Income Tax Return Filing: File Income Tax Return on Time and Avail Big Benefits; Check Details Here
The Deadline for submitting returns for the financial year 2021–2022 is July 31, 2022. Employed individuals, businessmen and professionals, capital gains from capital assets, rental income, business and professional income, and female taxpayers who get income from other sources such as interest, dividends, etc. and whose income is above the taxable threshold.
They are required to submit their income tax returns before the deadline. In addition, tax audits are compulsorily conducted on these women business owners and professionals whose books of accounts fall under section 44AB of the Income Tax Act. They must submit their income tax returns by October 31st, 2022, but the tax audit report must be posted to the Income Tax Department’s online filing system by September 30th, 2022.
The taxpayer must match the income amounts with his Form 26AS on the Income Tax e-filing system when filing his income tax return. The government is showing information about self-deposited income tax and other types of income received, such as TDS.
The Income Tax Department will now generate capital gains from the purchase and sale of shares, debentures, mutual funds, the purchase and sale of movable and immovable property, the purchase of a vehicle, and expenses for foreign travel on the same portal’s AIS (Annual Information Statement). Additionally, the Income Tax Department will provide information on bank interest, dividends, and other expenses and investments. Therefore, these details must match when filing an income tax return so that the taxpayer can declare those situations appropriately. If not, the Income Tax Department will take action in the future to look into and verify them.
To prevent any fines or penalties, it is urged that all taxpayers file their ITR on or before the deadline.
Due to the Covid-19 pandemic and technical issues with the recently built income tax online site, the central government has prolonged ITR filing deadlines and other income tax-related due dates during the past two years. The ITR filing date is set this year as it was every year before the pandemic, though, since things are returning to normal.
The taxpayers must be aware that the deadline is generally July 31 and that, barring a further extension by the government, the process should be finished by the end of July. As far as you are aware, the government has not yet extended the deadline this year, thus the deadline for reporting ITRs remains July 31, 2022.
Benefits to File ITR on Time:
Taxpayers must be aware of the advantages and the reasons behind filing their income tax returns ahead of schedule as the process of doing so is currently underway. The following list includes some of the top advantages of filing ITRs on time:
Possibility of Errors
Rushing to submit ITRs at the last minute increases the chance that you will make mistakes, which will cause the department to reject your return. ITR filing late has been regarded as one of those errors that can happen.
Filling out the incorrect ITR form, stating the incorrect assessment year, and providing inaccurate personal information—including the wrong name, date of birth, PAN, and bank information—are some of the most common mistakes. Furthermore, there could be factual inaccuracies, calculation problems, income misrepresentation, and omission of additional information about investments and other sources of income.
When filing your ITR, it is always preferable to provide adequate time. Keeping your cool while organising and carefully reviewing your documentation will help.
According to the Income Tax Rules, failing to file the income tax return by the due period may result in a Rs 5,000 penalty and other related repercussions. Interest on the tax amount due under Section 234A of the Income Tax Act of 1961 may also be assessed in the event that an ITR is filed late.
Carry Forward Losses
In accordance with income tax regulations, taxpayers who file their income tax returns on time may carry over their losses to the coming financial year. This assists taxpayers in lowering their tax obligation on future income.
Help in TDS claims
Tax Deduction at Source (TDS) is a frequently used deduction from a person’s salary or other income. TDS claim, however, can be overturned by filing an ITR. The amount of income from all sources that might be subject to tax liability should be added up and subtracted from the amount of TDS that applies to your income when paying taxes electronically. A rebate from the government is owed if a taxpayer’s TDS exceeds his entire tax liability for the financial year. A taxpayer must submit Form 16 for TDS, which is available from his employer.
You can receive your TDS return in your bank account within a few months by submitting your ITR on schedule.
Easy Loan Approval
Getting loan approvals from lenders is made simpler by having a strong history of ITR filing. Banks request a copy of your ITR statement from you when you apply for a loan as documentation of your income.