Income Tax: If you are filing ITR, do not make these 8 mistakes even by mistake, you will have to regret it..

ITR Filing Rules: Filing an ITR is very important for every taxpayer. Filing ITR is the duty of the taxpayers, but after some important changes made in the last budget, the deadline for filing ITR for common taxpayers has been extended from 31 July to 15 September.

Although this news is a relief for taxpayers, many times those who fill ITI (Avoidable Mistakes While Filing ITR) for the first time make some mistakes. Let us know which mistakes should not be made while filing ITR.

First mistake - Do not fill in the wrong ITR form

Many times when taxpayers fill out ITR (ITR Filling Rules), they select the wrong form, if you do this then it may result in the return being rejected or its processing may be delayed. Also, if you have earned long-term capital gain of up to Rs 1.25 lakh during the entire financial year from shares or equity mutual funds, then now under the new rules you can use the ITR-1 form, whereas earlier under the rules ITR-2 or ITR-3 had to be filled.

Second mistake - mistake of not filing the return

Many people believe that they do not earn so much that they have to pay income tax, so they do not file returns. But thinking and doing so is not always right. Let us tell you that under the rules, if you have spent Rs 2 lakh or more on foreign travel, or the electricity bill has come to more than Rs 1 lakh, then it becomes necessary to file an ITR for this also.

Apart from all this, if you have got TDS deducted and want to claim a refund, then you should file the return because it is not possible without filing a return. Along with this, it is very important to file tax returns to avail the benefit of increased tax exemption in the new tax regime.

Do not ignore the changes.

Many taxpayers are not aware of the rules of Budget 2024 and many taxpayers while filing ITR this year, the biggest mistake of taxpayers (Taxpayers Updates) will be that they do not include these changes in the ITR.

That is, now long-term capital gain tax will be levied on listed shares and equity mutual funds as per 12.5 percent and the benefit of indexation will not be available. Along with this, the tax on short-term gain has been increased from 15 percent to 20 percent.

Similarly, considering 23 July 2024 as the cut-off date, your capital gain will have to be shown separately according to the transactions done before and after that date. Not only this, but now only the Aadhaar number will be valid in ITR 1, 2, 3, and 5 forms and now the Aadhaar enrollment ID will not be valid.

Along with this, the new tax regime has now been made default under the rules. If you want to select the old tax regime, then for this you have to fill out Form 10-IEA before ITR.

Selecting Form 26AS and AIS

For your information, let us tell you that all your financial transactions, tax related information like TDS are in the Annual Information Statement and Form 26AS. If you do not check them and file ITR without checking, then you may have to regret it later.

Apart from all this, if something does not match these and your own bank statement or Form 16, then you should get it corrected first. So that there is no major error in the return. This will help you get a quick refund and you will not get a tax notice.

Not giving the correct report of income received from all sources.

You must have noticed that many times taxpayers report only the income from which TDS is deducted, but doing this is wrong. Let us tell you that there are many incomes like savings accounts, FD, RD, rent, income from abroad, or freelance income, on which TDS (Tax Deduction at source) has not been deducted.

That is why many times people ignore them. If you do this, then due to wrong reporting of income, tax calculation can also be wrong. Later you may have to pay a penalty for this.

Not showing exempted income.

It is mandatory to report the exemption i.e. exempted income in the correct section while filling ITR. Such as PPF interest, agricultural income, LTA, HRA, insurance maturity, or the returns received from the Sukanya Samriddhi Scheme, it is necessary to mention them.

If these returns are not shown in the ITR, then the return can be considered defective and if the correction is not done on time, the return can also be considered invalid.

Not adding the old employer's salary.

Let us tell you that if you have done another job during the financial year, then it is very important to show all the income by combining Form 16 from both the old and new employers. Many times it also happens that different deductions are given by both employers, due to which there is less deduction in tax, and in the end you have to pay advance tax yourself. If you do not do this, then it can lead to interest and penalty later.

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