Gain Knowledge about Income Tax through online

Filing the taxes with pen and paper is not the only option. The online process has becomehassle-free. To make the process simpler and safer, income tax filing online has paved the way.Even the Internal revenue system advises filing taxes electronically instead of manual work. InIndia, the process of income tax filing has many procedures and takes some preparation. Tomake this easier, the Government gives you a four months window period to organize alldocuments such as bank statements, salary/income details, previous tax statements, etc.The procedure varies and it depends on the income earned per year and also income sourceslike salary, business or investment profit, and many more. The online filing also called e-filing is aconvenient method to file returns from any place.

Procedure for filing income tax online

As said, filing income tax online is easier than manual work. Let us discuss the proceduresinvolved in it:

Procedures for registering in the portal:

Step 1 - Visit the e-filing websiteStep 2 - Choose the Register or Login option to start the process.Step 3 - Select the User Type and fill in all the required detailsStep 4 - Verification of PANStep 5 - Account activation

Procedures for e-filing Income Tax Returns:

Step 1: As per the provision of the income tax laws, calculate the income tax liability.Step 2: Using Form 26 AS, fetch details about the TDS payment for all 4 quarters of theassessment year.Step 3: Based on the definition by the Income Tax Department (ITD) for each ITR form, choosethe category that he/she will fall under and choose an ITR form.Step 4: Visit the official e-filing website.Step 5: Under the ‘Download’ section, click on the ‘IT Return Preparation Software’ option.Step 6: After choosing the assessment year, you must download the offline utility either in Javautility file or MS-Excel file.Step 7: After downloading the form, you must fill in all the relevant details like income, taxpayable, and receivable refunds.Step 8: After filling up the form, you must click on the ‘Validate’ button on the form.Step 9: Now, click on the ‘Generate XML’ button. This will help in converting the file into an XMLfile.Step 10: Using your credentials, log in to your income tax e-filing portal once again.Step 11: Under the ‘e-file’ option from the main menu, navigate to the ‘Income Tax Return’option.Step 12: Fill up all the fields with the relevant information.Step 13: To upload the XML file, click on the ‘Continue’ button.Step 14: Click on the ‘Submit’ button and select a mode of verification among the given optionslike Electronic Verification Code (EVC), Aadhaar OTP, and many more.Documents required for filing income tax online:

There are a bunch of documents needed for filing income tax online under the income tax Act,1961 and Income Tax Rules, 1962. They are:? Bank statements

? Interest income statements for fixed deposits.? A TDS certificate is given by banks.? Salary slips? Aadhaar Card? Tax saving investment proofs- They are the proofs that claim deductions under section80D to 80U. They include health insurance premium for self and family and interest oneducation loans? Home loan statement from the bank? PAN card? Form-16: A certificate issued to the person by his/her employer which has all the detailsabout the person’s salary paid and any TDS (Tax Deducted at Source) deducted if thereis any.? Form-16 B: A form given by the buyer if the person has sold any property which pointsout the TDS deducted on the amount paid to the person? Form-16 C: A form given by a tenant providing details about TDS deducted on the rentreceived by the person? Form 26 AS: It is the consolidated annual tax statement. It encompasses all the detailsfor the taxes deposited against the person’s PAN like,a) TDS deducted by your employerb) TDS deducted by banksc) TDS deducted by any organizations from payments made to the persond) Advance taxes deposited by youe) Self-assessment taxes paid by you

Advantages of filing income tax online

Filing income tax online has so many benefits. Some of them are listed below:? Cost-efficient? The process is easier? The online process is more convenient? More knowledgeable? Guarantees greater accuracy? Refunds are faster? Saves effort? Assessment is more secure as it involves two officials? Cloud storage and paperless workHow to check ITR status online

After filing the income tax returns and verifying, you can check the status of the tax return.If it is verified, you will see the line 'Verified'. If the process is completed, the status becomes'ITR Processed'.There are two steps for checking the status of ITR online. They are:? Without login credentials? With login credentials

Frequently Asked Questions:

1. What is the difference between e-payment and e-filing?

E-filing is the process of electronically enhancing tax returns.

E-payment is the process of paying the tax by using debit/ creditcards or by net-banking.

2. Should any documents be attached while filing the Income TaxReturns?

No, there is no need to submit any documents while filing the IncomeTax Returns. Yet, all the relevant documents asked must be filled.

3. List the types of forms that are available as per the Income TaxLaw.

The different types of form that are available as per the Income TaxLaw are:

• ITR-1
• ITR-2
• ITR-3
• ITR-4
• ITR-5
• ITR-6
• ITR-7
• ITR-V4. What are the types of income tax classes?

There are two types of income tax classes. They are direct andindirect taxes.

5. How to pay taxes if you file electronically?

The IRS not only offers you the option of filing your tax return onlinebut also allows electronic payments for the taxes.

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