Documents required to file tax returns

NEW DELHI: As the deadline for filing Income Tax (IT) returns is fast approaching, individuals are encouraged to keep their documents such as bank statements, booklets, documents, etc. Insurance, etc.

For employees, details of PAN (permanent account number), Form 16 (issued by the employer), insurance, rent receipts, etc. are required. Bank statements are also needed as they give details of the interest earned on the savings account. The list of documents also includes the statement of interest earned on term deposits and TDS (tax deducted at source).

Form 16: Form 16 is the TDS certificate issued by an employer to his employees when they deduct TDS. Form 16 provides the details of the deducted tax and proof that the tax was filed by the employer in the income tax department.

What is the 26AS form and why do you need it: Section 203AA of the Income Tax Act governs the issuance of the 26AS form. This form is published annually and is a consolidated statement that indicates your sources of income and the amount of TDS deducted on this income. It is also called a tax credit statement and it contains details about the tax collected by the income tax department, the tax you paid and the refunds you paid. tax that you may have received during the year.

Section 80C: Section 80C of the Income Tax Act provides for options for tax deductions on a number of payments, which apply both Hindu individuals and families (HUF). Taxpayers can claim deductions up to a sum of Rs 1.5 lakh per year under Article 80C. Some of the investment options under 80C are the contingency fund, tuition, Life Insurance Corporation (LIC) premium payment and the equity-related savings plan ( ELSS) or mutual fund investments.

Why these documents are important when filing returns: Keeping these documents at your fingertips can help avoid filling in incorrect details about salary, investment, bank account details, and tax deductions. For many bank account holders, it can also be useful to calculate the interest earned on different deposits.

There are many ITR forms available, but choosing one that matches your eligibility is very important. These documents help to choose the right ITR option.

After filing an ITR, do not forget to check with the tax office.