Before you sit to file your Income Tax Return (ITR), you should know a few important things. Many people make small mistakes during the process, which later become a reason for receiving notices or rejections. It’s better to take small precautions and do a little preparation before filing.
📂 Collect All Your Income Documents First
Filing ITR becomes very easy if all your documents are already collected. Make sure to keep these documents ready:
- PAN Card and Aadhaar Card
- Form 16 (from employer)
- Salary slips of the financial year
- Bank interest certificates
- Form 26AS (available on income tax portal)
- Investment proofs (for deductions)
- Capital gains or rental income documents (if any)
Having these papers in one place will make the ITR process quicker and error-free.
📄 Choose the Correct ITR Form to Avoid Rejection
Every taxpayer needs to select the correct ITR form based on his or her income. Choosing the wrong form can lead to rejection or legal trouble. Here’s a simple guide:
- ITR-1 (Sahaj): For salaried individuals with income below Rs.50 lakh
- ITR-2: For individuals with income from salary, more than one house property, capital gains, or foreign assets
- ITR-3: For business professionals or those who earn from profession/freelancing
- ITR-4 (Sugam): For presumptive income from business or profession
If you are filing for the first time or unsure about the form, it’s better to take help from a CA or a trusted tax advisor.
🔗 PAN and Aadhaar Linking is Mandatory
Before filing ITR, check whether your PAN and Aadhaar are linked. The Income Tax Department has made it compulsory to link both, and if it’s not done, your PAN may be considered inactive. This can delay the ITR process or make it invalid.
Also, ensure the name, date of birth, and gender match on both documents to avoid e-verification issues.
💸 Know About Tax Regimes and Deductions
Since Budget 2023, there are two types of tax regimes:
- Old Tax Regime – Offers deductions under Section 80C, 80D, etc.
- New Tax Regime – Lower tax rates but no major deductions
As of FY 2024-25, the new regime is the default option. But if you wish to claim deductions, then you can choose the old regime while filing.
Also note:
- Standard Deduction under the new regime has been increased to Rs.75,000 for salaried people.
- In the old regime, you can claim deductions like Rs.1.5 lakh under Section 80C, Rs.25,000 under 80D, HRA, home loan interest, etc.
Compare both regimes before selecting.
🧾 Crosscheck Last Year’s Return to Avoid Confusion
From this year, the Income Tax Department is allowed to compare your current ITR with the past year’s ITR. So make sure the income figures and other details match and are consistent.
If you have sold property, shares, or mutual funds, keep proper records of capital gains and show them correctly. Mismatch in reporting can raise red flags.
🖥️ Step-by-Step Guide to File ITR Online
Once everything is ready, follow these steps to file your ITR online without any mistake:
Step 1: Visit the Income Tax Department’s Portal
Go to https://www.incometax.gov.in
Step 2: Log in or Register
If you are filing for the first time, register using your PAN. If you are already registered, just log in.
Step 3: Click on ‘File Income Tax Return’
Go to the ‘e-File’ tab and select the option to file ITR.
Step 4: Choose the Assessment Year
Select ‘AY 2025-26’ for filing ITR of income earned between 1st April 2024 to 31st March 2025.
Step 5: Select Online Mode and Status
Choose ‘Online’ as the filing method. Also, select your filing status – individual, HUF, etc.
Step 6: Pick the Correct ITR Form
The portal may suggest a form, but double-check based on your income. Select the correct ITR form.
Step 7: Fill in Personal, Income, and Deduction Details
Fill all sections carefully – personal info, income from salary, house property, other income, deductions under 80C/80D/80G, etc.
Step 8: Validate and Calculate Tax
Click on ‘Validate’ and check if tax is payable or if you’re eligible for a refund.
Step 9: Submit the ITR
After checking all entries, submit the ITR.
Step 10: E-Verify the Return
Without verification, your return will not be processed. E-verification can be done through:
- Aadhaar OTP
- Net banking
- EVC via bank account
- Sending signed ITR-V to CPC Bangalore by post (if digital methods fail)
🔍 Extra Tips to Make the Process Smooth
- Don’t wait for the last date – The earlier you file, the sooner your refund gets processed.
- Check for TDS mismatch – Match your Form 26AS with your salary slips.
- Use the pre-filled return feature – But don’t fully rely on it; cross-check manually.
- Avoid fake deductions – Only claim deductions if you have valid proof.
- Keep acknowledgment safe – After filing, download and save the ITR acknowledgment copy.
📢 Penalties if You Miss the Deadline
If you file ITR after the due date (usually July 31), then:
- You may be charged a late fee under Section 234F
- You can’t carry forward losses
- Refunds get delayed
- Interest is charged on due taxes
So it is always better to file within the time and avoid last-minute stress.
