Income Tax Return Filing Online in India

An Overview of Income Tax Return

An income tax return (ITR) filing is a form that must be filed with the Income Tax Department as a statement of income earned. Sections 237 to 245 of the Income Tax Act deal with provisions relating to refund of tax. An income tax refund can be claimed when the taxpayer has paid more tax than the actual tax liability — in the form of advance tax, self-assessment tax, tax deducted at source (TDS), tax collected at source (TCS), or foreign tax credit.

The Central Board of Direct Taxes has issued notifications for the ITR forms required for filing. Taxpayers can download forms SAHAJ ITR-1, ITR-2, ITR-3, SUGAM ITR-4, ITR-5, and ITR-6.

India's income tax laws are framed by the Government of India, which imposes tax on the taxable income of all persons — individuals, Hindu Undivided Families (HUFs), companies, firms, LLPs, associations of persons, bodies of individuals, local authorities, and other artificial juridical persons. Tax liability depends on residential status. Every individual who qualifies as a resident of India must pay tax on global income.

Who Is Bound to File an Income Tax Return in India?

The following entities or individuals are required to compulsorily file ITRs in India:

1. All individuals up to the age of 59 whose total income for a financial year exceeds Rs. 2.5 lakhs. For senior citizens (aged 60–79), the limit is Rs. 3 lakhs. For super senior citizens (aged 80 and above), the limit is Rs. 5 lakhs. Income must be calculated before factoring in deductions under Sections 80C to 80U and exemptions under Section 10.
2. All registered companies, regardless of whether they have made any profit during the year.
3. Those who wish to claim a refund on excess tax deducted or income tax paid.
4. Individuals who have assets or financial interests in entities located outside India.
5. Foreign companies that enjoy treaty benefits on transactions made in India.
6. NRIs who earn or accrue more than Rs. 2.5 lakhs in India in a single financial year.

Documents Required to File Income Tax Return

• Post office and bank savings account passbook, PPF account passbook
• Salary slips
• Aadhaar Card and PAN Card
• Form-16: TDS certificate issued by your employer showing salary paid and TDS deducted
• Interest certificates from banks and post office
• Form-16A: TDS certificate for payments other than salary (e.g., interest on fixed deposits, recurring deposits)
• Form-16B: From the buyer, if you have sold a property, showing TDS deducted on the amount paid to you
• Form-16C: From your tenant, showing TDS deducted on rent received by you
• Form 26AS: Consolidated annual tax statement showing all taxes deposited against your PAN, including TDS by employer, banks, or other organisations; advance taxes; and self-assessment taxes paid
• Tax-saving investment proofs
• Proofs to claim deductions under Sections 80D to 80U (health insurance premium, interest on education loan, etc.)
• Home loan statement from the bank

Types of Income Tax Return Forms

The Income Tax Department lists several ITR forms depending on the nature of income. The table below provides a quick guide:

How to Login or Register on the E-Filing Portal

1. Visit the e-filing website: https://www.incometax.gov.in/iec/foportal
2. If registered previously, click "Login Here". If new, click "Register Yourself".
3. Click on "Taxpayer", enter your PAN, click "Validate", then click "Continue".
4. Provide details such as name, address, gender, residential status, and date of birth.
5. Provide your email ID and registered mobile number.
6. Once the form is filled, click "Continue".
7. Verify the details — a 6-digit OTP will be sent to your registered mobile number and email address.
8. Enter the OTP and follow the instructions to complete registration.
9. After OTP verification, a new window will open. Verify all details. If any detail is incorrect, update it — another OTP will validate the change.
10. Set up a password and secure login message.
11. Click "Register" — you will receive an acknowledgement confirming successful registration.

Step-by-Step Guide to E-File Income Tax Returns

Before filing, calculate your income tax liability and use Form 26AS to summarise TDS payments for all four quarters of the assessment year. Determine the applicable ITR form based on Income Tax Department definitions.

1. Visit the official Income Tax e-filing website and click "Login".
2. Enter your username, click "Continue", and then enter your password.
3. After logging in, click on the "e-File" tab, then click "File Income Tax Return".
4. Select the Assessment Year for which you wish to file and click "Continue".
5. Choose whether to file online or offline. Online is the recommended mode.
6. Select your filing status: Individual, Hindu Undivided Family (HUF), or Others. Choose "Individual".
7. Choose the applicable ITR form (e.g., ITR-1 or ITR-4 for individuals; ITR-2 for individuals and HUFs without business income). Click "Proceed with ITR1" (or the applicable form).
8. Select the reason for filing your return — above the basic exempted limit, or under the seventh proviso to Section 139(1) (e.g., deposits exceeding Rs. 1 crore in current accounts, foreign travel expenditure exceeding Rs. 2 lakhs, or electricity bills exceeding Rs. 1 lakh).
9. Fill in your bank account details. If already provided, pre-validate them.
10. Review the pre-filled information on the new page. Confirm the summary of your returns and validate.
11. Verify your returns and send a hard copy to the Income Tax Department if required. Verification is mandatory.

Guide to Filing ITR Offline for Super Senior Citizens

Super senior citizens (aged 80 and above) have the option to file ITR offline. ITR can also be filed offline if an individual or HUF has income below Rs. 5 lakhs and is not entitled to a refund.

1. Request Form 16 from the employer (if applicable).
2. Submit the ITR returns in paper form at the Income Tax Department office.
3. Once submitted, receive an acknowledgement slip from the Income Tax Department.

Benefits of Filing Income Tax Return

1. Quick Processing: ITR acknowledgement is prompt. Refunds, if any, are processed faster than paper-filed returns.
2. Accuracy: E-filing software with built-in validations minimises errors considerably compared to paper filing.
3. Convenience: Available 24/7 — file from anywhere at any time.
4. Confidentiality: Better data security than paper filings — your income details are not accessible to unauthorised persons.
5. Accessibility to Previous Data: Past data is stored securely and can be easily accessed when filing subsequent returns.
6. Receipt Proof: Instant confirmation of filing is sent to your registered email address.
7. Ease of Use: Detailed instructions make e-filing accessible even to individuals not well-versed in the internet.
8. Electronic Banking: Convenience of direct deposit for refunds and direct debit for tax payments. You can file now and choose the payment date later.

Why Choose LegalTax?

1. We provide proper legal assistance throughout the process.
2. Our experts handle everything with strategy and efficiency.
3. We help you understand every step clearly and simply.
4. We go the extra mile to help businesses achieve their goals and are always ready to resolve any issues related to the ITR process.

FAQs

Q1. Give an overview of Income Tax Return.

An income tax return is a form filed with the Income Tax Department as a statement of income earned. Under Sections 237–245 of the Income Tax Act, a refund can be claimed if excess tax has been paid — through advance tax, self-assessment tax, TDS, TCS, or foreign tax credit. Taxpayers can file forms such as SAHAJ ITR-1, ITR-2, ITR-3, SUGAM ITR-4, ITR-5, and ITR-6.

Q2. Who needs to pay income tax?

• Association of Persons (AOP)
• Local Authority
• Artificial Juridical Person
• Hindu Undivided Family (HUF)
• Political Party
• Company
• Firm

Q3. Who should not file ITR-3?

If an individual or HUF has income as a partner in a partnership firm carrying out business or profession, they cannot file ITR-3. In such a case, ITR-2 must be filed.

Q4. What can be done if the return filing deadline is missed?

A belated return can be filed.

Q5. How do I pay income tax to the government?

Tax can be paid by cash or cheque at any designated bank branch, or online through the NSDL website.

Q6. Can I file ITR after the last date has passed?

Yes. If you miss the due date, a belated return can be filed — with a late filing fee and reduced benefits — before the end of the Assessment Year for the concerned financial year.

Q7. Is a Nil ITR mandatory to be filed?

Yes. All business entities — companies, LLPs, and firms — must file an ITR even if their total income or tax payable is zero.

Q8. What is the penalty for a delay in filing ITR?

A late filing fee of Rs. 5,000 applies for returns filed after the due date but on or before 31st December. For returns filed after 31st December, the fee is Rs. 10,000. For small taxpayers with income up to Rs. 5 lakhs, the fee is limited to Rs. 1,000.

Q9. Do I need to file a return if my business has a loss?

Yes. ITR must be filed even in case of a business loss.

Q10. What is Form-16?

Form-16 is a Salary TDS Certificate issued by an employer showing the salary paid and the TDS deducted at source.

Q11. What are the charges for default filing?

The late filing fee is Rs. 5,000 if filed on or before 31st December of the tax year, and Rs. 10,000 in any other case. For taxpayers with total income up to Rs. 5 lakhs, the fee is limited to Rs. 1,000.

Q12. What is an implication form?

This refers to the Income Tax Return form. The time limit for filing ITR differs for various taxpayers based on government guidelines.

Q13. What is income tax return filing?

It is a form filed with the Income Tax Department as a statement of income earned. Income earned by individuals and businesses is subject to tax, and the time limit for filing ITR varies for different categories of taxpayers.

Q14. Who should file an Income Tax Return?

• Sole Proprietors
• Partnership Firms, Sole Proprietorship Firms, Companies, and LLPs — mandatory irrespective of turnover, income, profit, or loss
• Individuals (Residents and NRIs) — mandatory for those surpassing the prescribed income limit
• LLPs and Partnership Firms
• Companies

Q15. What are the benefits of income tax return filing?

• Claim refund of TDS paid from salary
• Easier loan processing and higher risk cover
• Defines financial worth
• Allows carry forward of losses

Q16. What are the advantages of tax filing?

• Carry-forward losses
• Easier loan approvals
• Establishing income in compensation cases
• Quick visa processing
• Serves as income and address proof
• Claim tax refund
• Avoid penalties

Q17. What is the process of income tax return filing?

• Collect required documents such as TDS certificates and capital gains statement
• Download and check Form 26AS
• Rectify any errors in Form 26AS
• Pay any outstanding taxes
• File income tax return after all taxes are paid
• Verify the ITR
• Receive e-verification acknowledgement
• Income Tax Department processes the return after verification

Q18. What documents are required for Income Tax Return filing?

• Bank account statement
• PAN card
• Form-16
• Aadhaar card
• Financial statements
• Investment and expense proofs under Section 80
• Cancelled cheque

Q19. Who is eligible to file ITR-6?

ITR-6 is to be filed by companies that are not claiming any exemption under Section 11.

Q20. I have already paid my taxes. Do I still need to file a return?

Yes. Return filing is compulsory if your taxable income is above the threshold slab, regardless of whether taxes have already been paid.