Many taxpayers find themselves in a hurry to finish their files as the assessment year (AY) 2024–25 income tax return (ITR) deadline draws near. There are now more than 5 crore ITRs submitted. Income tax experts encourage taxpayers to submit their ITR immediately rather than waiting for a deadline extension. They also provide some last-minute advice to assist taxpayers in efficiently and properly filing their ITRs.
In addition, the income tax agency encouraged individuals to complete their income tax forms as soon as possible in a post on July 26. July 31 is the deadline for AY 2024–25 ITR submissions.
The income tax department said in the post that over 5 crore ITRs for AY 2024–25 had already been submitted as of July 26 this year, compared to July 27 last year. “We urge all those who haven’t filed ITR for AY 2024–25, to file their ITR at the earliest to avoid last minute rush,” the agency added.
1. Compile all required paperwork
“Time is running out, taxpayers must keep readying their documents before starting to file ITR,” said an income tax specialist. Form 16 from your employer, interest certificates from post offices and banks, TDS certificates, investment evidence for deductions under Section 80C, 80D, etc., and Form 26AS for tax credit information are the necessary papers.
2. Confirm Form 26AS
In order to prevent inconsistencies and possible investigation by the income tax department, the tax expert also advised taxpayers to confirm that the information in Form 26AS corresponds with the entries in your ITR form.
A consolidated tax statement, Form 26AS, gives information on taxes received, taxes deducted, and any advance taxes paid in a given fiscal year.
3. Select the Appropriate ITR Form
The expert said that choosing the appropriate ITR form is essential. ITR-1 (Sahaj), for example, is intended for those earning up to Rs 50 lakh from various sources, including salary and one residential property. Individuals and HUFs without a source of income from a company or profession should file ITR-2. Your ITR may be refused if the incorrect form is used.
4. Reveal All Income Sources
Make sure you declare all of your income, including capital gains, rental income, interest, and salaries, among other sources. Withholding information may result in fines and investigations. As the expert pointed out, don’t forget to account for any money you received from prior jobs within the fiscal year.
5. Request Exemptions and Deductions
Additionally, he said that taxpayers opting for the previous tax system should maximize their tax savings by using all allowable deductions under several parts of the Income Tax Act. The deductions that are possible are:
Section 80C: Investments in NSC, ELSS, PPF, and so on.
Section 80D: Premiums for health insurance.
Section 24(b): Home loan interest.
He went on, “Make sure you have the paperwork to back up these claims.”
6. Declare Income Exempt
Even though it is not taxable, income that is exempt, like that from agriculture, has to be recorded in the ITR. Transparency is guaranteed, and upcoming issues are avoided.
7. Make a bank account reconciliation
Make sure all of the transactions are appropriately reflected in your passbooks and bank statements. Verify that all tax deductions and payments have been recorded by comparing them to your Form 26AS.
8. Steer clear of common mistakes
The tax experts also urged people to be aware of typical mistakes, including inputting inaccurate personal data, entering bank account information incorrectly, reporting or withholding income, and computing total income and tax due incorrectly.
9. Fill out the ITR form in advance.
Pre-filled ITR forms containing information on salary, interest income, and tax payments are provided by the income tax department. Take a close look at these information, make any necessary modifications, and check them.
10. Check Your ITR Online
“Until your ITR is authenticated, it is not complete. To finish the procedure, use the e-verification option using online banking, Aadhaar OTP, or other accessible ways. He advised making sure the signed ITR-V is given to the CPC within 120 days of filing if you decide to verify physically.
11. If Needed, Seek Professional Assistance
Additionally, he said that you should not be afraid to seek expert assistance if you find the ITR filing procedure to be daunting or difficult. They can guarantee that your ITR is submitted on time and properly, as well as provide helpful advice.
12. Monitor Notifications and Updates
Keep track of any announcements or alerts on deadlines or modifications to the filing procedure that come from the Income Tax Department. You can prevent last-minute shocks by doing this.
13. Do Not Await an Extension of the Deadline
“Although tax experts anticipate an extension of the deadline until August 31, it is not wise to wait for that. The income tax agency has encouraged people to submit the return as soon as possible via a number of mailings, according to the tax expert.
“If you haven’t filed yet, please remember to submit your ITR. The income tax agency said in a post on X on July 26 that the deadline for filing an ITR for the fiscal year 2024–2025 is July 31, 2024.
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