The deadline for filing income tax returns with the Income Tax Department is 31st July. Surpassing last year's record, the department announced that the 1 crore mark has been reached 12 days earlier this year. To ensure a hassle-free process, taxpayers are urged not to wait until the last moment and file their returns as soon as possible, according to a tweet from the department.
To help you navigate the process smoothly, here are 10 mistakes you should avoid when filing your income tax return:
1. Missing the deadline: Failing to file your ITR within the stipulated time can lead to penalties of up to Rs. 5000. Ensure you meet the 31st July deadline.
2. Failure to file ITR: Neglecting to file your ITR altogether can result in serious consequences and penalties.
3. Choosing the wrong ITR form: Carefully select the appropriate ITR form to avoid complications and ensure accurate filing.
4. Bank account verification: Verify your bank account details while filing your income tax return to prevent delays or issues with receiving the return money.
5. Forgetting to verify ITR: Verify your ITR within the provided timeframe (currently 30 days) to avoid costly repercussions. Failure to verify may trigger a notice from the Income Tax Department.
6. Providing false personal information: Double-check all personal information provided in your income tax return for accuracy and consistency across all documents.
7. Selecting the wrong assessment year: When filing your tax return, choose the assessment year that corresponds to the financial year following it. For example, for the current tax filing, select Assessment Year 2023-24.
8. Not reporting income from all sources: Disclose all sources of income, even if you are a salaried individual, to ensure comprehensive reporting.
9. Job change information: If you changed jobs during the financial year, include the income from both your present and previous employers in your ITR.
10. Neglecting to disclose capital gains and losses: Failure to provide accurate details of capital gains and losses in your ITR can have serious consequences, so ensure their inclusion.
By avoiding these common mistakes, you can streamline the income tax return process and prevent any unnecessary complications or penalties.
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