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Everything You Need to Know About Income Tax E-Filing

A recent tweet from the official handle of India’s Income Tax Department notified that 3.75 crore Indians have already filed IT returns for AY 2020-21. This number is a significant rise when compared to the data of 2019, which was 3.63 crore.

The availability of filing income tax has simplified assessment and tax payment, thereby boosting the number of taxes filed. It has streamlined this process and helped individuals save time. The ITR online submission process is easy, quick, and maintains confidentiality when compared to the traditional method.

How to file income tax online?

Income tax e-filing requires taxpayers to get themselves registered at first through the Income Tax Department’s official website. Completing this process requires submitting personal details like name, date of birth, and PAN.

Also, individuals need to create a password, and their PAN will be their user ID.

After that, e-filing income tax online one needs to follow the below-mentioned steps –

  1. Visit the official website of the Income Tax Department
  2. Complete the login by using the ID, password, and captcha.
  3. Navigate to the ‘e-file’ menu and click on ‘Income Tax Return’.
  4. After this, one needs to select the assessment year, ITR form number, filing type, and submission mode.
  5. Click on ‘Continue’.
  6. Taxpayers then need to read the instructions thoroughly before filling up the mandatory fields of income e-filing
  7. After submitting these details; one needs to select the right verification option in the ‘Taxes Paid and Verification’ tab. Here, taxpayers have two options available; they can either e-verify their application or send it to the office of the IT Department in Bengaluru
  8. Following the selection of verification option, one needs to click on the ‘Preview and Submit’ option, and verify the data
  9. Then, submit the ITR
  10. Upon selecting the e-verification option, one can use the OTP submission method to complete this process

A point to note here is that taxpayers should click on the ‘save draft’ option at a regular interval to ensure that they do not lose their progress due to any sudden glitches. 

Along with this, there is an offline process as well for income tax return filing. For this process, one needs to initiate the e-filing income tax method via the XML method, with the aid of Java or Excel. For this, they will need to visit the Income Tax Department’s official website and download the same. Following a successful extraction of these utilities, one needs to fill the mandatory fields, validate every detail, and then use an income tax calculator for the tax amount.

Income Tax

Income tax payment and home loans: How are they connected?

This process of filing income tax returns online is streamlined and boosts user convenience significantly. In this regard, one should remember that filing an income tax return on time is essential because it acts as vital income proof and a mandatory document to have while applying for a home loan.

Also, borrowers must know the list of all the documents required for a home loan to complete this process without any hassle.

However, one can avoid a lengthy documentation process for a housing loan with pre-approved offers. These offers streamline the application process and help save time. It is applicable to financial products like home loans, and loans against property, etc. Applicants can check their pre-approved offer by submitting their essential contact details.

E-filing income tax has streamlined the process of ITR submission and is much more time-efficient. Resultantly, it has managed to bring more Indians within the structure of on-time income tax payment. Also, the tax benefits of a joint home loan further encourage home loan borrowers to pay income tax, effectively doubling tax savings.

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