Income Tax season is here! 8 mistakes to avoid while filing IT returns

Incorrect form selection There are many types of ITR forms available. It is very important to identify and fill the one that is most accurate to use otherwise it can lead to errors and penalties.

Incorrect personal details While filing ITR forms one should give extreme importance to personal details like PAN, Aadhaar, address and bank details to avoid any errors. If you do not give the correct address orders and notices can be sent to the wrong address.

Failure to report all incomes It is important to report all sources of income including salary, interest from savings accounts, rental income, capital gains or any other income that is taxable.

Failure to mention exempted incomes Tax payers need to mention all their income, even if it is excluded from taxation. As per the law, every taxpayer whose income exceeds Rs 2.5 lakh needs to file income tax returns. 

Incomplete bank details It is important to disclose all your domestic as well as overseas bank accounts. Other than this, all bank accounts closed during the year must also be mentioned.

Incorrect TDS information Taxpayers should have the 26AS form along with the Form 16. Both documents need to be checked correctly to ensure there are no discrepancies.

Failure to report minor’s income If there is a minor, who is an earning member or has investments against their name, then their income should be combined with that of the parent. Failure to do so would be considered non-compliance with the tax laws. 

Failure to e-verify Taxpayers need to verify their tax return within 30 days of filing as without it the IT department will not process your tax return. If you fail to do this the department will issue a notice stating that ITR is ‘invalid’.

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