ITR AY-2019-20 : Mistakes in Filling Income Tax

Income tax department extended the due date of filling income tax return for AY 2019-20 from 31^st July to 31^st August, 2019. Income tax return is the form of information all about income of assesse . Various forms are available for income tax return ITR 1, ITR 2, ITR 3, ITR 4, ITR 5, ITR 6, and ITR 7. If you are filled belated return, you are not allowed to carry forward losses. However taxpayer who have not filled their ITR appear to be in a hurry to meet this dead line . But there are something wrong among them in the crowd for filing their tax return on the due date, which is not expected . If a  taxpayer want to avoid this type of mistakes to follow those rules.

1)Choose correct ITR return form :

Everyone must choose correct ITR from . For example, while ITR 1 to ITR 4 are applicable for individual and HUF, ITR 5 to ITR 7 are for company and firm . ITR 1 can file those people whose total income doesn’t exit 50 lakh and whose income under the head income from salary/pension, income from house property, income from other source, and agriculture income up to 5000. But many times we see that whose income exceeds 50 lakh or agricultural income exceed 5000 they file ITR 1, this is wrong.  So, it is very important to choose right ITR form for filling income tax return. 

2) Correct determination of residential  status :

It is very important to determine residential status before filling income tax return. Tax liability is depend on residential status . Residential status is different  from citizenship. The residential status of an individual for income tax purpose has nothing to do with citizenship. Most of the case residential status does not determine correctly . There are two condition to determine residential status – 182 days and 60 days. So, first of all you should determine residential status correctly. If you using pre-filled  IT return forms, to verify  residential status.

3) E-verify filled ITR return form : 

Many people forget e- verify to filled IT return form. Many people send ITR-V  to the central processing centre without  e-verify. If you not e-verify your filing return within 120 days, the return can become invalid. Your ITR start processing after e-verify.

4) Non disclose exempt income :

there are some income which exempt from levy tax such as dividend income, maturity of PPF etc. This incomes are exempt but still need to be reported in ITR.

                                                                                                                                                                 

These type of mistake not only make your return invalid but also liable for penalty , it’s depend on the nature of mistake. So, there is no need to take this point lightly. And be careful on the time of IT return filling.