You must file your returns on the Income Tax department’s eFiling website – https://incometaxindiaefiling.gov.in/. Let’s look at the steps involved in filing Income Tax returns online.
Step 1: If you are a new user, you must first register yourself on the site. Click on the ‘Register Yourself’ button on the top right corner in the website.
Step 2: Select the user type applicable to you:
Step 3: Enter the details applicable to you. Remember that having a valid PAN is essential for filing returns. If you do not have this, you should first apply for your PAN. The PAN serves as the login id when you file your income tax returns online. Fill in your other personal details such as name and date of birth.
Step 4: In the following screen you will need to enter a password, secret question and answer and other personal details such as contact number, email id, address etc.
proceed to On successful completion of the registration form, the registration becomes successful and you can file your returns.
Step 1: Once you are a registered user, you must login to your account to file the returns. Click on ‘Login Here’ at the top right hand corner of the home screen.
Step 2: Login to your account using the PAN as user id, the password set at the time of registration and the date of birth. Enter the captcha code shown on the screen to login to the account.
Step 3: You will be taken to the dashboard screen in your login, from where you can perform the various activities as highlighted below. You can also view your past filings and pending actions, if any.
1. Mandatory Filing
- In any of the following situations (as per the Income Tax Act), it is mandatory for you to file an Income Tax Return in India.
- Your gross total income (before allowing any deductions under section 80C to 80U) exceeds Rs. 2.5 lakhs in FY 2017-18. This limit is Rs 3 lakh for senior citizens (aged above 60 but less than 80) or Rs 5 lakhs for super senior citizens (aged above 80)
- You are a company or a firm irrespective of whether you have income or loss during the financial year
- You want to claim an income tax refund
- You want to carry forward a loss under a head of income
- You have exempt long-term capital gains from – sale of equity shares in a company OR sale of a unit of an equity oriented mutual funds, OR sale of a unit of a business trust, of more than Rs 2.5 lakhs in a financial year. Even though these gains are exempt from tax, such persons have to mandatorily file an income tax return. [effective FY 2016-17, AY 2017-18]
- Return filing is mandatory if you are a Resident individual and have an asset or financial interest in an entity located outside of India. (Not applicable to NRIs or RNORs)
- If you are a Resident and a signing authority in a foreign account. (Not applicable to NRIs or RNORs)
- You are required to file an income tax return when you are in receipt of income derived from property held under a trust for charitable or religious purposes or a political party or a research association, news agency, educational or medical institution, trade union, a not for profit university or educational institution, a hospital, infrastructure debt fund, any authority, body or trust
- If you are a foreign company taking treaty benefit on a transaction in India
- Proof of return filing may also be required at the time of applying for a loan or a visa