By Rajni Pandey | June 14, 2024
Income Sources
Identify all your income sources, including salary, business income, rental income, capital gains, and any other earnings. Each type of income is taxed differently, so accurate classification is crucial.
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Choose Correct ITR Form
There are various ITR forms based on your income and category (individual, HUF, company, etc.). Ensure you select the appropriate form (ITR-1, ITR-2, ITR-3, etc.) for accurate filing.
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Keep Documents Handy
Gather essential documents such as Form 16, Form 26AS, TDS certificates, interest certificates, investment proofs, and any other relevant financial documents to ensure you report accurate data.
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Check Form 26AS
Form 26AS is a consolidated annual tax statement that includes details of tax deducted at source (TDS), tax collected at source (TCS), and advance tax payments. Verify the entries in Form 26AS to ensure all taxes deducted and paid are correctly reflected.
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Claim Deductions and Exemptions
Take advantage of deductions under Section 80C, 80D, 80G, and others for investments, medical insurance, donations, etc. Also, claim exemptions like HRA, LTA, and others if applicable.
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Report All Bank Accounts
Report all your bank accounts held in India in the ITR form, except dormant accounts. This includes both savings and current accounts.
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Disclose Foreign Assets and Income
If you have any foreign assets or income, you must disclose them accurately in your ITR. Non-disclosure can lead to penalties under the Black Money Act.
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Verify and Rectify Errors
Double-check the filled ITR form for any discrepancies or errors. Incorrect information can lead to notices from the Income Tax Department.
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Pay Any Pending Taxes
Calculate your total tax liability and pay any remaining taxes before filing the ITR. This includes self-assessment tax and advance tax if applicable.
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E-Verification of ITR
After submitting your ITR, it is crucial to verify it within 30 days. You can e-verify your return using methods like Aadhaar OTP, net banking, or by sending a physical copy to the Centralized Processing Center (CPC).
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