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ITR Filing of Salaried Person | Form 16

We make Income tax return filing very easy and simplified

File your Income Tax return if you are a salaried employee with the help of Chartered Accountants who are Experts in Income Tax Law. If you are a salaried employee, salary is the main source of your income. You may have also interest income from bank, capital gain, dividend or any other income. Request a call back here

At Compliance Calendar LLP, Chartered Accountants are qualified to resolve any query related to ITR filing, notice, capital gains, dividend, tax refund, tax audit applicability, tax savings, property tax, foreign income, provident fund, pension and any other query related to Income tax. For any query or problem, you may have, our experts who will assess your case and advise you for your tax return issues.

E-mail us Form 16 at info@ccoffice.in

For inquiries, WhatsApp/Call us on 99 88 42 42 11

Overview

Income Tax Return is nothing but a prescribed form through which the particulars of income earned by a person in a financial year and tax payable on such income is communicated to the Income tax department after the end of the relevant financial year.

The forms used to file details of income taxes payable and Paid with Government are known as Income Tax Returns. Income tax return forms are provided for different assessesee by the IT department. It is also a complete online procedure where you need not submit any physical form to the department.

The Central Board of Direct Taxes (CBDT) has made it mandatory to file Income Tax Returns for persons whose basic exemption limit has crossed and for them, there are prescribed form of ITR through which the particulars of income earned by an employed person in a financial year and taxes paid or payable on such income is communicated to the Income tax department after the end of the relevant financial year.

Some Ground Realities on ITR Filing Of Salaried Persons

You know we all fall in the same place when it comes to tax savings. Every year, we think “Ish baar kam se kam itna toh tax bachana hi hai yaar”. Well, this is happening now. With CCL Income tax Advisors (who are experienced Chartered Accountants and well versed with taxation), you can save your maximum tax liability. Not only this, Our Professional team generates tax saving opportunities, provide all possible ways for saving taxes and doing tax planning for you.
Many salaried persons think that income tax is already paid by their employer by deducting the TDS and depositing the same to the Government, so why to file income tax return? Know that if your gross total income exceeds the basic exemption limit (which is presently Rs. 2.50 lakh), ITR Filing becomes mandatory.
By filing Income tax return, you can also avail deductions under various sections like 80 C, 80 CCC, 80 CCD, 80 CCG, 80D, 80 DD, 80 DDB, 80E, 80G, 80 GGA, 80 U and 80 TTA. Such deductions give benefits in terms of employees provident fund, life insurance premium, tuition fee for children, NSC, contribution to NPS, PPF, home loan repayment, interest on education loan, health insurance premium, rent paid, deductions for investments made under Rajiv Gandhi Saving Scheme, deductions for medical treatment of handicapped dependent, expenses incurred for specified disease, saving bank account interest and many others.
If you are a salaried person, different forms are prescribed for filing of returns for different nature of income and status of the person. We can help you choose an IT return form according to your status and nature of income. Here, we come to help you understand your income and devise the IT Return filing which is applicable to you.

Let us help you understand ITR filing for salaried person in simple words:

If you are working in any organisation, you must have noticed that your employer deducts TDS from your salary every month and gives you “Form 16” at the end of the relevant financial year.

Did you ever wonder what to do with such Form 16?

Form 16 is the very first document we require for filing your ITR. Even, if you do not have the Form 16, we can file the ITR with more details we will require from you.

Online Tax returns are set up in an excel worksheet & Java Formats, where the income figures are used to calculate the tax liability of persons. Tax returns are to filed every year by an individual or business assessesee that received taxable income during the year, whether through regular income, interest, dividends, capital gains, or other profits. Even if you paid extra tax, we are here to help you to get the refund from the Income tax department. Let our team of Chartered Accountants help you in filing your Tax Returns

Documents Required ITR Filing of Salaried Person

For filing Income Tax returns, we need from you the accurate information on income, deduction and TDS paid. Here is a checklist of what we need for e-Filing your Income Tax returns:

Form 16: This is the most important document which your employer will provide you. This is the basis of filing the income tax return.
Information for type of ITR form: We need all the income details to understand which ITR form will be applicable for you.
Form 26 AS: If you have previously filed ITR, we can access the same from Income Tax Login if you have login credentials. Form 26AS can also be downloaded through net banking if PAN is mapped to that particular account.
Saving Account Interest and FD Interest: We need Bank statement or passbook for interest on your savings and FD account. Also provide Interest certificates or TDS certificates from banks and Post offices.
Details of bank accounts: We need bank account detail including the IFSC Codes. It is mandatory to give the details of all the saving bank account for filing income tax returns.

Procedure for Online ITR Filing for Salaried Person

Below are the Steps for Online ITR Filing for Salaried Persons:

You submit all the required details and documents to us.
Our Compliance Manager (Chartered Accountant) will understand your tax implication and liabilities over phone or video call.
Preparation of the Income Tax Return after discussing all the points in detail.
Filing of Income Tax Return with the Income Tax Department on your behalf.
On successful submission for form, ITR-V would be displayed.
Click on the link to download the ITR-V. ITR-V will also be sent to the registered email.
If ITR-V is uploaded with DSC, the return filing process is complete.
E-verify the Income Tax Return by various methods available by looking at the most feasible one for you.
CCL Team will also send you the computation of income for your understanding

Features & Benefits

You must have heard or seen many advertisements which encourages the person to file the income tax return with the department. But wait, what is the benefit of filing the same. Well, here are the answer which will enlighten your knowledge and encourage you to file your income tax return with the department. Some of them are given below:

Law Compliant Citizen: The first and one of the most important benefits of filing of income tax returns is that it ensures that the individual is compliant with the Indian Income tax laws. By staying within the timelines, the individual would be able to manage his financial affairs effectively.
Visa Application: If you wish to visit any country and you are applying for a Visa, the foreign consulate will require proof of your income as well as Income Tax receipts. Thus, it is required to file tax returns if you ever go for the Visa processing of any country. The acknowledgment for filing the tax returns would come in handy in case a visa is required to be obtained; the document would serve as proof of the financial soundness of the individual.

Loan or Credit Card Requirement: If a loan or credit card is required to be obtained from any bank or financial institution, the tax returns would be required to prove the ability of the person to repay the loans or manage credit card. It also becomes a proof that you have a regular income and have paid taxes on it and then Banks and other Financial Institutions feel comfortable in giving you a loan or a credit card.
To get refund on excess tax paid (if any): If your TDS has been deducted more than your tax liability, it becomes very important that you file your tax returns to claim tax refunds. Without filing the ITR, the Income Tax Department shall not issue tax refunds. Excess taxes paid by an individual either by way of TDS on Fixed Deposit Interests, any other Tax Deductions or advance/self-assessment tax can be refunded only by filing income tax returns.

To carry forward the Loss: If you have sustained a Business loss or loss under the head “Capital Gains”, you can carry forward the loss only if you file the Income Tax Return by the due date. Therefore, if you have sustained a loss, you must file your Income Tax Return in time if you want to carry forward the loss for future adjustment with your Income. If you have any capital loss, you can carry it forward for the next eight consecutive financial years.
To avoid penalty: If you do not file your Income Tax Return by 31^st July of the assessment year, the Income Tax Department may impose a penalty up to Rs. 10,000. If you do not file the Income Tax Return by the due date, you are liable to pay interest at the rate of 1% of Income Tax payable for every month after the due date till the date of filing the return. Note: Due Date of filing tax return gets extended many-a-times.
To claim deductions: The Income Tax Act, 1961 has provided many deductions. By filing the Income tax return, you can avail all those deductions which otherwise your employer would have missed it for that you need file your Income Tax returns every year. By submitting the various proof such as PPF, investment, Mediclaim bill etc. You can claim deduction and save tax on your income. You can also file nil return with the department.

Apart from these common benefits, CCL would like to bring your attention to some extraordinary and essential features of filing ITR:

For appointment in Judicial & Class one Jobs: While applying for judicial post, the candidate who may be a Lawyer, Chartered Accountant or a Company Secretary are required to demonstrate annual professional income with the selection panel. Generally, for these types of post, no client data or record of similar work done previously shall matter to the selection body except previously filed income tax returns that shows the candidate’s credibility. In some of the judicial services 7 years ITR record is checked at the time of interview.
For accidental claim in third party Insurance: Life is very uncertain we all know this but, in this uncertainty, also, we can protect us and our loved-ones. Nobody wants that their insurance claim be rejected on the basis of non- submission of ITR filing proofs. Therefore, it is very important to file the ITR returns with the department even if income is nil. It can help you in future in case of accidental death of any one member/s in the event of any mishappenning because during court trial insurance company need the proofs of income to arrive at the amount of accidental claim, if any return is missing, mainly last 3 years, this could lower the claim amount or even no claim because court take ITR as only evidence. No wealth record, FD’s, business etc. is given that much importance as compared to ITR in the eyes of law. The formula for claim is by multiplying the Yearly income in ITR with years of expected life of deceased. We at CCL can remind you every year about the regular return filing.
For immigration profile obtaining visa outside India: This is another benefit of filing your ITR regularly. The High Commissions of various countries or VFS centers across India have huge record of fabricated documents in which income tax returns of visa applicants are one of them. Why? Because travel agents forge it or sometimes show it as regular income tax return by charging huge money. Every assessesee should file genuine return if intention is in mind to go aboard in future. Use it showing your all genuine source of incomes, because immigration officers give due weightage to your annual income. Absence of any single year returns can decrease your chances of foreign visa under visitor, investor or work permits category.
For eligibility in all Loan cases from Banks: One of the services of all banks either private or Nationalized is to finance the customers in the shape of bank loans, Cash Credit Limit or project funding etc. Income tax returns of last three years are the basic need for it except agriculture limits. Secondly, the PAN is checked over the CIBIL website if Individual or corporate body is not a defaulter in any previous bank. The CIBIL Score plays a critical role in the loan application process. Because this agency keeps the record of your installment payment nature, as it gives the score to your bank which is required for the particular approval of loan case. That is why according to the Supreme Court order, hard recovery of all loans is banned, especially in car loans no forceful possession can be taken by the bank. CIBIL just blacklist such customer for all future loans all over India, based on the PAN card number allotted to such loan defaulter.
For obtaining Government tenders, registration on panels: As described in earlier points, the value of business profiles of various corporate agencies, contractors, professional service providers or Individuals is dependent on the yearly income tax returns. Sometimes contractors have very good history of procuring heavy projects in their line, be it a service or works contract, but they lack the knowledge & benefit to file the returns on time or sometimes the returns were not filed on the factual provisions (i.e defected returns). For contractors, these returns needed not only to be filed on time, but must be very much accurate & audited (if required), these must be signed with necessary documents because in tender- approval meetings or for finalizing professional panels, the selection body has ample options to mature the tender in favor of the fittest. Sometimes this work is checked by the tender scrutiny committee and five to seven years ITRs are considered to see whether the applicant has done the work of that much amount earlier or not. So next time to enlarge your business horizon and obtaining more tenders from Government or private bodies, one need to file the regular returns every year

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Frequently Asked Questions

What is Income Tax Return or ITR?

An ITR is a form through which taxpayers declare their income, expenses, deductions and tax payments to the department. This procedure is called as income tax return filing. If you've paid more taxes or extra TDS gets deducted than needed, the department will refund the extra money to your bank account with the filing of your ITR only. If you have paid less tax for the year, you have to pay the taxes and then can file your return. Tax form ranges from ITR 1 to ITR 7, which are used for different types of incomes and for different persons. Each form demands different information, some forms require more info and some need less and some need additional information such as a complete balance sheet and profit and loss statement also.

Why do you have to file income tax returns?

Many of us think that filing of Income tax returns is optional and therefore do not file it regularly and find it unnecessary and burdensome. You have to file it once a year only and it is your moral and social duty to file it regularly.

Moreover, being an Indian Citizen, whether you are a resident Indian or an NRI, filing income tax returns are compulsory, if your total income earned in India exceeds Rs 2.5 lakh in one Financial Year.

And even if your income is less, it will be a good practice to file your income tax return regularly. To avail any type of loan, or if you are planning to go abroad for higher studies or about to take a job outside India, Income Tax Return is most important document as it shows your capacity to repay a loan or your financial health, which shows that you can support yourself on your own in their country. Detailed benefits of filing of ITR are given in CCL’s “Features & Benefits of filing ITR” tab.

What forms are used for which persons?

Under the Income tax Law, different forms of returns are prescribed for different classes of taxpayers. The return forms are known as ITR forms (Income Tax Return Forms). The forms of return prescribed under the Income-tax Law for filing of return of income are as follows:

*Return Form*	*Brief Description*
ITR - 1	Also known as SAHAJ is applicable to an individual having salary or pension income or income from one house property (not a case of brought forward loss) or income from other sources (not being lottery winnings and income from race horses, income taxable under section 115BBDA or income referred in section 115BBDA or income referred in section 115BBE).
ITR - 2	It is applicable to an individual or an Hindu Undivided Family not having income chargeable to income-tax under the head “Profits or gains of business or profession”
ITR - 3	It is applicable to an individual or a Hindu Undivided Family who has any income chargeable to tax under the head business or profession.
ITR - 4	Also known as SUGAM is applicable to individuals or Hindu Undivided Family or partnership firm who has opted for the presumptive taxation scheme of section 44AD/ 44ADA/44AE.
ITR - 5	This Form can be used by a person being a firm, LLP, AOP, BOI, artificial juridical person referred to in section 2(31)(vii), cooperative society and local authority. However, a person who is required to file the return of income under section 139(4A) or 139(4B) or 139(4C) or 139(4D) shall not use this form (i.e., trusts, political parties, institutions, colleges)
ITR - 6	It is applicable to a company, other than a company claiming exemption under section 11 (exemption under section 11 can be claimed by charitable/religious trust).
ITR - 7	It is applicable to a person including companies who are required to furnish return under section 139(4A) or section 139(4B) or section 139(4C) or section 139(4D) (i.e., trusts, political parties, institutions, colleges).

How can I file an income tax return?

You can file your income tax returns online, by your own on the income tax department's website or in easy way with us. Income Tax filing is made easy on http://www.compliancecalendar.in

What are the documents & details you need when you're filing your ITR?

Show basic information such as PAN & Aadhar Card.
Details about all the bank accounts you've made transactions with in the given financial year.
Income proofs like Form 16, income from investments (like FDs, savings bank account) etc.
Information about all the investments you've made in the given financial year.
Information about TDS and Advance tax payments, if any.

Is my confidential data safe with you?

You do not have to worry about that at all. Your data is 100% safe with us. We value your data so much and follow the highest standards in data security to keep it safe as we are Professionally managed firm.

My company/firm deducts the TDS. Do I still have to file my Income tax return?

Yes, deducting TDS is not enough. Filing a return is a different thing. You file your return to declare that you've paid all the taxes due upon you.

I am a salaried person but I don't have a Form 16. Can I still file my Income tax return?

Yes, of-course you can file your Income tax return on CCL without Form 16 also. In that case, you just need your pay slips for the given financial year.

Which ITR form should I select for e-filing?

There are total seven forms - ITR 1, 2, 3, 4, 5, 6 and 7 for different types of persons or nature of incomes. Literally speaking, choosing the correct form of return is a painful work. That is why we are here to help you decide correct form of return for you on the basis of your status and nature of income.

How can I pay taxes to the government?

You can pay tax to the government directly on the Income Tax Department website using your Net-banking details with Challan 280. We will assist you step-by-step, if you are unable to process on your own.

If I have TDS deductions, how will it be refunded to me?

If calculated tax shows fewer amounts than the deducted TDS then the tax deducted in excess can be claimed as refund by filing your ITR only. It will be directly paid to you in your bank account through ECS transfer. And with us at CCL talking to the Chartered Accountant, you can check status of your refund without any hassles.

If I do not have any positive Income, Do I still have to file my return?

If you have occurred losses in a particular financial year, then you can carry forward it to next financial years and can adjust it against subsequent year’s positive income. But in your case, you must file your return before the due date only. This is really a golden opportunity to claim such loss by filing your return within due date and save taxes in subsequent year’s positive income by adjusting claimed loss against such income. But this loss can be carried forward only if you have filed your return before the due date specified by department.

Can someone else file my ITR on my behalf or I have to file it by my own?

Yes, someone else can file your ITR on your behalf. But it will be a good practice to not allow any random unprofessional person to have access to your PAN and password in order to prevent any kind of fraud. With CCL, you get an experienced Chartered Accountant to calculate your income and your tax liability and e-file your return on your behalf with highest standards of security.

Is it mandatory to file IT returns after getting a job?

As we said earlier, filing of income tax return is compulsory if your total income earned in India exceeds Rs 2.5 lakh in any Financial Year. And even if your income is less, it will be a good practice to file your income tax return regularly. To avail any type of loan, or if you are planning to go abroad for higher studies or about to take a job outside India, Income Tax Return is most important document as it shows your capacity to repay a loan or your financial health, which shows that you can support yourself on your own in their country. Detailed benefits of filing of ITR are given in CCL’s “Features & Benefits of filing ITR” tab.

I have sole proprietorship firm and my income is very low. Do I still need to file ITR?

Since you have a sole proprietorship firm having income from business. Therefore, you can claim all your business expenses and losses by filing ITR 3. You may also choose presumptive scheme of tax where you can offer only 6 or 8% of your business turnover as your taxable income by filing ITR4.

I have committed a mistake while filing the return. Can I file revised return with the department?

At the time of filing our return, we take the utmost care not to make any mistakes. However, at times it may happen that we make a mistake while filing our return at the last minute. These could include mentioning the wrong bank account number, forgetting to declare any income or claiming any wrong deductions. However, do not worry if you have made any mistakes as the income tax laws allow you to correct it by filing revised return for any number of times. Income Tax Law states that if someone after filing their return discovers any mistake or wrong statement, then he can furnish a revised return within the stipulated time as mentioned in law. Our Chartered Accountant can help you in this. Get in touch with us.

Is there any cut-off date to get a deduction under section 80C?

There are some deductions allowed under the Income Tax Act, 1961 which help you reduce your taxable income. You can avail the deductions only if you have made tax-saving investments or incurred eligible expenses during a financial year. There are a number of deductions available under various sections that will bring down your taxable income. The most popular one is section 80C of Chapter VIA. The only cut-off date to get deduction is to declare it while filing ITR i.e. ITR filing date. You cannot claim it as a deduction after filing ITR.

My PAN and Aadhar are not linked. Will I still be able to file ITR?

Last date for linking of PAN with Aadhar is being extended continuously and as per apex court rulings an individual can still be able to file his/her income tax return only they have to furnish his/her Aadhar number or the enrolment ID while filing Income Tax returns.

Getting SMS from IT department to submit acknowledgement copy. What does it mean?

The last step in filing your ITR is to verify it. If you do not verify your tax return, then it will not be considered valid in income tax laws. Once you have filed your ITR on the e-filing website, you get 120 days to verify your return. There are 5 ways to verify your ITR. Out of these, four are electronic methods and one is a physical method. These methods can be used only if you are filing tax returns which are not required to be audited. However, if you are filing your tax returns required to be audited, then you have to verify it using the 'Digital Signature Certificate’.

There are the five ways you can verify your ITR:

Via Aadhar-based OTP
Generating EVC via Net-Banking
Generating EVC via Bank Account
Verifying Tax Return through Demat Account
Sending signed ITR-V/Acknowledgement Receipt

What are the consequences for non-filing of ITR?

There are many benefits of filing the Income Tax Return. But the consequences of Non-Filing of the Income Tax Return includes Penalty under Section 271F of Income Tax Act, 1961, Interest under Section 234A of Income Tax Act, 1961, Non-Carry Forward of Losses, Best judgment assessment (Assessment under section 144), Non-Claims of Refund of Taxes, Penalty for Concealment of Income and Prosecution for Failure to Furnish Return of Income. Hence, it is advisable that you file your Income Tax Return in due time.