form of authentication used to verify the identity of the taxpayer during online filing of income tax returns. It functions like a digital version of a handwritten signature, offering authenticity and data integrity for electronic documents. The use of a DSC ensures that the return is filed by the genuine taxpayer and that the information remains secure throughout the filing process.
As per Indian income tax laws, using a DSC is mandatory for specific categories of taxpayers. All companies and Limited Liability Partnerships (LLPs) must compulsorily file their returns using a valid DSC, regardless of their income level or turnover. This requirement ensures compliance with the provisions of the Information Technology Act and enhances security during electronic verification.
In addition to companies and LLPs, individuals and professionals whose accounts are subject to audit under Section 44AB of the Income Tax Act must also file their ITRs using a digital signature. Section 44AB mandates audits for those exceeding specified turnover or income thresholds—₹1 crore for business income or ₹50 lakh for professional income. Since audit cases involve larger transactions and higher compliance risks, the use of a DSC is required to maintain accountability and prevent fraudulent filings.
A DSC is also mandatory when filing income tax returns in specific forms such as ITR-3, ITR-5, ITR-6, and ITR-7. These forms are typically used by individuals and entities with complex income structures, businesses, trusts, or institutions. Using a Class 2 or Class 3 Digital Signature Certificate provides a higher level of security through encryption and digital validation.
For other taxpayers, such as salaried individuals or small business owners filing ITR-1 or ITR-4, the use of a DSC is optional. They can instead verify their returns electronically using Aadhaar OTP, EVC (Electronic Verification Code), or by sending a physical copy of the ITR-V acknowledgment to the Centralized Processing Centre (CPC) in Bengaluru.
Overall, the digital signature requirement ensures a secure and tamper-proof filing process. It helps maintain the authenticity of returns, reduces the risk of impersonation, and supports India’s broader push toward paperless and digital compliance systems.
Filing ITR Without a Digital Signature: e-Verification and ITR-V Submission
If you are not mandated to use a DSC, you can complete your ITR filing through e-verification. After submitting the return, you will receive an acknowledgment (ITR-V) on your registered email. You can verify it using Aadhaar-based OTP, net banking login, or bank account validation. For taxpayers unable to complete e-verification, the alternative is to print and sign the ITR-V form and send it to the CPC within 120 days. The return is processed only after verification, so completing this step is essential to validate your filing.
How to File ITR Without DSC Using TaxBuddy
Filing an Income Tax Return (ITR) without a Digital Signature Certificate (DSC) has become a simple and seamless process with TaxBuddy. The platform is designed to cater to individual taxpayers, salaried employees, and professionals who do not require audited accounts, providing a fully online filing experience without the need for physical signatures or complex setups.
TaxBuddy streamlines the entire process, starting from uploading your Form 16, AIS, or financial data. Once the information is uploaded, the system automatically analyzes your income, computes eligible deductions, and generates the appropriate ITR form for you. Its AI-powered engine cross-verifies data from multiple sources like Form 26AS and AIS to ensure accuracy and prevent mismatches that may lead to notices or delays.
After the return is prepared, TaxBuddy guides you through the e-filing and verification steps. Since DSC is not mandatory for most individual taxpayers, you can complete the verification through alternative methods approved by the Income Tax Department. These include Aadhaar-based OTP verification, net banking, bank account-based validation, or demat account verification. Each of these methods provides a secure and instant way to validate your return without requiring any physical documentation or USB tokens.
TaxBuddy’s intuitive design ensures that even first-time filers can complete their returns confidently. Every step is explained clearly, and the platform automatically flags potential errors or missing information before submission. In addition, TaxBuddy offers both self-filing and expert-assisted options. Those who prefer personal guidance can connect with tax professionals who review the return before final submission, ensuring compliance with the latest Income Tax rules.
By using TaxBuddy, taxpayers save time and effort while minimizing the chances of rejection or errors during filing. Its user-friendly interface, automation features, and reliable e-verification options make it a preferred choice for those who want to file ITRs quickly without the need for a DSC.
Future of e-Signatures in ITR Filing
The evolution of e-signatures represents one of the most significant technological advancements in India’s tax filing ecosystem. As digital transformation accelerates across government systems, the Income Tax Department is gradually phasing out the need for physical signatures and manual verification processes. Instead, electronic signatures, authenticated through Aadhaar, PAN, and secure one-time passwords (OTPs), are emerging as the preferred mode of verification for filing and validating income tax returns.
E-signatures carry the same legal validity as traditional signatures under the Information Technology Act, 2000, ensuring both authenticity and security. They eliminate the need for printing, scanning, or couriering physical documents, allowing taxpayers to complete the entire filing process digitally. For salaried individuals, freelancers, and business owners alike, this means faster filing, reduced errors, and instant acknowledgment from the tax department.
Another major advantage of e-signatures is their accessibility. Unlike Digital Signature Certificates (DSCs), which require procurement, installation, and renewal, e-signatures can be generated within seconds using Aadhaar-based OTP verification. This makes them cost-effective and user-friendly, particularly for individual taxpayers and small businesses who may not have the technical resources to manage DSCs.
The growing integration of e-signatures with platforms like TaxBuddy marks the next step in India’s shift toward fully digital tax compliance. These platforms combine e-signature functionality with real-time data validation, ensuring that users can authenticate their returns securely without manual intervention. With each new update to the e-filing system, the process of income tax return submission is becoming more seamless, efficient, and paperless.
Looking ahead, e-signatures are expected to play a pivotal role in achieving the government’s vision of a completely digital tax ecosystem. As regulatory frameworks evolve, the emphasis will be on simplifying user experience while maintaining data security and compliance. The future of ITR filing in India is set to be fully automated, where e-signatures serve as the bridge between taxpayer convenience and robust verification, ensuring an instant, secure, and environmentally sustainable filing experience.
Conclusion
A digital signature adds security to online ITR filing but is not mandatory for all taxpayers. Individual and salaried taxpayers can file and verify their returns using simple e-verification options like Aadhaar OTP or net banking. Companies, LLPs, and audited taxpayers, however, must use DSC for authentication. Platforms like TaxBuddy make this process seamless by supporting both DSC and non-DSC verification methods.
For anyone looking for assistance in tax filing, it is highly recommended to download the TaxBuddy mobile app for a simplified, secure, and hassle-free experience.
FAQs
Q1. What is a Digital Signature Certificate (DSC) in ITR filing?
A Digital Signature Certificate (DSC) is an encrypted digital key used to verify the identity of a taxpayer during online ITR filing. It acts as an electronic signature that confirms the authenticity of the return and ensures that the data submitted cannot be altered or tampered with after submission. A DSC provides secure encryption and integrity, making it a crucial tool for authenticated e-filing, especially for organizations and individuals whose accounts are subject to audit.
Q2. Who needs to file ITR with a DSC?
Filing with a DSC is mandatory for certain categories of taxpayers. These include companies, Limited Liability Partnerships (LLPs), and individuals or professionals whose accounts are audited under Section 44AB of the Income Tax Act. Taxpayers filing forms such as ITR-3, ITR-4, or ITR-6 for businesses are also typically required to use a DSC. This requirement ensures authenticity and minimizes the risk of fraudulent submissions.
Q3. Can salaried individuals file without a digital signature?
Yes. Salaried individuals who are not subject to tax audit can easily file their ITR without a DSC. They can complete the verification process through Aadhaar-based OTP, net banking, or pre-validated bank account methods. These options serve as simpler, faster, and cost-free alternatives to DSC verification while ensuring full compliance with the Income Tax Department’s guidelines.
Q4. What is e-verification in ITR filing?
E-verification is the process of electronically confirming that an income tax return has been filed by the rightful taxpayer. It eliminates the need to send physical copies of the ITR-V to the Central Processing Centre (CPC) in Bengaluru. Taxpayers can complete e-verification using Aadhaar OTP, net banking, Demat account, or a pre-validated bank account. Once verified, the return is officially accepted for processing.
Q5. How long do I have to verify my ITR after filing without DSC?
If an ITR is filed without a DSC, it must be verified within 120 days of submission. This can be done through e-verification methods or by sending a signed physical copy of the ITR-V acknowledgment to the CPC, Bengaluru. Failure to verify within this period results in the return being treated as invalid, and the taxpayer must refile it.
Q6. What happens if I don’t verify my return?
If an income tax return remains unverified after the 120-day period, it will not be processed by the Income Tax Department. This can lead to delays in refunds or the need to refile the return altogether. Moreover, such lapses may affect your compliance record and can result in penalties if the department deems the non-verification as a non-filing event.
Q7. Can I use Aadhaar-based e-signature instead of DSC?
Yes, Aadhaar-based e-signature is a valid and widely accepted method for verifying ITRs. It allows taxpayers to authenticate their return using a one-time password (OTP) sent to their Aadhaar-linked mobile number. This method is free, legally recognized, and particularly convenient for individuals who don’t need to use a DSC for filing.
Q8. Is a digital signature necessary for partnership firms?
A partnership firm must use a DSC if its accounts are audited under Section 44AB of the Income Tax Act. If the firm’s accounts are not subject to audit, it can choose to e-verify its return through Aadhaar OTP or net banking. However, since most firms with business income often exceed the audit threshold, DSC filing is a common requirement.
Q9. Can I use one DSC for multiple companies or entities?
No, each company or entity must have its own unique Digital Signature Certificate. A DSC is linked to a specific Permanent Account Number (PAN) and registered identity, making it non-transferable. Attempting to use one DSC for multiple entities violates compliance rules and may lead to rejection of the return.
Q10. How do I obtain a Digital Signature Certificate?
A DSC can be obtained through government-approved certifying authorities such as eMudhra, Sify, NSDL, or NIC. The application process requires submitting identity proof, address proof, PAN, and Aadhaar details, followed by a verification step. Once approved, the DSC is issued in USB token format for secure use in electronic filings.
Q11. What are the costs associated with obtaining a DSC?
The cost of a DSC varies based on its validity and issuing authority. Typically, it ranges between ₹500 and ₹2,000 for one or two years of validity. The cost also depends on whether it’s a Class 2 or Class 3 DSC—Class 3 being mandatory for e-filing by businesses, as it provides a higher level of security and encryption.
Q12. How does TaxBuddy help with filing without DSC?
TaxBuddy simplifies the ITR filing process by identifying whether a DSC is required for your filing type. If not needed, it offers instant e-verification options through Aadhaar OTP, net banking, or bank validation. Its intelligent system ensures all compliance requirements are met automatically, and expert-assisted plans guide taxpayers in completing verification securely. This eliminates the need for manual steps, making the filing experience quick, accurate, and stress-free.
