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2015

Certain small precautions in filing I. T. Returns

  • Filing your income tax returns was once a cumbersome task. With things gone online, the process has become much easier over the years. But, there’s always a possibility of making silly errors. Here’s a list of a few errors you might make inadvertently. Read on, so you won’t make the same.
  • 1. Getting numbers wrong: The most common mistake tax filers make while filling in is giving incorrect PAN and TAN. Double check these numbers without fail.
  • 2. Mistakes in bank details: The second one is bank account number(s). Tax payers often make silly mistakes while putting the IFS code of their bank branch. Refunds are no longer issued by cheque but through ECS. Therefore, it is essential to ensure submission of correct bank details, like the full digit account number. Also, ensure that the bank account mentioned on the form is an operating account. From this year, one has to mention all operational savings and current accounts held. You don’t need to mention inoperative accounts – that have been inactive for more than three years.
  • 3. Mistakes in filing the correct form: There have been some major changes in ITR forms this year. Make sure you choose the correct form. You should be filling the form based on your source of income. Keep in mind, if you choose the wrong form, it will be considered as a failure to file returns. To know which form you need to fill, click here.
  • 4. Filling multiple forms for multiple form 16: When you change jobs it’s common to get multiple Form 16. You should show details of all Form 16 in a single return, and not fill multiple forms for the same.
  • 5. Mistakes in source of income: Another common mistake is failure in mentioning all your sources of income, both taxable as well as non-taxable. Many tax payers think that interest income from savings and fixed deposit accounts is not taxable or that the tax has already been deducted by the bank. Banks make TDS from Interest on fixed deposits, but that does not mean you don’t mention the income in the ITR form. Failure to mention all sources of income could get you into trouble. Also don’t forget to mention income from sale of shares or mutual fund units, income from real estate and the like. It’s best to gather documents of all your sources of income at one place before you start the ITR filing process.
  • 6. Tie the loose ends: Make sure you complete the entire process of ITR filing. For instance, many fail to tie the loose end. Make sure that you send the physical copy of IRT-V acknowledgement to CPC, Bangalore within 120 days. This is applicable only when the ITR-V pertains to Return filed online without Aadhaar number or digital signature.
  • These are small but some of the common errors made while filing ITR. Ensure that these may not happen.
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