ITR Filling Tips: Careful attention is needed when filing your income tax return (ITR). However, people often make small mistakes, which can prove costly later. Many people think that simply filling out the form is the end of the process. However, this is not the case. Failure to provide correct or incorrect information while filing your income tax return can result in the Income Tax Department issuing a notice.
Mistakes like incorrect PAN numbers, incorrect income tax categories, incorrect tax credits, or section errors are common. People often assume that a small error will be overlooked. However, the tax department’s digital tracking system is now so robust that even minor errors can be detected. Therefore, it’s crucial to ensure every detail is accurate and fully verified when filing your ITR. Otherwise, you could face a notice.
Why does the notice come?
People often assume that only those who commit tax evasion and fraud receive notices from the Income Tax Office. However, if there is an error in your ITR, the Income Tax Department sends you a notice, which can usually be viewed via email or on a digital portal. The notice details the discrepancy and the amount found, and provides a time limit for correction.
Sometimes this notice is simply for information. However, in some cases, you may be required to pay additional tax or a penalty. There’s no need to panic when you receive a notice. Instead, you should carefully review the form and bank documents and correct the error. The appeal and correction process is also easy on the digital portal, allowing for a quick resolution.
How to avoid mistakes while filing ITR?
When filing your Income Tax Return (ITR), first check your income, tax credits, and PAN information before filling out the form. Enter the sections and deductions correctly, verify bank account details, and keep a record of your digital receipt or slip, if possible. Many people don’t check their TDS or 26AS statements.
This can lead to a notice later. Another easy way is to seek the help of a professional tax consultant or software that performs automatic verification. By avoiding small mistakes, you can significantly reduce the likelihood of receiving a notice and file your ITR correctly.