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Income tax returns e-filing – made simple

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E-filing is the process of filing income tax returns electronically through the e-filing portal of Income Tax department. Income tax department has provided a very good online system and necessary utilities to facilitate easy and quick income tax returns e-filing.  Insurance Funda is providing a complete guide to make your income tax e-filing easy. Follow the step by step guide to file your returns without the help of tax practitioners.

Read the latest post on the topic:

Income Tax Return e-filing – Salaried Employees step by step guide

How to calculate Income Tax payable by you.

You can calculate the Income tax payable by you in simple steps using the online calculator provided by Insurance Funda. All you have to do is give your income and deductions allowed under various sections.

Income Tax returns e - filing

Things to remember before starting income tax returns e – filing
  • You should have a valid PAN (Permanent Account Number – 10 digit alpha numeric number) to do e-filing.
  • Register at the Income Tax department portal using your PAN number to create a user name and password.
  • View/Download your 26 AS form (Tax Credit Statement) to verify the tax deposited with Government.
Quick view of steps involved in Income Tax Return e-filing.


income tax returns e-filing
Step by step guide on Income Tax Returns e-filing

Let us have a detailed look at each of the steps involved.

How to decide the income tax returns e-filing form suitable for you.
ITR 1 (SAHAJ)For Individuals having Income from Salaries, One house property, Other sources (Interest etc.)ITR -1
ITR 2For Individuals and HUFs not having Income from Business or ProfessionITR - 2
ITR 2AFor Individuals and HUFs not having Income from Business or Profession and Capital Gains and who do not hold foreign assetsITR - 2A
ITR 3For Individuals/HUFs being partners in firms and not carrying out business or profession under any proprietorshipITR - 3
ITR 4For individuals and HUFs having income from a proprietary business or professionITR - 4
ITR 4S (SUGAM)Presumptive business income tax returnITR - 4S

Decide the income tax form suitable for you based on your income categories and as per the table given above. More Instructions on each form can be obtained from the link provided in the table itself.

Excel Vs Java utility for Income Tax returns e-filing

Either of  excel and Java utility can be used to e-file returns without any restrictions. But my recommendation is to use Java utility over excel utility as the former is more sophisticated and will require lesser number of steps.

If you decide to use Java utility, you should remember a few things.

Java utility can work  on Windows 7 and above plat forms only. Further, you will have to download and install JRE (Java Run Time Environment) before downloading and installing the software. You can freely download JRE from here. Once JRE has been set up in your system, you can download the Java utility corresponding to your Income Tax return form by clicking here.

At the same time, if you decide to go for excel utility, one thing you should remember is that, to enable Macros in your excel software to make this utility work. Read more about enabling macros from here.

How to use Pre – fill option while e-filing using Java or excel utility

Facility to fetch common data required for e-filing has been provided in both Java and excel utilities provided by income tax department. Java utility allows you to prefill the data from PAN card. It is always advisable to use this option before starting filling your tax details. If you are using Excel utility you can prefill the details from previous xml files if available.

How to validate the data entered in e-filing utility.

Validation of the data entered in the e-filing portal is an important step to be followed while using the utility. Buttons are provided on every pages to enable validation. On clicking the validate button, the utility will check for any errors which has to be addressed. Make sure to do the validation process for all the pages where data is filled.

Submitting the Income Tax returns to e-filing portal

Once you are sure that all the relevant data is entered and validation has been done successfully, you can submit the returns. As explained in the diagram, for excel utility, you will have to create an’xml file’ using ‘CREATE XML’ button provided in the utility. The xml file thus created can be uploaded to income tax e-filing portal.

If you are using Java utility you can directly submit the returns using the ‘SUBMIT’ button.

What is ITR – V form and how to use it.

Once your Income Tax returns returns are submitted you will be able to download ITR – V form from the website. ITR – V form is used when you cannot digitally verify your signature in the e-filing process. Downloaded ITR -V form has to be signed and send to CPC Bangalore by ordinary post. Address to which the form has to be send is  provided in the form itself.

If you require more information regarding e-filing you can see this video.

Read More : All about income tax rules applicable for Insurance Policies.

Anish L J

Anish L J is a 'Financial Planner' and member of Chartered Insurance Institute(CII), London and Insurance Institute of India. He is also a finance, insurance and software consultant. He thoroughly follows the developments in finance, insurance, and other related sectors.