The Income Tax department has made various changes in the Income Tax Return (ITR) filing last year. Many forms like ITR1, ITR2 and ITR4 has been enhanced. Not only that, even tax deducted at source (TDS) has witnessed changes in Form 16 and Form 26AS. Every move is taken to ensure transparency and give more flexibility to taxpayers. That said, once again the tax season is here, and every taxpayer is busy gathering vital documents in order to file their tax return. While some taxpayers knock on the doors of Chartered Accountant s(CAs) for filing their ITR, on other hand, some do it on their own. With new changes in place, it is important you do not make mistakes and have every document ready.
Archit Gupta, Founder & CEO at ClearTax said, “We are already heading towards the due date for income tax return (ITR) filing i.e. 31 July 2019 for the financial year 2018-19 (AY 2019-20). Many of you think that there is still a lot of time until the due date and then tend to delay the filing. However, a delay till the last few days may only make the income tax filing more chaotic and hassled given the income and information disclosure requirements of the income tax returns.”
List of documents required for ITR filing
Don’t you think maintaining and organising all the documents necessary for the tax filing can reduce most of the chaos? To help you file your tax returns, here is a list of documents you have to gather and keep ready.
Every salaried individual with a taxable income will receive a TDS certificate from the employer called Form 16. It includes a detailed break-up of your salary and the deductions made on it. The government has modified Form 16 such that it is in sync with income tax returns notified for the financial year 2018-19.
The form 16 consists of two parts–Part A and Part B. Part A provide details such as the tax deducted (TDS) by the employer, Permanent Account Number (PAN) of the employer and employee, and TAN of the employer. On the other hand, Part B includes information on various components of salary i.e., basic salary, allowances, perquisites and profits in lieu of salary. It also consists of details of exempt allowances such as house rent allowance, and details of deductions claimed on investments such as provident fund contribution, life insurance premiums and repayment of housing loan. Some websites allow you to upload your Form 16 and prepare your return automatically…..Read more>>