E-Preparation of IT Return is the process of preparing your Income Tax Return using a software.
The E-Preparation software can be of 2 types:
Those that allow you to enter your Income Tax data but do not calculate the Income Tax & Refund etc. The individual user needs to calculate the above himself/herself
Those that take the Income Tax related data that you have entered to automatically calculate the Income Tax and Refund using their inbuilt tax calculation engine that is updated for current rules
Auto Calculation Software is more efficient and less prone to calculation errors.
E-Filing of IT Returns is the process of electronically submitting your Income Tax Return to the Income Tax Department.
This electronic submission can be done in one of the following ways:
Where you take the output of the software in XML or non-XML format , convert to XML in case of the latter and upload it to the Income Tax Website.
Providers that are Authorized E-Return Intermediaries of ITD, are integrated with the Income Tax Department and authorized to E-File your Income Tax Return. Such providers allow you to E-File your return with a click of a button.
XML upload is tedious and user may run into issues for incorrect format or validation error.
An ITR is an important document and the individual to whom it belongs needs to sign it – Manually or Digitally to affirm that (s)he has reviewed it and is the one who is officially submitting the ITR.
An IT Return can be signed in the following ways when it is being E-filed:
Use digital signature, in which case no further action is required. An acknowledgment of filing is provided instantly after submission.
You can E-File without digital signature, in which case ITR-V form is to be physically signed & filed with the department’s Bengaluru office .ITR-V is a single page receipt cum verification form that is sent to the assessee via an e-mail from ITD.
| Attribute | Low End | High End |
| Tax Calculation | You calculate yourself | Automatically Calculated |
| ITR generation | PDF file for manual submission in local ITD Office Only or XML | Direct transmission* to ITD |
| Data Transmission to ITD | You upload XML | Automatically transmitted* |
| Support to end users | No Support provided or minimal support provided | Support Staff can be accessed via email, chat or phone 24*7 |
| Security | Limited | Over 128 Bit SSL to protect your confidential Information |
| Storage of past ITR | Not Provided | Provided so that you may import your previous ITRs data |
* Provided by ITD Authorized E-Return Intermediary Only
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Hello Pankaj,
I am a software freelancer. I receive my payment via Paypal in USD,however, which are transferred to my Indian bank account in Rupees. Please can you guide me what are the tax formalities I should go through,my earning would be about 8 lakhs/annum in INR?
Should I considering something more in addition to filling income tax?
Looking forward to your answers.
Thanks.
@Manoj
You would need to declare this income as income from business/profession in income tax return and pay taxes on that.
Sir,
I have calculated that i have to pay 6000 Rs. as self assessment tax,if i pay the same through epayment on 3rd april ,later if i come to know that i have to pay 1000 Rs more before 31 st july can i make another epayment,are we allowed to make tax epayment more than once. thanks
@Shankar
You can make payments any number of times. There is no issue with that.
Thank you Sir.
Iam a pensioner retired from central gov. Trying to e-file my return.What shall I choose in the column employer-gov,psu,other,na. What shall I fill in the address of the employer-the office I retired from or the bank I received my pension from.
@Thresiamma
You should fill Gov in employer and address of last office from where you retired.
Hi Pankaj.
I have one query. When I tried to e-file my income tax return, it computed tax 1 rupee more than that in form 16. How to handle this? Because of this 1 rupee, I am not able to file return with 'Tax Status: Nil'. Is there any legal way to ignore this one rupee? I think, this problem should have been already faced by lot many people, because employer generally rounds of taxable income to nearest multiple of 10 and then calculate tax, but, in e-filing, it is not rounding off.
Please provide your view on this.
Regards,
Ashish
@Ashish
There is no issue for amount less than Rs 10.
The total tax payable field in income tax return forms are editable and you can put 0 in it and file return.
Once I generate the XML the excel tool is not allowing me to modify.
Can I modify the xml itself ?
thanks,
Jagu
@Jagu
ITR excel utility file allows editing even after generation of XML.
You can edit excel file and generate XML again in case you require any change.
Its not advisable for public to modify XML as may loose its formatting/tags. IT professional like you can edit if you are comfortable with it.
Thanks for the quick reply
To continuation to above question , I 'm also facing same issue of 1 Re more with excel utility and its less in Form-16.
So "Tax Payable (15-17) (if 15 is greater than 17)" having value 1 but for the
Tax Status it is showing value as "Nil Tax Balance" ,
Do I need to change the value to "Tax Payable" ?
Also Do I need to pay this 1 Re ?
@Jagu
Rs 1 won't be an issue. Its due to round off to nearest 10 rs.
Tax payable on total income field in ITR excel is editable, just reduce it by Rs 1 and issue would be solved.
Pankaj... can u pls review below and advise if it is correct?
Income from Salary is 789,892. Thus, total income was coming as Total Income (4 - 6) = 669,892. I wanted to round off Total income to nearest multiple of 10, but, since the cell is protected, I rounded off first row i.e. Income from Salary to 789,890. Is this correct? I already submitted the return electronically. Only thing pending is to send ITR V to CPC. Waiting for your valuable assistance..
1 Income from Salary / Pension (Ensure to fill Sch TDS1) 789,890
2 Income from one House Property 0
3 Income from Other Sources (Ensure to fill Sch TDS2) 0
4 Gross Total Income (1+2+3) 789,890
5 Deductions under Chapter VI A (Section) System Calculated
6 Deductions (Total of 5a to 5m) 120,000
7 Total Income (4 - 6) 669,890
@Ashish
In-spite of editing income, you could have edited tax computed by income tax return sheet.
Hi Pankaj,
I am also facing a similar issue. The tax paid in the F16 is 1 Re greater than the tax calculated by the utility. As you have suggested, I have tried to edit the tax calculated. At first it allows me but when I generate XML, it reverts the tax amount to the calculated figure.
So can I reduce 1 re in the tax paid sheet and make Nil Tax Balance and submit the returns?
I appreciate an early response from you in this regard.
Thank you,
Rajeev Prabhu
@Rajeev
There is as such no need to reduce tax paid amount. As per IT rules, amount less than Rs 10, does not matter.
You can submit returns even with 1 Rs balance.
If total income is more than 10.00 Lacs and total taxable income after deduction under chapter VI A is less than 10.00 lacs. then is it compulsary to file return online through e-filing.
@K M Gupta
You would need to file online only as total income is more than 10 lacs.
Hi Pankaj,
I have filed my IT Returns using ITR1 today. But I missed to fill the BSR codes and its details. in the TDS sheet of the excel file.
But later I realized that, i missed them and those details are available in my Form16.
Now, my question is. Can I refile my ITR1 ? If so , what do I need to do before filing again. Do i need to make any changes in the excel sheet?
Please let me know.
Thank you.
Sateesh.
@Sateesh
In case of TDS done by employer from salary, entering BSR code and other details is not needed. If tax is paid by yourself as self assessment/advance tax, then its needed.
Hi Pankaj,
I have filed my IT Returns using ITR1 today.I was suppose to pay self assessment tax
But , under the impression that at the time of XML upload, system will ask me to pay self assessment tax, I uploaded the XML without paying the self assessment tax and system allowed the same and generaetd the ITR-V
How do I pay the remaining tax and fill return now ?
@Deepak
You can pay remaining tax now. Read section 'Pay your tax online' on this page: http://www.pankajbatra.com/india/file-income-tax-return-online-yourself/
After payment, file a revised income tax return: Procedure for same is mentioned on this page: http://www.socialfinance.in/questions/3419/revised-income-tax-return.
Hi Pankaj,
I am in 30% Tax bracket, and have earned bank interest of 50000. Bank has deducted TDS at 10%. I have to pay remaining tax, but as TDS certificate is issued by back after 31st March, I am paying remaining tax as self assessment tax. But if I use ITR1 xls to file my return it is showing me interest penalty. do I have to pay interest or is there some way to avoid this in xls sheet.
thanks,
@Ravindra
If pending tax is above Rs 10,000 then interest penalty arise for late payment of income tax u/s 234B and 234 C.
TDS certificate may be issued by bank after 31st March, but interest would have already paid to you. So its your responsibility to pay income tax on interest income within time frame.
You will have to pay pending income tax interest as computed by ITR excel.
Thanks Pankaj for quick reply.
One more question, can I instruct bank to deduct TDS at 30%.
@Ravindra
There is no as such provision to instruct bank for higher TDS.
However you may declare this extra income to your employer (if you are salaried) and get tax deducted from salaries by them.
Hi,
Need help, I have fill correctly form 16 detail in efile excel, in my case its straight forward, all tax already paid by employer. Nothing to paid or refund, now when I am clicking Calculate Tax button its pulling extra amount in row 14.Total Interest u/s 234A 234B 234C, I am little confuse why its pulling intrest as there is no deadline mate yet for filing tax. Any idea about ? Do I need to pay an extra intrest amount ?
@Vicky
Looks like something is incorrectly filled in ITR.
Can you check if total tax computed as per ITR excel calculation has been paid as TDS. Also check if TDS details have been correctly filled in TDS sheet of ITR.
Sir,
While uploading itr-2 the following message is coming. How to upload itr-2.
Error is due to change in Schema.
Please use the latest version of utility available on the website for filing your return.
Schema check failed.XML Document has following Error:
Error 1: Line number: 180 , Column number: 38
Message: Value '' is not facet-valid with respect to enumeration '[YES, NO]'. It must be a value from the enumeration.
Error 2: Line number: 180 , Column number: 38
Message: The value '' of element 'ITRForm:PropCoOwnedFlg' is not valid.
Error 3: Line number: 204 , Column number: 3
Message: Value '' is not facet-valid with respect to enumeration '[YES, NO]'. It must be a value from the enumeration.
Error 4: Line number: 204 , Column number: 38
Message: The value '' of element 'ITRForm:PropCoOwnedFlg' is not valid.
Please rectify these error and upload again.
Please guide Sir.
Regards,
Anita
@Anita
Please download latest file (https://incometaxindiaefiling.gov.in/portal/downloads12-13/itr/ITR2_2012_13_R2.zip) from income tax efiling website.
After downloading, import the existing filled up file into it. Try generating XML from new excel and filing return.
Thank you very much. With your guidance, now I am able to upload ITR-2 successfully.
Regards
Anita