Importance of Filing Income Tax returns.

It is Mandatory for all  individuals having income from last financial year more than 1.6 lacs has to File income tax returns. We are come up with simple solution of Filing income tax returns easily.

Importance of Filing Income Tax returns.

There is a misconception among some salaried individuals that because the employer has deduced tax at source, they are not required to file tax returns. Even though tax has been deduced and there is no other source of income, or liability to pay tax, employees have to file income tax returns. Every individual has to necessarily file the income-tax returns if the total income, before allowing any deduction, exceeds the exemption limit.

Even if your income is below the exemption limit, which is bound to happen at the beginning of one’s career, filing income tax returns will help in the documentation process if you are taking a loan or an insurance policy or when you are applying for a visa.

Choosing Income Tax Return Form (ITR)

There are Eight  Income Tax Return (ITR) forms available for individual income tax assesses. Based on sources of income, Individuals can choose appropriate ITR form. The following list depicts various sources of income and corresponding ITR Form.

Source Of Income 

ITR Form 

If you have income from any one of following
  • Salary / Salary income from multiple Employers.
  • Pension.
  • Income/Loss from Solo house property.
  • Income from other sources( Excluding Winning from Lottery and Income from Race Horses )
ITR -1(SARAL-II) –  Download PDF ITR1 – Download Excel ITR1– Calculate & File Online Free
If you have income from above sources in addition to any one of the following
  • Income / Loss from other sources
  • Income / Loss from More than one House property
  • Capital Gains on sales of Stocks, House property, Business property, Investments and property.
ITR -2-  Download PDF ITR2 – Download Excel ITR2– Calculate & File Online Free
If you have income from above sourcesand partner in a partnership firm ITR -3 –  Download PDF ITR3 – Download Excel ITR3– Calculate & File Online Free
If you have income from any one all above sources and Income from Proprietary Business/Profession ITR -4 –  Download PDF ITR4 – Download Excel ITR4– Calculate & File Online Free 

Best Practices Filing Income Tax returns

  • Disclose Income from tax free dividend received on mutual funds, Long term capital gains on stocks sold in stock market,
  • Disclose all transactions / Investments comes under Annual Information Return. ( Cash Deposits totaling more than ten lacs, Payment credit aggregating more than two lacs, Payment to mutual funds to aggregating two lacs ,Payment to Buy bonds or debentures aggregating five lacs, Payment to buy shares more than one lac,  Purchasing a property having value more than 30 lacs, Payment to buy RBI bonds aggregating five lacs ).
  • Include all dependent family members Income in section Specified persons income (SPI).
  • If you have refund from income tax department enter cross check bank account no and MICR Code.

Online Income tax Filing Service
Even though a number of providers along with Income tax department providing services to file income tax returns online, EasyItFiling.com is No 1 Easy & Freely available  Income tax returns Filing services. Any individual having income more than 1.6 lacs can register online Start filing income tax returns.

If you have income from any/all of source of income mentioned below can utilize this service to easily calculate Income tax and refund.

  • Salary / Salary income from multiple Employers.
  • Pension.
  • Income/Loss from Solo house property.
  • Income from other sources( Excluding Winning from Lottery and Income from Race Horses )
  • Income / Loss from other sources
  • Income / Loss from More than one House property
  • Capital Gains on sales of Stocks, House property, Business property, Investments and property.

EasyItFiling.com can also calculates Interest payable on default of paying advance tax, Deferment of advance tax , default of Filing income Tax returns.