Once, you are done with the immense task of filing your ITR, you might think that the job is done. But wait, there is more to it. There are still a few things on the checklist that you may need to tick off first. What are these things? Let’s find out
- Verify your ITR
To complete the return filing process, it is mandatory to verify your Income Tax Return (ITR). If you fail to verify it on time, your ITR will be considered invalid, meaning it is as good as you have not filed your return.
The CBDT (Central Board of Direct Taxes) has reduced the time limit of ITR verification to 30 days (from 120 days) from the date of return submission. The new rule is applicable for the returns filed online on or after 1st August 2022.
E-verification is the most convenient and instant method for verifying your ITR. However, if you prefer not to e-verify, you have the option to verify it by sending a physical copy of the ITR-V.
There are several methods available for e-verifying your ITR:
- Generate Aadhaar OTP
- Existing Aadhaar OTP
- Existing EVC
- Digital Signature Certificate (DSC)
- Generate EVC through a bank account
- Generate EVC through the Net Banking
- Generate EVC through DEMAT account
- Generate EVC through bank ATM option (offline)
- Keep an eye out for notices and intimations
No, this is not to scare you into thinking that a scary notice from the Income Tax Dept. (ITD) is on its way once you have filed your ITR. However, it is important to stay alert.
You will receive an Intimation under section u/s 143(1) which will include details about your TDS deducted, Total tax paid, and any deductions that you may have claimed. If there’s no mismatch in the calculation made by you and the one made by the ITD, you have nothing to worry about. However, in case there’s a mismatch, the intimation will let you know about the same and you will have to make correction actions within the stipulated timeline.
One of the most common scenarios of mismatch is when you may have more tax liability than you thought. If you agree with the calculation of the ITD you can go ahead and pay the remaining tax. However, if you disagree with the calculation, you can respond accordingly on the new Income Tax Portal.
This year, the ITD is also sending an intimation regarding refund and if it feels that you have claimed more deductions than what you had declared to your employer. In such a scenario, you can either agree with the intimation and revise your return or you need to confirm that the deductions you have claimed are correct.
- File Revised Return
If you find any error or discrepancy in your original return, you can rectify the same and file a revised return u/s 139(5). Such errors can include
- Any mistake in personal information like address, residential status etc
- Wrong ITR Form
- Missed reporting income sources
- Errors in carrying forward losses
- Mistakes in deductions claimed and so on.
Once you file a revised return, it will substitute your original return, and don’t forget that you also need to verify your revised return as well within 30 days of filing it. Alternatively, if you receive a notice from the ITD regarding any errors that you may have made in your original ITR, you will have to correct the same and file a revised ITR. You can file a revised return before the completion of three months of the relevant Assessment Year. So, for AY 2023-24, you need to file your revised return on or before 31st December 2023.
Track your ITR
Once you have filed and verified your ITR, you can track its status on the Income Tax Portal to check whether it has been processed or not. Processing of ITR can take anywhere from 1 day to 45 days, however, in some cases it can take longer too. If you feel that it is taking too long for your ITR to get processed, you can raise a grievance on the Income Tax Portal.
File Belated Return
This is for all those who snoozed through the due date of filing ITR. In case you’re one of them, it is time for you to buckle up and file your belated return u/s 139(4). You can file a belated return till 31st December of the relevant Assessment Year.
So, if you haven’t filed your ITR for AY 2023-24, you can file a belated return by 31st December 2023. But wait! Remember that filing a belated return comes with consequences. What are they? Let’s take a look
- Interest u/s 234A
- Late Filing Fees u/s 234F
- Inability to carry forward losses
- Inability to claim certain deductions/exemptions
- Inability to change tax regime while filing ITR
So, there you go, your to-do list after filing your ITR. And hey, if you are yet to file your ITR, do it at the earliest to minimize your penalty.
