ITR Tips: Do not rush to file an income tax returns, pay attention to filling the correct details..
Taxpayers and chartered accountants can check the requirements of ITR forms and prepare the details. Many people have to file their returns quickly. However, this is not possible due to many reasons. Let us know how to complete the process quickly and without any hassle.
Focus on details
Taxpayers need to ensure that the details they are filing in ITR are correct and match the data available with the Income Tax Department. Often, due to haste or time pressure while filing returns, some details are missed or filled incorrectly. This can cause big problems later. The return may have to be revised or the taxpayer may get a notice from the tax department regarding the mismatch of details given in the return.
Therefore, taxpayers should not rush to file returns. They should check and verify the data before filing.
Tax Deduction at Source
One of the major difficulties faced by taxpayers in filing early returns is related to tax deduction at source. TDS is from various sources. These include salary, interest income, dividends, etc.
After filing TDS returns, the tax deducted in the last quarter of the year is generally reflected in the tax records. It has been observed that most of these details are available in June. Taxpayers cannot file their returns until they have the TDS certificate details. And by the time it is issued, they are stuck and cannot proceed even if all other details are ready.
This is one of the major reasons why people will face problems. In such a case, the return filing process happens only after June.
In some cases, especially when it comes to interest accrued, the taxpayer does not know the income accrued and the tax deducted until he receives Form 16A from the financial entity. In such cases, there is no option but to wait for the details to arrive.
Prepare early
One cannot file returns until all the details are available but that does not mean taxpayers should do nothing else. They need to start collecting information related to their income and deductions and keep it ready.
When this information is available, the missing details can be added. For this, work on the return has to be started from April itself and there are advantages to it. Starting early increases the chances of the process being completed soon.
When the missing details are available, then the process of filing the return can be done properly. This frees up the taxpayer at the beginning of the filing season. Apart from this, it also speeds up assessment and refund.
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