ITR Filing: A Step-by-Step Guide To Filing Income Tax Returns

Here’s a step-by-step guide for taxpayers to file their income tax returns effortlessly. Learn how to choose the right ITR form and file returns accurately.
ITR Filing: A Step-by-Step Guide To Filing Income Tax Returns

The deadline for filing Income Tax Returns (ITR) for AY2023-24 is July 31, 2023. For your convenience, here is a step-by-step guide to filing ITR online or e-filing.

Visit the official Income Tax Department’s website and register if you are a new user for e-filing ITR. Otherwise, click on the 'login' button to enter your username and password.

After logging in, click on the ‘e-file’ tab and select ‘File Now’. Choose the assessment year for which you want to file your returns and select the online filing option.

Select the applicable ITR form based on your income source. Here’s how you can choose the ITR Form applicable to you.

ITR Forms

ITR-1 (SAHAJ): Individuals earning up to Rs 50 lakh from salaries, house rent, interest income, and agricultural income of up to Rs 5,000 should select this form.

ITR-2: Individuals and Hindu undivided families (HUFs) with a total income of more than Rs 50 lakh but do not have income under the head "Profits and Gains of Business or Profession" can opt for this form.

ITR-3: This form is for individuals and HUFs who have income under the head “Profits and Gains of Business or Profession” and are partners of a firm.

ITR-4 (SUGAM): This is for individuals, HUFs, and firms (excluding LLP) with a total income of up to Rs 50 lakh.

All details of the ITR forms are available here:

Entering Details

On clicking ‘File Now’, you will be directed to a page to fill the information about your tax liability. But to do that you should keep the documents before starting the ITR process.

Taxpayers must enter the interest income and TDS details. So the AIS/Form 26 AS will help.

The page may already have pre-filled information. Review them for accuracy to change them if necessary after referring to the documents at hand.

Enter your income details such as salary, house property, and other income sources. Include details of deductions and exemptions to compute the tax payable based on your income. At this stage, pay the tax due on the income tax department’s dedicated portal for paying taxes.

If you have capital gains, select the appropriate options under ‘schedule capital gains’. If you have capital gains from selling a building, select ‘land or building’ under ‘Schedule Capital Gains’.

For short-term capital gains, select Section 111A, and for long-term capital gains from equity mutual funds or shares, select Section 112A. If you have capital gains from a debt mutual fund, choose ‘sale of items other than above listed items.’

Review And Verify

Before submitting the ITR form, review, validate, and correct any errors. Preview the filled form and submit it. Finally, verify your return through e-Verification by clicking ‘e-Verify Now’ using Aadhar OTP or a pre-validated bank account, the easiest verification method for ITR.

By following this step-by-step guide, you can easily file your Income Tax Returns (ITR). Also, refer to important regulatory guidelines/changes before filing ITR for the assessment year

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