Latest Expert Exchange Queries

GST Demo Service software link: https://ims.go2customer.com
Username: demouser Password: demopass
Get your inventory and invoicing software GST Ready from Binarysoft info@binarysoft.com
sitemapHome | Registration | Job Portal for CA's | Expert Exchange | Currency Converter | Post Matrimonial Ads | Post Property Ads
 
 
News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing | GST - Goods and Services Tax
 
 
 
 
Popular Search: empanelment :: Central Excise rule to resale the machines to a new company :: VAT Audit :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: ACCOUNTING STANDARDS :: articles on VAT and GST in India :: cpt :: list of goods taxed at 4% :: TAX RATES - GOODS TAXABLE @ 4% :: form 3cd :: due date for vat payment :: ACCOUNTING STANDARD :: TDS :: ARTICLES ON INPUT TAX CREDIT IN VAT :: VAT RATES
 
 
News Headlines »
 5 tax-saving funds that have given stellar returns in the past 5 years
 Find out which ITR Form is suitable for you
  Pr CIT vs. Baisetty Revathi (Andhra Pradesh High Court)
 What is income tax?
 Refund procedure initiated under GST
 Income tax returns (ITR) filing: How to get capital gains tax benefits on assets in own name
 7 avenues to help you save tax under Section 80C of Income Tax Act
 How to make income tax law less taxing
 Your Income Tax returns (ITR) filing revised? 5 points you must worry about
 Revised income tax returns under I-T radar
 Govt to simplify income tax laws, sets up task force under taxman Arbind Modi to study overhaul

The ease of e-filing tax returns
May, 10th 2010

The continuing expansion in computerisation and ease of access to the Internet will make the growth of electronic tax returns inevitable.

Electronic filing, or e-filing, of tax returns first clicked in India as part of a proposal for Web-based electronic tax administration system for service tax. Thanks to the Central Board of Excise and Customs, the e-filing of service tax returns commenced in April 2003 but its benefit was available only to a few service tax providers.

Considering the ease and the comfort for taxpayers across the country and also technology lending a helping hand, the both the Central and State governments decided to extend e-filing of tax returns to the other types of taxes, including income-tax, excise and VAT.

Under the income-tax law, this facility was introduced by the Central Board of Direct Taxes (CBDT) for the first time during assessment year 2006-07, wherein corporate assessees had to mandatorily e-file their income-tax returns.

At present, it is mandatory for companies and firms requiring statutory audit under Section 44AB to e-file their income-tax returns. Also, the e-filing benefit has been extended to all assesses except for trusts. What one needs to do first is create a personal login account at www.incometaxindia.gov.in. Then, download the requisite forms (ITR-1 to ITR-8) and key in the details.

Digital signature

The next step would be to upload the return to the department's Web site with or without a digital signature. The return can be filed electronically with or without a digital signature. The Web site straight away generates an acknowledgement, if filed along with the digital signature. If there is no digital signature, the Web site generates a tax return verification form in ITR-V. Only this document needs to be signed by the assessee, as online authentication is not possible without a digital signature. Then send it via ordinary post only to the department's Centralised Processing Centre (CPC) in Bangalore within 120 days of filing.

The CPC processes the return and sends the acknowledgement to the taxpayer's email address. Alternatively, the taxpayers can themselves login to the Department's Web site and check the return status.

The biggest advantage of e-filing is that one need not travel miles and wait in a queue outside the tax department but can e-file the returns from the comfort of his/her home or office and save valuable time. If the filing is with the help of a digital signature, there will be instant acknowledgement for the return.

Though the forms may be long, one can easily check the accuracy of numbers keyed in. This results in ease of submission for the taxpayer and ease of record-keeping and data-tracking for the Department. Providing accurate bank account details also helps in speedy grant of refunds as and when the return is processed by the department officials. Just in case the acknowledgement does not reach the CPC, it sends a mail before the stipulated timeframe for non-receipt of the ITR-V, which acts as a gentle reminder.

Pitfalls

However, this exercise may become an unwanted headache. It may so happen that the ITR-V that had been signed and sent across may have never reached the CPC, if sent via speed post or courier, thus tendering the return invalid merely because it was sent by a traceable source of transport. The taxpayer has no proof that he has successfully filed his return of income unless and until the post has actually reached the CPC and it sends an email in this regard.

There is no doubt that e-filing will turn out to be more beneficial in the days to come.

The Finance Minister in his recent Budget speech has proposed to set up two more CPCs to expedite the process. This is a welcome step towards greater transaction efficiency. Besides, the I-T Department is providing free return preparation utility to encourage e-filing of tax returns. The continuing expansion of personal computers and ease of access to the Internet will make the growth of electronic tax returns inevitable.

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2017 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Binarysoft Technologies - Our Mission

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions