If you face some challenges while filling your Income Tax Return, reach out to Eazy Startups, India, for the best professional help.

Filing an Income Tax Return often brings challenges that can overwhelm even seasoned taxpayers. In such a case, taxpayers can get help from professionals for a hassle-free and smooth process. If you are looking for expert professionals to help with your tax return or Online Income Tax Registration in India, reach out to Eazy Startups today.

At Eazy Startups, our team of professionals ensures a seamless and compliant tax filing procedure by offering dependable and effective services. To handle your tax responsibilities confidently and comfortably, contact us right now. This blog will explore some common issues that arise during Income Tax Return and straightforward ways to handle them.

Let’s have a look:-

  • Deciphering Tax Forms
  • Tracking Deductibles
  • Multiple Sources of Income
  • Procrastination and Deadlines
  • Accurate Reporting
  • Adapting to Life Changes
  • Understanding Updates in Tax Laws
  • Dealing with Technological Issues

Deciphering Tax Forms

Tax forms are infamously intricate and rife with confusing jargon. Many struggle to know which forms to use and how to complete them accurately. The best course of action is to carefully review each form and consult the official instructions that come with it; these are frequently accessible on the tax authority’s websites.

Tracking Deductibles

Maintaining a close log of all deductible costs for the entire year is one of the more laborious parts of filing an Income Tax Return. It covers everything, including charitable contributions, medical expenses, and company expenses. Keep a specific folder (digital or physical) to gather receipts and financial statements as they come in to expedite this procedure.

Multiple Sources of Income

Tax filings are more complicated for people with several income sources, such as independent contractors with several customers, part-time employment, or rental income. To guarantee proper reporting and ascertain the correct tax responsibilities for each source of income, it is essential to maintain thorough records for each.

Procrastination and Deadlines

When it comes to taxes, procrastination is typically brought on by a fear of debt and a dislike of working with complicated paperwork. This delay may result in errors or the loss of possible deduction savings. It can be lessened by setting earlier deadlines for yourself and gradually dividing the task into smaller, more manageable portions.

Accurate Reporting

To prevent audits and fines, it is essential to ensure that all information is submitted appropriately while filing your Income Tax Return. Intentional or accidental errors in income reporting or deductions might result in serious problems with the tax authorities. To ensure correctness, double-check each entry and verify it with financial records.

Adapting to Life Changes

Events like getting married, getting divorced, having kids, or buying a house can greatly influence savings and tax obligations. These modifications frequently impact a number of credits and deductions, as well as filing status. Reviewing your tax profile and determining how these changes in your life may affect your overall tax position is critical.

Understanding Updates in Tax Laws

Regular modifications to tax rules and regulations can significantly impact how you file your taxes. For example, adjustments to credits, deductions, or tax rates may affect the total amount owed. It’s critical to keep up with these developments to meet new legal requirements and fully profit from any new tax advantages.

Dealing with Technological Issues

Technological problems like software flaws, server outages, or data entry errors can cause havoc with online tax filing for taxpayers. It is particularly problematic when there is a lot of traffic to tax filing websites before filing deadlines. You can reduce these problems by ensuring dependable internet connectivity and choosing reputable tax preparation software.

Final Note

Taxpayers may ensure accuracy and maximize benefits by having an easier filing process and being aware of and prepared for these frequent issues. If you need the best professional help to navigate Income Tax Return or Online Income Tax Registration in India, contact Eazy Startups today.

You must avoid some common mistakes in Income Tax Filing. Reach out to Eazy Startups for the best help with Income Tax Return Filing.

Navigating Income Tax Filing in India challenges even the most conscientious taxpayers between ever-shifting deadlines, rules, and eligibility criteria. Simple yet serious slip-ups often transpire in a rush to complete returns before looming due dates, stalling refunds and risking financial penalties. This blog will review the most frequent Indian Income Tax Return Filing mistakes below to learn how improving vigilance, record-keeping, and comprehension of the latest protocols protects your bottom line this filing season.

Before getting into the discussion, if you are confused and want experts’ help navigating the process, reach out to Eazy Startups today. Income Tax Filing is not a difficult process, and with the help of Eazy Startups experts, you can even quicken the process significantly. Contact us today.

Now, let’s dive into the detailed discussion:-

  • Missing Key Deadlines
  • Errors in Personal Information
  • Unreported or Underreported Income
  • Inaccurate Tax Regime Selection
  • Non-Disclosure of Foreign Assets
  • Errors Computing Tax Liability
  • Submission Errors 

Missing Key Deadlines:

Income tax deadlines now fall earlier, with FY22-23 filings due July 31st, 2023. Plus, late fees now apply immediately after due dates. Missing these tightened deadlines risks Rs 5000+ penalties just for delays. Similarly, employers must issue Form 16 wage statements earlier than June 15th. So taxpayers must act quicker, gathering paperwork from their side to hit filing cutoffs vs past years. Mark calendars with new timings. 

Errors in Personal Information:

Whether filing first returns or repeating annual submissions, take care in entering identifying details like legal name, PAN number, date of birth, address, and mobile numbers, which must perfectly match Aadhaar cards and PAN records. Small typos can invalidate entire applications, freezing refunds awaiting identity confirmation. Verify data directly from source documents before filing. 

Unreported or Underreported Income:

Accepting cash payments for services or earning rental/investment income often leads to underpayment if not carefully accounted for under section 44AD. The tax department expects income estimates to match sector profitability norms. So, list all revenue sources rigorously. Similarly, salaried taxpayers must report every employer providing Form 16 statements to avoid processing delays when reported wages differ from 26AS totals. 

Inaccurate Tax Regime Selection:

Filers now choose between an older vs newer tax regime each year, – but selecting improperly leads to miscalculations. Those sticking with past systems need diligent paperwork backing all conventional deductions. But picking the new regime when the old format promises bigger refunds leaves money unclaimed. Model both ways before filing to maximize benefits this season. 

Non-Disclosure of Foreign Assets:

New legislation now mandates declaring overseas assets like offshore accounts, properties abroad, equity investments outside India, and more if valued over Rs 50 lakhs. Failing disclosure risks major penalties plus prosecution. So carefully detail all assets beyond Indian borders under Schedule FA, providing all specifics mandated to avoid issues with tax authorities. 

Errors Computing Tax Liability:

Correctly assessing the tax owed each year trips up many filers, crunching numbers on their own versus relying on CA consultations. Missing eligible deductions, misinterpreting exemption limits or applying outdated rates all yield incorrect tax dues payable to the department. Countercheck all computations before accepting liabilities to prevent costly revisions later. 

Submission Errors:

India’s massive digitization push aims for predominantly e-filing tax returns backed by digital signatures vs traditional paper Income Tax Filing. This method expedites processing but only when properly executed from start to finish. Uploading incomplete forms and missing addendums like Schedule 80G for donations with expired digital signatures suspends returns awaiting corrections. 

Final Note

Income tax rules evolve continually in India, demanding vigilant adherence from taxpayers seeking rapid refunds without penalties. However, avoiding common mistakes while filing taxes ensures smooth sailing through filing season. Seeking help from expert professionals while Income Tax Filing also provides expertise steering around errors invading bottom lines this year. Contact Eazy Startups for the best help with Income Tax Return Filing.

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