Quick Checklist For Income Tax Return Filing
To avoid any penalty charges on Income Tax you must make sure to file your Income Tax Return, on time. This tax which needs to be paid depends on several parameters which include the income type, income amount, your age, investments taken into account for tax deductions and so on. This tax will be deducted by the employer.
You need to use the income tax calculator online, which will help you to know effective calculations of income tax after deductions from multiple sources at one place.
Additionally, proper filing of tax will help avail finance easily such as home loan. Here’s a checklist for filing your ITR (Income Tax Return) -
- Failure to file the ITR within the due date attracts interest at the rate of 1% per month as well as penalty charges. A 3-tier fee system has been introduced for not filing the ITR. In case, the ITR is filed beyond the due date but before December 31 then fees is Rs. 5,000, whereas it is Rs. 10,000 in other cases. For professionals with income not exceeding Rs. 5 lakhs their fees is Rs. 1,000.
- There are a total of 7 forms namely ITR 1, ITR 2, ITR 3, ITR 4, ITR 5, ITR 6, ITR 7. These forms can be filed online by the process called e-filing. These forms are to be filed for the financial year 2017-2018.
- For professionals with an annual income up to Rs. 2.5 lakhs are not liable to fill ITR. whereas, those with an income ranging between Rs. 2.5 lakhs - Rs. 5 lakhs there is a 5% slab applicable. For senior citizens and super senior citizens an annual income of Rs. 3 lakhs and Rs. 5 lakhs will not attract income tax.
Hope this will help you, also you need to know explore all income tax exemptions for Salaried Individuals to take maximum benefits.
January 30th, 2019