Income Tax Efiling for Salaried Persons

The time to prepare and file Income Tax Return has arrived for salaried individuals across the country. In this article, we cover some of the basics of Income Tax Return Efiling for

salaried persons based on the rules applicable for Financial Year 2013-15 and Assessment Year 2014-15.

Who has to file Income Tax Return?

Section 139(1) requires every person whose total income during the previous year, exceeds the maximum amount, which is not chargeable to income tax to file a tax return. During the current assessment year, any person earning over Rs.2,00,000/- has to file their income tax return. The threshold limit of exemption from personal income tax in the case of all assesses is Rs. 2,00,000. The threshold limit for a resident woman assessee is also Rs. 200,000, while for a resident senior citizen over 60 years is Rs.2,50,000 and for senior citizen over 80 years is Rs.500,000.

However, if an individual whose total income for the relevant assessment year does not exceed Rs.5 lakhs, and consists of only income from salaries and interest from a savings account in a bank (not exceeding Rs.10,000), then he/she will not be required to file an income tax return, subject to the following conditions:

The individual has reported to his employer his Permanent Account Number (PAN Number);
The individual has reported to his employer, the incomes from interest earned from a savings bank account and the employer have deducted the tax on it;
The individual has received a certificate of tax deduction in Form 16 from his employer which mentions the PAN, details of income and the tax deducted at source and deposited to the credit of the Central Government;
The individual has discharged his total tax liability for the assessment year through tax deductions at source, and it's deposited by the employer to the Central Government;
The individual has no claim of refund of taxes due to him for the income of the assessment year;
The individual has received a salary from only one employer for the assessment year.

When is the last date for filing Income Tax return?

The due date for filing of return for salaried persons is 31st of July, 2014 for the assessment year 2014-15. If an individual has not submitted his/her return of income on/before the due date, he/she can still file a belated/late return. Belated/late return can be filed at any time before the expiry of one year from the end of the relevant assessment year. An income tax return can also be file late, when a notice is issued by the Assessing Officer, within the time allowed in the notice.

Can I revise a return that was already filed?

If an individual discovers any omission or any wrong statement in return filed, he/she may furnish a revised return. Revised return can be filed at any time before the expiry of one year from the end of the relevant assessment year or before the completion of the assessment, whichever is earlier. Also, it is possible to revise a revised return if the individual discovers any omission or any wrong statement, provided it is revised within the same prescribed time.

How do I file my return?

Furnish the IT Return to the income tax department in four ways. The return filed in the following ways:

Filed in a paper form
Electronically filed with a digital signature
Electronically filed and duly signed Form ITR-V must be submitted and furnished in a bar-coded paper format.

If a person's total income in the current assessment year or the total income in the previous assessment year exceeds Rs. 5 lakhs. Then he/she can only e-file the return with digital signature or e-file the return and send a duly signed Form ITR-V.

Is non-resident status relevant for levy of income tax?

In the case of resident individuals, their global income is taxable in India. An individual who stays in India for 182 days or more in a year, is a resident in that year regardless of his citizenship. In the case of non-residents, income tax is not levied unless their salary accrues in India and/or received in India. If the salary accrues abroad, by the terms of employment, then the individual would be a non-resident. The salary accrues outside of India is not taxable.

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Frequently Asked Questions

Common questions about Income Tax Efiling for Salaried Individuals in India.

Every individual whose total income during the previous financial year exceeds the maximum amount not chargeable to income tax must file an income tax return. For the current assessment year 2014-15, anyone earning more than Rs. 2,00,000 is required to file their return.

The due date for filing income tax returns for salaried persons is 31st July of the assessment year. For the assessment year 2014-15, the last date for filing returns is 31st July 2014.

Yes, you can file a revised income tax return if you discover any omission or incorrect statement in the return you had previously filed. The revised return can be filed anytime before the expiry of one year from the end of the relevant assessment year or before the completion of the assessment, whichever is earlier.

There are four ways to file an income tax return: filing a paper return, e-filing with a digital signature, e-filing and submitting a duly signed Form ITR-V in a bar-coded paper format, or e-filing and sending a duly signed Form ITR-V.

Yes, there is a difference. For resident individuals, their global income is taxable in India. For non-residents, income tax is levied only on the salary that accrues in India and/or is received in India. Salary accruing abroad is not taxable for non-residents.

The threshold limit of exemption from personal income tax is Rs. 2,00,000 for all assesses. For resident women, it is also Rs. 2,00,000, while for resident senior citizens over 60 years, it is Rs. 2,50,000, and for those over 80 years, it is Rs. 5,00,000.

If your total income for the relevant assessment year does not exceed Rs. 5 lakhs and consists of only income from salaries and interest from a savings account (not exceeding Rs. 10,000), you may not be required to file an income tax return, subject to certain conditions mentioned in the article.

Form 16 is a certificate of tax deduction issued by an employer. It mentions the employee's PAN, details of income, and the tax deducted at source and deposited to the credit of the Central Government. It is important for salaried individuals as it serves as proof of tax deducted.

Yes, you can file a belated or late income tax return. A belated return can be filed anytime before the expiry of one year from the end of the relevant assessment year. Additionally, you can file a late return within the time allowed in a notice issued by the Assessing Officer.

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