A lot has gone digital in India in the last few years. The efforts of the government have contributed a lot to this. This has been possible due to Digital India, Aadhaar integration, UPI, and e-governance. Also, the growth of the Indian startups ecosystem has brought a big change in the world of finance, taxation, and compliance in terms of technology.
Now things are happening faster and the time taken in the processes has reduced considerably. So, if you also want to make the process of filing taxes easier, then this news is for you. Know how Digital Form 16 will help you.
Digital Form 16
This change also includes digital filing instead of manual. Digital Form 16 has played a big role in this. It is important for every salaried taxpayer to understand the importance of Digital Form 16. This will make it easier for them to file Income Tax Return (ITR) and the chances of making mistakes in it will also be reduced significantly. This will completely change your tax filing experience.
Amazing Benefits of Digital Form 16
Digital Form 16 is not just a digital copy of the certificate. It is a solution that makes income tax compliance much easier for you! Since your employer generates it directly from the TRACES portal, the data related to your salary, deductions, and TDS is not only correct but also very reliable. This helps a lot in filing income returns, as there is no fear of data mismatch or incorrect data. Now you don’t even need to take a copy and a pen and do the calculations.
Filing an ITR by yourself is child’s play
Filing becomes much easier as the data is digitized. All you have to do is upload the digital Form 16 to the filing platform. Then the system immediately pulls the required data from it. This includes your salary amount, TDS, and deductions under sections 80C and 80D. If any data is incorrect, the system immediately tells you about it.
This gives you a chance to correct the data before submitting the ITR. This is especially beneficial for those who are not experts in tax matters but want to file their income return themselves. The Income Tax Department is constantly trying to simplify the return filing process so that taxpayers can file returns themselves.
Return processing and refunds will be faster
One of the big advantages of digital Form 16 is that it makes the processing of returns much faster. Since the information given in it is easily matched with the information of the Income Tax Department, the filing platform processes the return quickly. This leads to quick approval of ITR and faster processing of refund. This is beneficial for both taxpayers and the Income Tax Department! Now you will not have to wait long for your refund.