Filing Income Tax Return? Precautions you must take while filing ITR - Check all details here

The process of filing the Income Tax return has become more convenient now. The user can file the Income Tax Return (ITR) in two ways online and offline.   

The Finance Ministry had extended the date of filing income tax returns for the Assessment Year 2021-22 by two months. Earlier, it was 31 July 2021, but now one can file till 30 September 2021.

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The followings are the important precautions that one should be kept in mind while filing the return of income: 

1)  The first and foremost precaution is to file the return of income on or before the due date. Taxpayers should avoid the practice of filing belated returns. Following are the consequences of delay in filing the return of income/ Loss (other than the house property loss): 

a. Losses cannot be carried forward. 

b. Levy of interest under section 234A. 

c. Late filing fees under section 234F is levied for return filed after the due date. The late filing fee of Rs. 5,000 shall be payable if return furnished after the due date. However, the amount of late filing fees to be paid shall be Rs. 1,000, if total income does not exceed Rs. 5 Lakh. 

d. Exemptions under section 10A, section 10B, are not available. 

e. Deduction under 80-IA, 80-IAB, 80-IB, 80-IC , 80-ID and 80-IE, are not available. 

f. Deduction under 80IAC, 80IBA, 80JJA, 80JJAA, 80LA, 80P, 80PA, 80QQB and 80RRB is not available. (From A.Y 2018-19) 

2) Taxpayer should download Form 26AS and should confirm actual TDS/TCS/Tax paid. If any discrepancy is observed then suitable action should be taken to reconcile it. 

3) Compile and carefully study the documents to be used while filing the return of income like bank statement/passbook, interest certificate, investment proofs for which deductions are to be claimed, books of account and balance sheet and P&L A/c (if applicable), etc. 

4) No documents are to be attached along with the return of income. The taxpayer should identify the correct return form applicable in his case. Carefully provide all the information in the return form. Confirm the calculation of total income, deductions (if any), interest (if any), tax liability/refund, etc. 

5) Ensure that other details like PAN, address, e-mail address, bank account details, etc., are correct. 

6) After filling all the details in the return of income and after confirmation of all the details, one can proceed with filing the return of income. In case the return is filed electronically without digital signature and without electronic verification code do not forget to post the acknowledgment of filing the return of income at CPC Bangalore within 120 days of filing return of income. 

7) For details on e-filing please log on to https://www.incometax.gov.in