Income Tax Season: Avoid these 7 mistakes when filing your ITR, otherwise refund will stuck and you may face penalty

Filing income tax returns varies for different categories of taxpayers, including employees, professionals, and business owners. The Income Tax Department issues seven types of forms for different categories. Choosing the correct form is crucial for a successful filing.

The Income Tax Department has noticed that people often misuse the House Rent Allowance (HRA) by submitting fake rent receipts. Similarly, some create fake documents to claim various deductions. Such practices can lead to significant penalties and legal action.

Ensure that all personal details, such as your name, address, date of birth, email ID, mobile number, and bank account number, are accurately filled in the specified columns. Incorrect information can lead to issues with your return.

It’s important to pre-validate your bank account to ensure a smooth refund process. If your account is not validated, your refund might be delayed, and you could face additional complications.

Any discrepancies in the Tax Deducted at Source (TDS) figures can lead to your return being rejected. Ensure that the TDS figures in your Form 26AS match those in your ITR form. Verify these figures with your Form 26AS and Form 16 to avoid any issues.

All sources of income must be reported, not just your salary as shown in Form 16. Hiding additional income can result in a notice from the Income Tax Department, legal action, and fines.

After filing your ITR, you must e-verify it within 30 days. Previously, the limit was 120 days, but it was reduced starting August 1, 2022. Forgetting to e-verify your ITR can lead to a delay in receiving your refund.