Last-Minute Checklist to Verify Your Final ITR

Last-Minute Checklist to Verify Your Final ITR

If you are looking to file your ITR on the last due date and don't know how to submit it quickly and correctly, then don't worry here is a quick checklist to verify your final ITR, before your furnish it on the official site of the tax department:

Here's are some important points that you must remember before filing your ITR in the eleventh-hour:

Collect all your financial documents at one place

Before filing your ITR, it is vital to gather all your important financial documents in one place. In case you are a salaried class person, you must make sure your file ITR via Form 16. Don't forget to gather Form 16 from your employer before you make a switch to another firm.

Documents like Form 26AS which contain details of all the taxes deducted from your salary, TDS certificates, bank interest certificates, bank's passbook or bank statement, etc. must also be kept ready before you start filing your ITR.

Identify your total taxable income and tax liability

Once you gather all your financial documents, you must calculate your total income and the total tax liability against it.

Before calculating your total taxable income, you should not forget to claim all kinds of tax-saving deductions (e.g. HRA (house rent allowance), LTA (leave travel allowance), etc.

U/s section 80C, 80D and so on which you are eligible for.

Your total tax liability will be high if you forget to claim these tax-saving deductions from your total income.

Once you calculate total taxable income, determine the total tax liability on it. Also, not forget to deduct the TDS from your total tax liability. The final figure found post this calculation will help you determine any additional tax liability or a refund against you.

If any additional tax liability is found, you must pay for it before filing your tax return.

Fill Correct ITR Form

After calculating total taxable income and tax liability, you should identify the correct ITR form that is applicable to you depending upon your income. An ITR filed via a wrong form is deemed as a defective return, and in such case, you are required to file your tax return again.

Hence, all file your ITR via a correct return form. For those who don't know,

ITR-1 is applicable for those resident individuals having a total income less than INR 50 lakh for FY 2018-19. The sources of income for such a person should be one house property, salary/pension, and income from other sources like interest received on savings account and so on.

Although for people who have incurred capital gains or losses for more than one house property need to file ITR-2. Also, for those holding unlisted equity shares, filing income tax return via return form ITR-2 is compulsory.

Pre-filled ITR forms for ITR 1, 2, 3 and 4 are also available online on the online platform for taxpayers to file their tax returns correctly. For those files, ITR via Excel utility form can download the XML file format from the e-filing website of the income tax department. The XML file should be imported into the Excel utility, and all details will get pre-filled.

Proper reporting of Exempted incomes

Income received from sources like PPF interest, interest income from tax-free bonds, dividend income etc. which are excluded during taxable income calculation should also be reported by the taxpayers while filing their ITR.

One should also not forget to cross-verify you filled ITR information via pre-filled ITR form. Also, make sure, all required schedules in Excel utility are filled correctly. Also, cross-check the tax-liability in the ITR form with your calculations.

Verify your Income Tax Return

Once you furnish your ITR on the e-filing website, i.e., you should not forget to verify it.

As per tax laws, any registered person should verify his/her ITR within120 days starting from the date of filing it. Popular ways to verify your ITR include electronic ITR verification using Aadhaar OTP, EVC via Net banking facility, etc.

Remember if you do not verify your ITR, then it will not be considered valid. An unverified ITR will not be taken up for processing by the income tax department, i.e., it will be taken as if you have not filed it.

Don't Forget to Pre-validate Bank account in ITR

Pre-validate your bank account, in case you are looking to claim a refund post ITR filing. PAN linking and pre-validating your bank account is mandatory to claim e-refunds, as per the tax department notice on its official site.

Income Tax Return Revision

If you make a mistake while filing ITR, then you can revise it by filing a revised ITR Via Gen IT Software. The final deadline to file the revised ITR is 31st March 2020.

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