Income Tax Filing: Earlier this month, the Income Tax Department released new ITR forms, which have made some important changes. Changes were made in the capital gains tax rules in the Union Budget 2024, according to which it became necessary to amend the ITR form as well.
Apart from this, some other changes have also been made. However, the Income Tax Department has not yet released the ITR filing utilities nor has the employers (companies) issued Form 16. However, taxpayers are advised to start collecting documents for filing returns from today itself.
Don’t wait until the deadline of July 31st, as last-minute rushes and technical difficulties can cause problems. The last date to file an income tax return is 31 July. Tax experts say that the last date for filing income tax returns is usually July 31. However, taxpayers should not wait until the last date to file returns.
They should start preparing for it now. By doing this, you will be able to file your return correctly without any rush and avoid any mistakes. First of all, you need to decide which income tax system is more beneficial for you – the new or the old.
Both the tax regimes have different tax benefits and slabs, so choose wisely according to your income and deductions.
After this, you also need to know which ITR form you need to use.
Different ITR forms are used according to the source of income (ITR-1 for salaried individuals, ITR-2 for those with estate income, etc.).
If you are unable to understand it, you can seek help from a tax expert.
After choosing the income tax regime and the correct ITR form, you need to start collecting the necessary documents.
These documents are extremely important for filing your returns in a correct and verified manner:
Bank Account Statements
Bank TDS Certificate
Aadhaar and PAN Card
Form 26AS
Annual Information Statement (AIS)
Form 16 (issued by employer)
Returns Filed in Previous Years
Salary Slips
Rent Agreement
Foreign Bank Account Statement
Transfer Statement of Investments Made Abroad
Proof for Taxation
Tax experts say that in this year’s Union Budget, the government has announced tax exemption for income up to Rs 12 lakh per annum. However, it is important to note that this rule has come into effect from this financial year itself. Therefore, its benefit will be available while filing returns in the next financial year.
The returns that taxpayers will file before July 31 will be for the financial year 2024-25 (i.e. income from April 1, 2024 to March 31, 2025). Therefore, if you are using the old income tax regime, you will also have to submit proof of tax-saving investments, such as investments made under section 80C (PPF, LIC, ELSS, home loan principal) and health insurance premiums under section 80D.
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