What is ITR (Income Tax Return) ?
Friends, if you file an income tax return every year or are thinking of filing it in 2022, then you must read this post of ours till the end. In this, we have explained everything related to filing Income Tax returns and guided you through step by step how you can easily fill it online.
Filing an income tax return does not mean that you have to pay income tax to the government, it can allow you to claim a refund of the tax which was already deducted from your income that you are not required to pay. Also, it helps in getting loans from the banks easily.
So let's understand it in detail.
What is ITR(Income tax return)?
It is a kind of form that people fill in to give the details of their annual income and taxes levied on it to the Income-tax department of India. The information entered in the ITR must pertain to a particular financial year, i.e. starting from 1st April and ending on 31st March of the following year.
Now the source of income of people can be of various types like.
Salary
Income from business or any profession.
Income from rental properties
Income from capital gains.
Income from the sources like royalty, interest on deposited money or from any lottery, etc.
According to the nature and amount of income and the type of taxpayer, The income tax department of India has prescribed 7 types of Income Tax return forms, which are ITR-1(also known as sahaj), ITR-2, ITR-3, and ITR-4(also known as sugam),
These are the most commonly used ITR forms.
- ITR-1(Sahaj)
- Income from salary or pension.
- Income from housing property
- If you receive income of more than Rs 5000 from agriculture.
- Income from the additional sources like investments, deposits etc
- Individuals who wish to combine the information income of their spouse or minor children with them
- ITR-2
- It Includes earnings from salary or any pension.
- Income earned on capital gains such as selling an asset or any property.
- Income from abroad(foreign sources).
- If you receive income of more than Rs 5000 from agriculture
- Also, it includes income from the lottery etc.
- RNOR or Non-Residents
- ITR-3
- It involves income you earned from housing property.
- From businesses or any profession.
- Income from shares.
- Salary and Pension.
- ITR-4(Sugam)
- If the earning from the agriculture is less than Rs 5000
- Taxpayers do not have income via capital gains or the selling of assets.
- Income from a business.
- Income from single house property
Now that you have got an idea of what ITR is and how many types of forms are filled in it.
So, before we move on to the steps for filing ITR, let us first go through the documents that you need to have while filing ITR.
What are the documents required for filing ITR?
In India if you wanted to file an ITR you just need to make a list of preparation so that you can file your ITR hassle-free, Keeping this in mind, the Government of India gives ample time to the taxpayers to compile their documents like salary/income details, bank details, previous year's tax details etc. The process of e-filing your income tax varies depending on several factors like an income source like any investment or business profit, income from the salary etc
So, here is the list of the necessary documents that are expected in filing ITR.
1. Pan Card Or Skillet Card
This is the most important essential assuming you are documenting a personal expense form. Your name on the personal assessment Dish card should be equivalent to the one expressed in ITR. Skillet is additionally expected for the derivation of TDS and ought to be connected with your ledger for direct credit of annual duty discount (if any). It is given by the Personal Assessment Office and a salaried worker can observe the Dish number either on a Skillet card, Structure 26AS, Structure 16, Structure 12BB and so on. Nonetheless, according to the new change by the Govt, citizens can likewise record the ITR with the Aadhaar number rather than the Skillet number.
2. Aadhar Card
As per Segment 139AA of the Annual Duty Act, people need to give their Aadhaar card subtleties while documenting the profits. In the event that you don't have your
Aadhaar card yet have applied for something very similar, then you would be expected to give the enrolment ID in your IT returns. Connecting Containers and Aadhar helps in confirming your annual government form online through an OTP.
Aadhar card is given by UIDAI. In the event that you have lost it or couldn't observe your Aadhar card then you can likewise download it on the web.
3. Structure 16A.
This structure comprises the subtleties of the compensation of the worker and how much TDS is deducted from the compensation. Structure 16 comprises two distinct parts, Section An and Part B. Section A contain the subtleties of how much assessment was deducted by the business during the monetary year alongside the Container and TAN subtleties of the business. The Part B of the structure comprises TDS computations like gross compensation separation, absolved stipends, perquisites and so forth. Recall this year, both Section An and Part-B will bear the Follows logo and special ID also.
The recompenses which you have neglected to unveil to your manager like HRA, won't reflect in Structure 16 yet can in any case be guaranteed at the hour of recording ITR. Kindly note that structure 16 is given by the business. It is an indispensable archive for recording ITR by a salaried person.
4. Structure 16A/Structure 16B/Structure 16C.
Structure 16A is given for TDS deducted instalments other than compensations, for example, pay got from repeating stores, fixed stores and so forth. On the off chance that an individual sells his property, Structure 16B is given. It has subtleties relating to TDS deducted on the sum which is paid to the merchant. Structure 16C is a TDS testament that mirrors the TDS deducted on lease @5% by an individual or HUF under segment 194IB.
Structure 16A is given by deductors like banks, workers for hire and so forth. Structure 16B, then again, is given by the purchaser. Further, an individual deducting TDS on lease is expected to outfit Structure 16C to the payee within a time of 15 days from the date of outfitting the Challan cum articulation in Structure 26QC.
The subtleties of TDS can then again be gotten from your Structure 26AS.
5. Ledger subtleties
Revelations of all dynamic ledgers are obligatory in the ITR. Ledger subtleties like your bank name, account number, IFSC, and several records you hold are important to be cited in the return for money. Likewise, one record will be chosen as essential to help the Personal Expense Division in discounting your assessment discount by an electronic exchange to such record. Bank subtleties are utilized to check your pay
exposures, high volume exchanges and so forth. These subtleties can be effectively found in bank passbooks, chequebooks, articulation, net financial records and so forth.
6. Structure 26AS
It is a yearly assessment articulation like an expense passbook that has subtleties of the multitude of duties you have saved against your Container. These include:
a.) TDS deducted by the bank
b.) TDS deducted by the business
c.) TDS deducted by different associations from the instalments done by you
?d.) Advance charges saved by the person
e.) Self-evaluation charges paid by the person
The individual ought to ensure that every one of the charges which are deducted in the monetary year is reflected against the Skillet in Structure 26AS. In the event of a confused, you can not guarantee the tax break for the TDS derivation, consequently, the equivalent ought to be redressed by reaching out to the deductor.
7. Home Credit Explanation
The people are furnished with the subtleties like head and interest that are reimbursed by them in their credit proclamation. This separation of data is required as verification and for giving data while recording your government forms.
On the off chance that the singular has brought a back home credit from any of the monetary foundations like banks and so on, then he/she ought to gather the assertion for the last monetary year.
8. Charge Saving Instruments
Assuming you have put resources into any of the assessment saving plans like expense saving FDs, ELSS, speculation receipts, and so forth, then, at that point, you ought to have the applicable archives prepared when you record your duties.
9. Capital Increases Subtleties
On the off chance that you have sold offers, protections or property, it will bring about capital increase or misfortunes. For the equivalent, you want to have archives like specialist explanations, property deal deeds and so on.
10. Rental Pay
If you are procuring payment from your home or property, it ought to be accounted for while documenting ITR. Additionally, if you are paying rent; remember to gather receipts from the property manager. Albeit these archives are not expected to be given with the ITR yet ought to remain careful to be submitted to your manager or Personal Duty Office is expected in future.
11. Unfamiliar Pay
The archives for any pay procured in or from an outside country during a task organization or in any case for a piece of the year ought to be outfitted with your duty specialist to assist you with guaranteeing the advantage of tax reductions and DTAA. The reports for any unfamiliar pay should be organized with the business or worker for hire.
12. Profit Pay
Assuming you have put resources into shares or common assets and have procured profit pay on something very similar, it ought to be accounted for while recording your government form.
Subtleties of profits procured during the monetary year can be taken from your agent proclamation or Demat account outline.
So, Let's proceed further, and learn.
How to fill the ITR 2022?
Any person who is thinking of filing ITR online can easily fill it by following the steps given below.
Step 1. Open the income tax department portal (www.incometaxindiaefiling.gov.in) on your browser and register yourself by using PAN.
Step 2. - when the website layout opens, choose the ' file option and then chose File income tax return.
Step 3. After you choose the option 'File Income Tax Return ' you get to select the current assessment year and then click on continue.
Step 4.- Now you get two options for filing ITR select 'Online option ' and then click on continue. after that select 'Start new filing' and then choose the option for 'Individual'.
Step 5.- Now you have to select your suitable ITR form and then click on proceed. (Take a look at the above table to know which ITR form is suitable for you.)
Step 6.- After you proceed you get to see the option of 'Let's get started) Click on it and then move towards another layout.
Step 7.- Now, you have to fill up your credentials like Personal Information, Tax information etc. fill it out by yourself with the help of documents.
Step 8- After you fill up all the details you have to proceed with the payment, you have to preview your form and then click on proceed for verification.
Step 9- After that, you have to 'e-verify' it through any document like Edgar card with the help of OTP, then click on submit.
Congrats your e filing is done.
Summary :
In this post, we have discussed ITR and mentioned step by step how one can file ITR online, and what are the documents required to file ITR, we have also described seven types of ITR form And it has also been told that who should fill which form.
