ITR-1 (Sahaj Form) has been activated by the Income Tax Department for the financial year 2019-20 (assessment year 2020-21) in the corona period. This means that salaried individual taxpayers with an annual income of up to Rs 50 lakh can file income tax returns for the said year. However, those who are going to file income tax returns for the first time, they are still confused about the whole process. People filing income tax returns for the first time are trying to understand what documents are required and which forms have to be filled while filing income tax returns. If you have information about all the necessary documents, then you can easily fill the Income Tax Return yourself.
This is a type of certificate that your employer issues. In this form, the employer gives details of tax deducted from your salary and the tax deposited to the Income Tax Department. Most employers issue this form before 15 June. However, this time its duration has been extended.
Form 26AS is an annual statement related to tax. Checking of Form 26AS is most important before filing income tax return because the form contains complete details of tax deduction made by your employer, tenant and other trade partners. Apart from this, if you have made an FD and there is a tax deduction on the income from it, then the details of that will also be found in this form.
Evidence related to tax saving
If you have invested in some such funds, on which you can get tax exemption, then you need documents related to it. These include the receipt of insurance premium deposited, documents related to ELSS fund investment. If you have claimed tax exemption on the basis of education loan or home loan, then you will need a statement from the bank.
Capital gains tax statement
If you have invested in the stock market and mutual funds, you will need a capital gains statement to file income tax returns.
Personal information is also important
If you are filling in a simple form, in addition to the above details, you will need the bank details, PAN number and email ID. You should ensure that at the time of filing ITR, you must enter the correct information because if there is no match in the details, the Income Tax Department can reject your return.
It is also important to remember the deadline for filing ITR
The government has extended the deadline for filing income tax returns for the assessment year 2020-21 to November 30, 2020, given the circumstances associated with Kovid-19. After this, you will have to pay penalty for filling the income tax return. The government added a new section in the Income Tax Act last year, which provides for a maximum penalty of Rs 10,000 for filing late returns.