Income tax e-filing: all you need to know

Income tax filing is the one thing that comes every year and it is mandatory to file the returns without any breaks. To ease this process the Income-tax department has taken many steps and this includes e-payment of income tax, easy to fill tax return forms, e-verifications, e-assessments, text messages etc.

With the e-filing facility, the process of tax filings has now become very easy, quick and safe. Even when income tax filing is applicable to persons who have income exceeding Rs.500, 000, it is possible for any person to file their tax returns.

Why is income tax filing important?

•   Income tax filing is very important for VISA processing.
•   If you immediately want to register any of your immovable property then you must have filed your tax returns on time.
• Banks will need your tax return receipts for processing your loans or credit card applications.
•  Your tax return receipt can act as an authorized proof of your income, and also it can create a good record with the Income Tax Department. 

How to e-file your tax returns?

•   Here are some steps to follow for filing your tax returns electronically.
• Start the process by creating a login ID on the Income Tax department's website.
• Fill in the required details like PAN number, etc and register.
•  As soon as you finish your registration process you'll be directed to a page with your address as per your PAN details. Fill in your phone number, e-mail id, etc and create a strong password, and click the submit button.
• Now you will be on a webpage with links for various assessment years, select the relevant one.
•  Choose the correct category and download the excel file to fill in the relevant details in it.
•  Once you complete filling the excel sheet, double check and save it, then upload it to the site and click on the submit button.
• \ An acknowledgment pop up screen will appear after submitting the returns. Take a print out off it, cross-check it, sign it and post it to your specific income tax assessing office.
•  Make sure this acknowledgment receipt reach the income tax assessing office within the set time period otherwise you will have to do the whole process once again.
• If you want to do the whole process electronically then you have an option for digital signatures as well.

 Benefits of e-filing:

There are several advantages in e-filing your tax returns:

1.    Quick processing and refunds:

E-filed returns are processed much faster than paper filed I-T returns.

2.    Greater Accuracy

E-filing software minimizes possible errors as paper filings are prone to it.

3.    Very Convenient:

Online tax filing is available 24*7 and so you will be able to file the I-T returns at any time, from anywhere according to your convenience.

4.    Confidentiality

Your e-filings will be much secured when compared to paper filings as no one other than the assessing person has the access to your financial information.

5.    Easy access to past records

I-T filings through electronic platform are capable of securing your all old data and uploaded files. You can access the data from anywhere and at any time.

6.    Confirmations:

You will get an electronically generated confirmation receipt of your form by the I-T department as soon as you submit your I-T returns.

7.    Easy to use

The detailed instructions and easy to understand language makes the e-filing process user-friendly.

8.    E-Banking:

The electronic filing sites provide you with bank account links for direct debiting of taxes and deposit of refunds. Also, you can choose for immediate debit from your account or schedule it for later.

As you can file your I-T returns anytime and from anywhere, file your tax returns electronically!