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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Hi
1.My father is getting his pension of rs. 15000 per month which amounts to 1,80,000.he is 54 now (gave vrs).He actually has many bank fixed deposits. will he be eligible to give 15G/15 H? if he gives unknowingly will that be an offence?
2.should he need to file the tax returns here after eventhough he is retired person?what will be the effect if he does not pay?
3.My mom is not working but having some fixed deposits and it s interest is not even above 50 000. is it mandatory for her to pay and file tax returns?
4. We all are vacating the house and goi to new city. should we need to keep on updating our pan card address as we move?
Thank you so much
@Vignesh
1. Your father can submit form 15G to his bank. Bank won't deduct TDS in case same have been submitted. He is eligible to submit form 15G, any person who has income less than taxable range can submit this form to avoid TDS deduction.
2. If his income is more than taxable threshold, before any tax exemption/deductions, then he needs to file income tax return. It does not matter whether a person is retired or working. If he does not pay income tax or does not file income tax return, he may get a show cause notice from income tax department.
3. Same case applies to your mother as in point 2. But as her income is around 50,000 only in a year, she can skip filing income tax return as her income is below taxable limits.
4. Its better that new address is updated on PAN card as in case IT department sends out some communication, it should be received by you.
Hi pankaj
Thank you so much...
1. say my father s income is above that taxable limit he is giving 15 g will this become a problem.?will the bank chk our income??
2.do senoir citizens have different tax slabs? is that applicable for those ppl who gave voluntary retirement?
Normal person like me on reading the articles got good exposure regarding the financial matters. I have suggested this website for many of my friends.
. Hats off for ur work.
@Vignesh
1. Bank won't check your income and will trust your form 15G declaration. Its tax payer responsibility to declare it if necessary. In case your father's taxable income (after all exemption and deductions like 80-C etc) is more than taxable threshold, then your father should withdraw form 15G back.
2. There is different tax slab for senior citizens (above 60 years). But if age is below 60, it won't be applied even if person has taken voluntary retirement. Check income tax slab rates on this page: http://www.pankajbatra.com/india/income-tax-calculator-india-2010-2011-2012/
Thanks for recommending us to your friends :)
What is the difference between IT return & Form 16 ?
What should I do if Employer does not give me form 16 ?
Out of two which is important ?
I hv never filed IT return nor got Form 16, what should I do to file IT return or to get form 16
Jeetendra
@Jeetendra
Form-16 is statement issued by employer for salary and other perks paid to an employee during a financial year and tax deducted/deposited for that employee.
Whereas IT return is income tax declaration by any person to income tax department. It may show income from multiple employers, bank interest, income from other sources like house rent, capital gains etc.
If employer has paid you salary and deducted taxes, he is liable to issue form-16.
One can file income tax return without Form-16 as well. Filing ITR is important and mandatory if income of a person is above non-taxable range before any deduction.
sir my name is sunil i really don't know much about incometax.........but i had one doubt related to income tax .......we wanna take a term insurance policy in the name of my mother, but it needs that to show some income proofs of the insured person, we but we don't know how to proceed , at that time one of my relatives said that to pay some advance tax in the name of my mother , and added that we can submit that advancetax payment slips to the priavate insurance company as per income proofs...................is it correct or not...........what is advance tax,,,,,,,,please send me detailed reply as early as possible...............
@Sunil
Insurance company would need form-16, Income tax return or CA certificate for income proof. Just paying advance tax and showing payment receipt won't be considered as income proof.
If your mother has no income, why she should pay advance taxes. Term insurance company may not even issue policy in her name if she does not have much income.
Hi Pankaj, I need your exper help urgently. Today, I got a notice from ITO Pune ward office regarding quoting of invalid PAN in AY 2010-11 return in my office address. In my office, there are 3 persons with my name. We are not able to identify for whom the notice has come because there is no other identification given in the notice which will distinguish us. Can you please advise on how to go about this? Your earliest response will be very helpful for us.
@Ashish
You should contact Pune income tax assessing officer regarding same. Letter may have a date and file/notice number mentioned on it. Quote this number while communicating with assessing officer.
You should also check your return form which you used for income tax return filing for incorrect PAN mention. If return was e-filed, check if letter from ITO contains some e-filing acknowledgement number on same.
Check-up with ITO Pune, assesses's father's name
Hi,
I wanted to e-file return for AY 11-12 and bymistakely I filed it for AY 12-13(Amt arnd 10k).
I submitted ITR-V to IT dept Banglore office. They have acknowledged it via e-mail. But I didn't
get any letter from IT dept even after 4 months. Is there any way to know status of return filed?
I checked online and it always says "CPC status not available". How much time they take usually?
I paid Rs 9810/- for AY 12-13, so will they consider it as "Advance Tax"? Can I send them letter/application
to consider that amount for AY 11-12. What if they send me letter saying "I have to Pay amount with intrest"
and I dont pay at all. Can you tell me any suggestion/way to get rid of this?
@Harshal
Amount paid for AY 12-13 would be considered advance tax for FY 11-12 only.
To adjust it in AY 11-12, Either you can write to your assessing officer for adjustment of tax paid for AY 12-13 in the AY 11-12, Or you can deposit same tax amount again for AY 11-12 and file a revised return. And tax deposited for AY 12-13, you can adjust when filing return for same next year.
Regarding assessment of return filed, income tax department has already started sending assessment letter and you may soon receive it in next 2-3 months.
Thanks Pankaj,
I just want to adjust amount against AY 11-12. For this how can I know who is my assessing officer so that I can write to hime?
@Harshal
You can check your income tax ward/circle on this link: https://incometaxindiaefiling.gov.in/portal/common.do?screen=jurisdiction
Income tax assessing officer in this office is handling your returns and you should write to them only.
Hi
Is there any standard format for this? Can you briefly give me idea how to write to them in this regard? It will be very much helpful
@Harshal
There is no as such standard format for same.
You can explain the issue in letter providing challan number, date of deposit and amount etc.
Hi Pankaj,
I have recd Rs. 1 lakh from IEWT Trust. It has deducted TDS @ 20%. I want to know that the amt i have recd after TDS is liable to futher taxable since I am following under 30% bucket. If so then how i can so this in my annual return filing ?
Also, i have recd Rs 1 lakh in form of ESOP from the same Trust but no share is registered in my name and TDS is alos not deducted on such amt. So is it taxable ? if so then how i can show this in my return ?
@Pappu Jain
If TDS deduction is less than the amount payable in self computation, you need to pay tax yourself in form of self-assessment.
Check "Pay your tax online" sectin in this post: http://www.pankajbatra.com/india/file-income-tax-return-online-yourself/
Hi Pankaj,
I have been following your site and also use your excel sheet for calculation my income tax. Its really great tool.
This is regarding my mother's pension. My mother receives pension after demise of my father. She receives around 32K per month. So, that income falls in the tax slab. Do you have any tax calculator for this? Can she use the same calculator which every private employee uses? if so , under which category, she income shall be shown? under basic? Can she claim HRA? Are there any limitations on HRA claim? Will 80C applicable for her too? like can she show 1lakh savings and avoid the tax? And till now, she did not pay any tax, I am doing this calculation on behalf of her. If she has to file on her own, what is the procedure? and what is the last date? and what is 15G ?
Waiting for your reply... thank you
Total income is 397506, for that amount, how much tax it would come? if there are no savings?
@Sateesh
She can use same calculator. As there are no components in pension, whole amount can be put as basic salary.
She may claim HRA exemption under section 80GG. Read more about this here: http://www.socialfinance.in/questions/1915/can-i-claim-ta-hra-benefit-if-i-get-consolidated-salary
80C,80D, 80CCF etc would also be applicable to her for tax saving.
Income tax return filing procedure is same as for normal salaried employees. She would need to file using ITR1 form. Last date of filing return would be 31st July.
15G is a declaration form to be submitted to bank for non deduction of taxes as TDS.
Taxes would be around Rs 15200 (assuming your mother is senior citizen with age more than 60 years)
Hi Pankaj,
Thank you so much for your reply. I have some more basic questions.
My mother is 49Yrs old.
I have a confusion.
1) How my mother shall pay tax, probably can you point out the steps to pay online? and what is the last date for this. Mar 31st?
2) Now, as you said, 15200 is the tax to be paid, if it was paid , there is no need of returns right? if im not doing any investments or savings for this financial year.
@Sateesh
1. Whatever pending amount she need to pay can be paid online on this link: Pay Tax Online (Use only Internet explorer for this).
Select challan type as CHALLAN NO. /ITNS 280 and continue.
Select (0021) INCOME-TAX (OTHER THAN COMPANIES) in tax applicable field and
Select (300) SELF ASSESSMENT TAX in type of payment.
Select bank through which you want to pay.
Last date would be 31st March to pay this. If tax is paid after this date, some interest penalty might be payable.
2. Even if all taxes are paid, return would also be need to be filed. If a person's income before any deduction is more than non-taxable range, he/she should file income tax return. This is not mandatory only for salaried class who has less than 5 lakh income, has worked only for a single employer in year and whole income tax is deducted by employer as TDS.
How to fill the ITR-V for AY 2011-12
@Prakash
ITR-V is acknowledgement copy of income tax return. It gets generated automatically if you file income tax return online.
Sir,
My income from other sources comes to 2.05 lakhs and i have made a short term capital gain of Rs 0.15 lakhs. I have paid insurance premium of Rs 0.20 lakhs. Kindly tell me on what amount am I supposed to pay tax (whether on Rs. 0.15 lakhs or Rs. 0.10 lakhs) and at what rate?
Secondly is it compulsory to file the return even if the income is less than taxable limit after Sec 80C deduction? I have also filled in Form 15G for nondeduction of TDS from my bank interest.
Please advice
Thanks
Jayashree
@Jayashree
For Women, there is no tax for first 1.90 lakh taxable income. As your taxable income (after 80C deduction) is 2 lakh, you would need to pay income tax on remaining 10,000. Income taxable payable would be at 15% rate as there is a short term capital gain.
Its compulsory to file income tax return, if taxable income before any deduction is more than non-taxable limits.
Sir,
In addition to the above queries please tell me how to file the return for the earlier years and how much penalty has to be paid.
Secondly I have long term capital gain from sale of units of mutual fund of 0.50 lakhs. Do i have to show this in the return form while filing the returns eventhough this profit is exempt from tax?
Please advice
Jayashree
@Jayashree
Income tax return can be filed online without any penalty before end of assessment year (31st March), for which return is to be filed.
Once this date has passed, you would need to file return in local income tax office in hard copy. There may be penalty demand of Rs 5000 raised by income tax department.
You would need to show gains from mutual funds in section: "Long-term capital gains on which Securities Transaction Tax is paid" in income tax return form (ITR2) under EI sheet.
Hi Pankaj
I am filing my ITR online for past 3 years and now I need my last 3 years ITR acknowledgment. But somehow I am not able to find acknowledgment mail for the year 2010-11. Is there any way that I can get a copy of that?
@Laya
You can login on income tax efiling website and download ITR-V from there.