A Step-by-Step Guide on How to File ITR Online, AY 2023-24

A Step-by-Step Guide on How to File ITR Online, AY 2023-24

A taxpayer can report his income, expenses, tax deductions, investments, taxes, and other information on an income tax return (ITR). Under many circumstances, filing an income tax return is required by the Income-tax Act, 1961. Even without the necessary income, there could be a number of other reasons to file an income tax return, such as carrying over losses, requesting a refund, applying for a VISA, getting a bank loan, getting term insurance, etc. The act of electronically filing an income tax return (ITR) over the Internet is known as "e-filing." A number of features that make the process of filing taxes easier can be accessed by individuals by utilising their PAN-based login credentials to visit the new income tax portal. In this article, we will explain the process of filing income tax online in detail. 

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Table of content

Filing your Income Tax Return (ITR) in India doesn't have to be a stressful ordeal. Follow these steps and breathe easy

Documents for Filing Income Tax Return Online

Wrapping Up

Most Asked Question

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Filing your Income Tax Return (ITR) in India doesn't have to be a stressful ordeal. Follow these steps and breathe easy:

Step 1: Gather Your Documents

• Form 16: Download it from your employer's online portal or request a physical copy. (Link: https://www.ica.gov.sg/docs/default-source/ica/forms/form-16_application-for-stp_fss_kid_pei.pdf)

  
  

• Interest Certificates: Collect certificates from banks and financial institutions for any interest income earned.

  
  

• Investment Statements: Gather statements for capital gains/losses from mutual funds, stocks, or property sales.

  
  

• Deduction Proofs: Keep receipts, bills, and documents for deductions (medical expenses, education, home loan interest) you want to claim. (Link: https://www.incometax.gov.in/iec/foportal/)

  
  

• PAN Card: Your PAN is mandatory for filing ITR. (Link: https://www.onlineservices.nsdl.com/paam/requestAndDownloadEPAN.html)

Step 2: Choose the Right ITR Form

There are different forms for different income types and taxpayers. Here's a quick guide:

• ITR-1 (Sahaj): For resident individuals with income from salary, interest, and house property below ₹50 lakhs. (Link: https://incometaxindia.gov.in/pages/downloads/income-tax-return.aspx)

  
  

• ITR-2: For resident individuals with income from salary, interest, house property, capital gains, and business income below ₹50 lakhs.

  
  

• ITR-3: For resident individuals and Hindu Undivided Families (HUFs) with income from various sources exceeding ₹50 lakhs. (Link: https://incometaxindia.gov.in/forms/income-tax%20rules/2021/itr3_english.pdf)

  
  

Unsure which form to choose? The Income Tax Department website provides detailed information and a handy tool to help you select the right one.

Step 3: Register or Log in to the e-filing Portal

• Visit the e-filing portal: https://www.incometax.gov.in/iec/foportal/

  
  

• New users: Register with your PAN and basic information.

  
  

• Returning users: Log in with your existing credentials.

Step 4: Fill Out Your ITR Form

• Choose the appropriate form and start filling it out.

  
  

• The portal pre-fills information based on your Form 16 and other sources, making it easier.

  
  

• Don't forget to include gross salary, encompassing all sources of income like rent, interest, etc.

  
  

• Explore eligible tax-saving deductions to minimise your tax liability.

Step 5: Review and Submit Your ITR

• Carefully review all details before submitting.

  
  

• Electronically verify your return using your Aadhaar card or bank OTP. (Link: https://www.incometax.gov.in/iec/foportal/help/e-filing-e-verify-your-return-faq)

  
  

Step 6: Pay Any Outstanding Tax

Settle any tax dues online through net banking, credit/debit card.

Step 7: Download and Save Your Acknowledgement

Download and save the receipt for your records.

Bonus Tip: Consider using an online income tax calculator for an easy estimate of your taxes based on your income. (Link: https://filemyreturns.taxbuddy.com/)

Documents for Filing Income Tax Return Online

The following documents are required for filing income tax return online:

• Aadhaar

• PAN

• Bank Statements

• Bank account information linked to PAN

• Form 16

• Interest certificates from banks

• Insurance (life and health) policy paid receipts

• Stock trading statements from the broker platform

• Donation receipts

• Aadhaar registered mobile number for e-verification

Wrapping Up

Although filing your income tax return may seem difficult, it is simpler if you follow these instructions. Don't forget to obtain all necessary documents before you begin. To accurately prepare, you can estimate your tax liability in advance with the help of an income tax calculator. You may efficiently file your ITR and save yourself worry at the last minute by being aware of the procedure and making use of the tools available.

FAQs:

Q1. What is income tax?

A direct tax on your income is called an income tax. It indicates that the government receives a percentage of your earnings. This sum is used by the government to fund infrastructure projects, subsidies for agriculture, health care, and education, among other things. The payer may be an individual, a HUF, or any taxpayer, based on their income and/or gains throughout the fiscal year. Regardless of its earning level, a firm must pay income tax. Periodically, the government enacts laws that specify the rate at which your income is taxed.

Q2 How to obtain a copy of your income tax return online?

1. Log in to incometaxindiaefiling.com using your credentials.

2. Click on "View Returns/Forms".

3. Click "Submit" after selecting "Income Tax Returns" and the pertinent assessment year.

4. A list of filed ITRs will appear. You can download an ITR-V acknowledgment number by choosing it. The ITR V PDF file will open, which can then get downloaded.

Q3 How can I fill out my ITR online by myself?

You can file your ITR by yourself without availing of financial advisors or Chartered Accountants (CA) services. First, you need to register yourself on the official portal of the Income Tax department. After successful registration, you can log in to the portal using your credentials and submit your ITR online. 

However, filing IT returns after consulting with tax professionals is advised, as it reduces the chances of filing incorrect returns.

Q4 Can we get ITR online?

Yes. You can file your IT return online via the official e-filing portal of the Income Tax Department. You can also download the ITR form online in Excel or Java utility format, fill it out, and upload it as a JSON file on the official portal to submit your return. Just ensure that you download the correct ITR form. 

Q5 How do I file my ITR for the first time?

Before filing an ITR for the first time, you must register on the Income Tax portal. After successful registration, follow these steps to ensure a seamless filing procedure: 

• Visit the official e-filing website and log in by using your credentials. 

• On the homepage, click on 'e-file'. After that, click on the 'File Income Tax Return' option. 

• Select the Assessment Year and click on 'Continue'. Select your mode of filing, taxpayer category, and ITR form. 

• When asked, input your bank account details. If you've already given them, make sure to pre-validate.

• Once redirected, check all the pre-filled information in your IT return. You need to make sure that all details are correct. You can make modifications wherever applicable. 

• Once you confirm the summary of your ITR, validate it and submit it. 

• Lastly, e-verify your IT return for successful filing. 

Q6 Is it easy to file ITR on your own?

The process to file ITR online is quick and hassle-free. The easy-to-understand interface of the portal makes it easy for taxpayers to select their preferred tax regime and file the IT return in a few easy steps. However, first-time taxpayers or businesses are advised to avail of the assistance of a chartered accountant (CA) for ITR filing. In addition to professional taxation services, a CA may help you legally save taxes. 

Q7 Can I file ITR directly?

Yes. File your Income Tax Return directly on the official e-filing portal of the Income Tax Department. Visit the new portal, log in with your user ID and password, go to 'e-File,' and click 'Income Tax Return' to complete your filing. Alternatively, you can seek assistance from a chartered accountant to file your return.

Q8 Can I file my ITR myself without CA?

Yes. It is not mandatory to file ITR by availing the services of a Chartered Accountant. You can file your ITR by yourself without the help of a CA by simply uploading Form 16 during the filing process. However, if you are self-employed, you must maintain a book of accounts, which a CA must audit. 

Q9 Why is it compulsory to file an ITR?

Yes. Filing an Income Tax Return (ITR) is a legal obligation in India for taxpayers whose income exceeds the tax exemption limit. So, suppose you are an individual or a business whose income exceeds the basic exemption limit before applying for any deductions or exemptions. In that case, you must file your ITR and pay taxes to avoid penalties. 

Q10 Can I pay income tax by UPI?

Yes. The new Income Tax Portal allows online payment of income tax via UPI. When prompted to pay your tax on the portal, select the "Payment Gateway" option. Select the "UPI" option and enter your UPI ID to pay your tax online. 

Q11. What was the last date to file the income tax return for 2023-24?

For the fiscal year 2023–2024 (AY 2024–25), July 31, 2024 was the deadline to file income tax returns (ITRs)  without incurring late fees. You have until December 31, 2024, to file a late return if you missed the deadline. On the other hand, there can be fines and interest associated with filing late.

Q12. Is it mandatory to attach documents while e-filing returns?

No, you are not obliged to upload or attach documents. However, it is advisable to keep them on hand. If you receive an assessment notice in the future, income tax authorities could question them about it.

Q13. What are the consequences of not e-verifying your IT return?

Within 30 days after filing the return, it must be e-verified or physically signed and sent to the CPC, Income Tax Department, Bengaluru. If this is not done, the return will be deemed invalid and will not be accepted as filed. The date of e-verification shall be regarded as the filing date if the return is confirmed after 30 days; if that date falls after the due date:

• There will be a late filing cost of Rs. 5000 or Rs. 1000.

• The return will be processed and the tax regime will be changed to the default regime. (For FY 2023–24, the return will be processed under the new tax regime (default regime) by denying the ineligible deductions and exemptions if the new tax regime was opted out.