Personal tax returns refer to the process by which individual taxpayers declare their income and pay any
taxes due to the Revenue Department. Here is a step-by-step guide to filing personal taxes in India:

1. Determine Your Income Sources
Identify all sources of income, that could consist of:
– Salary
– House Property
– Capital Gains
– Business or Profession
– Other Sources (hobby, dividends, and so forth.)

2. Calculate Gross Total Income
Add up the income from all sources to decide your gross general profits

3. Claim Deductions and Exemptions
Various deductions can be claimed below extraordinary sections of the Income Tax Act, which
include:
– Section 80C: Investments in PPF, EPF, life coverage, etc. (up to ₹1,50,000)
– Section 80D: Health insurance premiums
– Section 24: Interest on domestic loans
– Section 80E: Interest on training loans
– Section 80G: Donations to specified charitable establishments

4. Compute Taxable Income
Subtract the total deductions from the gross total earnings to get the taxable earnings.

5. Determine Tax Liability
Calculate your tax legal responsibility based at the applicable income tax slabs. Add any relevant
cess and surcharge.

6. Pay Advance Tax or Self-Assessment Tax
If your tax legal responsibility exceeds ₹10,000 in a monetary year, you are required to pay
increase tax. If you haven’t paid sufficient tax via TDS (Tax Deducted at Source), you can need to
pay self-assessment tax before filing your go back.

7. File Income Tax Return (ITR)
Choose the precise ITR form based to your earnings assets:
– ITR-1 : For people with income from profits, one residence assets, and different assets (apart
from lottery winnings and earnings from racehorses) as much as ₹50 lakh.
– ITR-2: For people and HUFs not having earnings from enterprise or career.
– ITR-three: For people and HUFs having income from a proprietary commercial enterprise or
profession.
– ITR-4 : For people, HUFs, and firms (other than LLP) with presumptive income from commercial
enterprise and profession.

8. Documents Required
While submitting, keep the following files available:
– Form 16 (for salaried individuals)
– Form 16A/16B/16C (for TDS on earnings apart from salary)
– Form 26AS (tax credit score declaration)
– Bank statements
– Investment proof
– Proof of deductions

9. E-File Your Return
You can document your go back online via the Income Tax Department’s e-filing portal. Here’s
how:
– Register/Login to the e-submitting portal incometaxindiaefiling.Gov.In.
– Select the suitable ITR shape and fill within the details.
– Verify your return the usage of one of the methods: Aadhaar OTP, EVC (Electronic Verification
Code), or by means of sending a signed bodily reproduction of ITR-V to the Centralized
Processing Center (CPC) in Bangalore.

10. Verify Your Return
Your return must be established inside 120 days of submitting. Verification can be achieved
electronically thru Aadhaar OTP, Net Banking, or via sending a signed bodily reproduction of ITRV to the CPC

11. Keep Records
Maintain all applicable documents and statistics used in preparing your go back for destiny
reference and ability audits.
IMPORTANT DEADLINES :
– The due date for filing ITR for individuals is usually July 31st of the assessment year.
– The deadline may be extended by the government under special circumstances.
PENALTIES :
– Late filing can attract a penalty of up to ₹10,000.
– Interest under sections 234A, 234B, and 234C for delay in filing, non-payment, or short payment
of taxes.