As we journey through life, there are many things we are required to do, that we often find ourselves, asking “What is the point?”, without understanding the possible future benefits. Your annual earnings, especially if below the taxable limit or NIL, may have you considering not filing your tax return. However, filing your annual tax return is not just for informing the Income Tax Department of your earnings and taxes paid, it has other benefits that you will not realize, till you face the situation in the future and have you regretting your decision to not file your tax return. Let’s look ... Read More
5 Habits That May Put Taxpayer On Income Tax Radar
As a taxpayer to be on an income tax radar is the last thing that I expect in my life :). It is not the case that I am not paying my taxes honestly or has something to hide. To be fair and logical as a taxpayer, even though my slate is clean still, it is practically impossible for a taxpayer to explain each and every financial detail/transaction. To err is human and sometimes it is unintentional. Before I proceed, let me clarify that all the details shared in this post are based on my personal understanding of the subject. It is my own interpretation that may or may not be right. Therefore, I ... Read More
How to Claim Tax Refund of Excess Tax Paid by the Taxpayer
To claim Tax Refund of excess tax paid by the taxpayer is both easy and difficult. It is easy if you claim tax refund at the time of filing of Income tax Return i.e. ITR. For example, the last date of filing of Income Tax Return for FY 2015-16 or AY 2016-17 is 31st July 2016. The tax refund for excess tax paid by me for FY 2015-16 can be claimed at the time of filing of ITR i.e. on or before 31st July 2016. In fact, the system automatically calculates the Tax Due and Tax Paid. Any excess amount is shown as a tax refund in the ITR and can be claimed provided all other details are correct. ... Read More
7 Common Mistakes in Income Tax Return
Every year, 31st July is the last date to file your Income Tax Return for previous Financial Year. It is equally important as your birthday or anniversary date. I remember 10 year ago it was next to impossible to file Income Tax return without any help but Income Tax Department has done a commendable job to simplify the Income Tax Return Process. E-filing of income tax return through official portal of Income Tax Department is very easy, convenient & most important it's FREE. To avoid last minute rush, i always file my income tax return in the month of May or June. I keep receiving ... Read More