For salaried employees in India, timely filing of income tax returns is a critical financial task. It includes the following steps:
- Navigate to the Income Tax Department’s e-filing portal.
- To access the portal, enter your user ID (PAN), password, and a Captcha code.
- Select ‘Income Tax Return’ from the drop-down menu under the e-file section and the applicable assessment year. At this stage, you must pick and download the proper income tax return (ITR) form.
- If you are not filing a revised return, choose the ‘Original’ filing type.
- Select the ‘Prepare and Submit Online’ submission mode and click ‘Continue.’
- Fill out the appropriate ITR form with all of the essential information about your income, investments, exemptions and deductions. You must include information on tax payments made through TDS, TCS, and advance tax. To avoid data loss due to technological failures, click on the ‘Save The Draft’ option on a regular basis.
- Calculate and pay the tax due. Then, include the challan information in your tax return (If you have no tax due, you should skip this step).
- Confirm the information you supplied in the form. Then click ‘Submit.’ This is how you file an ITR for a salaried employee online.
At this moment, a notice appears on your computer screen, indicating that your e-filing was successful. Following that, an acknowledgement form known as ITR-V is created. You must now validate your response using any of the methods mentioned.
It is also important to understand why salaried employees need to file income tax returns. These include that capital gains and losses are accounted for, tax refunds can be claimed, applications for loans are made easier, and it also makes applying for a visa easier. Thus, salaried employees should file income tax returns.