ITR filing at an initial stage need a bit of planning and the correct documents. People mostly waste their time waiting for Form 16 or for some other online material, or some similar excuses, which has the common result of being stressful or a lost opportunity. Make it an early affair; it keeps the oppositional force away with calmness and order.

Reasons why the deadline should better be avoided

July 31 is the last date to file the taxes; however, last-minute filing of returns could stir panic attacks and many errors. In panic situations, one may miss important papers, submit wrong information, or completely ignore crucial data. Such a filing, done in agony, may also result in missing important documents or selecting an incorrect form. From now on, give yourself time to calmly go through everything and plan it accordingly.

New ITR forms and capital gain amendments

The Income Tax Department has modified a few ITR Forms specially for those who earn capital gains. Taxpayers having net gain of ₹1.25 Lakh from stocks or mutual funds and who don’t wish to carry forward losses can file under ITR-1. However, using an incorrect form may render the return “defective” and thus, delay the refund or processing and necessitate rectification at a later stage.

Choosing the Right ITR Form

Multiple sources of income-salary, freelance work, rental property, and investment-need multiple ITR forms. The right form must be selected. Filing of a return forms on the wrong ITR might just get rejected or sent for revision. So, it is better to invest in time to be knowledgeable about specifications to make an informed choice.

Key Documents to Arrange in Advance

These are the documents to begin assembling for a smooth ITR procedure:

PAN and Aadhaar cards

Bank account details

TDS certificates (Form 16, 16A, 16B or 16C)

Salary statements

Form 26AS and AIS

If claiming HRA, rent agreement

Deciding on the Right Tax Regime: Old or New?

Mostly the proposal by the new system of tax-free income of ₹12 lakh attracts attention. Therefore, an old system has tax rebates on expenses and investments. So, either can be looked into before making a decision.

One should consciously use the old system because of the documentation required to file claims on deductions for:

ELSS funds, LIC, or NPS for Section 80C reinforcement

Premium payments made for health insurance under Section 80D

Interest certificate on home loans

The sooner the better; early planning means more time, fewer mistakes, and a better experience of filing.