Filing Income Tax return online AY 12-13

For Year 2013-14 Visit here
Filing income tax return in India is always a burning topic every year among all the tax payers. Everyone runs here and there to file their IT returns. People use to pay 150-200 INR per Form 16 to agent whom you do not even know, whether the agent is filing your return right or wrong.

The whole objective of writing this article is to make people aware about filing online IT return and the steps to file IT return online. This will help you to avoid using agent(s) and save at least some part of your hard earned money.

Before you read further, you should first always cross check on your Form -16 that the total tax paid is equal to what your last salary slip is showing. You can also check your total tax paid by looking at form 26AS on income tax website. This link is also available with almost every bank website.

Below I am explaining you a step by step process to file your IT return online. This process is only for the people who have only salary as their income OR for people having housing loans. This is currently for the Assessment year 2012-2013.

1. Go to https://incometaxindiaefiling.gov.in/portal/index.do

• If you do not have login id create with your unique PAN no.
• Download Excel utility to file your return .(visit here to Download ITR-1/ITR-2/ITR-3....)

• People who have only Salary income - ITR1


• People who has salary income and house loan/Stocks investment as well - ITR2

When you open excel it may ask for the enable security, you have to do that.
Very simple to fill (do not copy past anything, else your sheet will become invalid)

Steps to fill ITR-1 form

In Income Details Sheet

• Fill Your personal details


• Leave blank your ward circle if you do not know


• Return under section 139(1) if you are filing before the date and it is original (First time for the financial year) one.

Now the income rows 41, 42, 43
Row # 41 - Open your Form-16, Check your income charged under salaries (normally the sixth point) (Form -16 6.Income chargeable under the head 'Salaries'(3-5))
( for multiple organization add this income)
Row # 42 - If you are earning any rental income.
Row # 43 - If there is any interest income from savings/fixed deposits (Tax exemption on bank interest income upto 10K is valid from next year not this year)

Row 45 (Item 5^th)
Deductions under Chapter VI A (Section)

a)      fill your 80c contributions ( includes your PF, Life insurance,ULIP,  PPF, FD>5 years) - upto 100K (1 Lakh) INR. Note: Investiment in debt funds is not part of 80c.

b)      80 CCD is for employees who are fortunate to have NPS account and their employers is providing them facility to save tax. Please fill your contribution to NPS here. Max limit 50K on for employee and 50k for employer

c)      80D your medical insurance upto 15k.

d)      80 CCF for LT infra bonds( e.g. by IDFC, REC, IFCI etc) upto 20k. This is stopped from next year onwards.

After filling validate the sheet using

2nd the TDS sheet is very much self explanatory.

Under item 23
Fill the details of all of your employers and the total tax deducted by them
Under item 24.
Fill the details of the tax deducted by any other source of income say on your FD's by banks. You need to take a TDS certificate from the deductor.
Under item 25.

•  Fill the details of any advanced tax you have paid. You can see these details on the ‘chalan’ certificate or on the 26AS certificate on  NSDL site.

3rd Sheet (Verification one) - You need not worry much about this. Just fill your bank details, MICR code in case you have refund in will come directly in your account.

4th sheet

• Fill your 80G contributions. You need to mention the PAN of the institution also. There are 2 sections A- for Institutes eligible for 100% deduction (your 100% of the donated amount will be eligible for tax rebate) and others with 50 %( your 50% of the donated amount will be eligible for tax rebate). This amount will automatically add in the Income Tax details sheet.

After filling all the sheets ( for both ITR-1 and ITR-2 as applicable):

1. double check the details


2. Validate all of them


3. Finally press calculate tax on the first sheet.


4. Generate XML by clicking generate xml and Save it.


5. If you find some tax liability towards you then first pay the tax using your online bank account through CHALAN and when Chalan receipt come in a day or 2 then revisit item 25 under TDS sheet to fill the details.


6. Login to https://incometaxindiaefiling.gov.in/portal/login.do

Select assessment year AY 12-13 under Submit return on Left side menu.
When return is uploaded successfully you will get a mail back from IT dept to get your ITR-V or you can get it from site itself.

Print this and sign it.

You need to send it to Bangalore Postal address given on the form itself by simple post. You will get the receipt on your email id in 2-3 weeks.

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How to fill ITR-2

ITR-2 is not as simple as ITR-1. Only people who show their income from equity/bonds/debt funds investments and having housing loans need to fill that. People who do future and forward trading need to fill ITR-4. I will not cover that as my aim is here is to educate mainly salaried people. ITR-4 is more business oriented and need lot of exploration.

Enable all the Macros before starting the sheet.

This Excel contains 12sheets. Go to home Sheet it will look as shown below

	Click on the sheets below	Schedules for filing Income Tax Retur	Select applicable sheets below by choosing Y/N and Click on Apply	Select sheets to print and click apply
1	PART A - GENERAL	Personal Info., Filing Status	Y	Y
2	PARTB - TI - TTI	PartB-TI,PartB-TTI,Verification,Schedule S	Y	Y
3	HOUSE_PROPERTY	Schedule HP	N	N
4	CG-OS	Schedule CG, Schedule OS	Y	Y
5	CYLA-BFLA	Schedule CYLA, Schedule BFLA	Y	Y
6	CFL	ScheduleCFL	Y	Y
7	VIA	Schedule VIA	Y	Y
8	SPI - SI	Schedule SPI, Schedule SI	N	N
9	EI	Schedule EI	Y	Y
10	IT	Schedule AIR, Schedule IT	Y	Y
11	TR_FA	Schedule TR, Schedule FA	N	N
12	TDS	Schedule TDS1,Schedule TDS2	Y	Y

Choose the sheets applicable to you select Y for them and which are not select N. It will help you and avoid confusion.

1. No. 1, 2 are applicable for all.


2. House Prop is applicable only who has house loan or given their homes on rent.


3. Sheet 4 is to disclose your short term capital gain/loss from stocks etc.


4. Sheet 5 is non editable and you cannot disable it.


5. Sheet 6. – CFL is if you are disclosing your Short term CG/CL. It is calculated here. Do not disable it if you are not much aware.


6. Sheet VIA, 80 G are for declarations. You can disable 80bG if you have not made any donations.


7. 8: SP1- SI is to disclose income for any associated member (say your wife) whose income you want to club with yours.


8. 9- EI where you declare your dividends and LT capital gains.


9. 10- IT sheet applicable if you have made any advanced tax payments.


10. TR_FA is for people who have income from 2 countries. They need to check whether the country where they earned the money has double taxation agreement with GOI. For most of the people it should be disabled.


11. TDS Is For TDS declaration by your employer or any other institution.

Sheet -1(Part- A general): It is same as Income tax detail sheet explained above.

Sheet – 2 PARTB - TI – TTI:

• In the upper part of the form (PART B-T1) it is auto fill and non editable you need not worry much about this.


• PARTB -TTI just fill your bank details, MICR code in case you have refund in will come directly in your account under the refund section. All the rows above are auto fill and non editable except Tax relief which is applicable in case you have some income from foreign country of other tax relief measures. I do not have much idea about these.


• Schedule S :Fill your salary details and Employer details from your form 16.Row # 84 – Open your Form-16, Check your income charged under salaries (normally the sixth point) (Form -16 6.Income chargeable under the head ‘Salaries’ (3-5)). Row 85# - It is generally Item 2 in your form 16 (2.Less: Allowance to the extent exempt u/s 10) and contains Sum of (Medical Allowance, Transport Allowance and HRA). You can add salaries from multiple employers in different section unlike ITR-1 where you add those. There is already provision for 2 employers and you can add more by clicking ‘Add Salaries’.

Sheet – 3 CG- OS: I don’t have complete idea about this. However I am sharing whatever I know:

• Schedule CG: Section A – People who trades in stocks/equities can show their ST CG/CL here. In Point 2 in other assets

i)       2a- Enter the total value of stocks you sold in ST.

ii)     2b (1) Total purchase value of stocks + STT.

iii)    ST CG/CL will be calculated automatically. You can carry forward your ST CL for 8 years. So you can set off your year’s loss (if any) with ST gain if you earn in next year.

• Schedule OS (line 70) – enter any interest income you have and other incomes here.

Sheet – 4 CYLA-BFLA: This is automatically calculated for your ST/LT capital gains, House property loss/ gain against your rentals and interest on loans. Do verify after filling all the relevant sheets.

Sheet – 5 CFL: This is where you declare you losses which are carried forwards. Say you had ST capital loss of Rs 10000 last year then you fill it in ‘column H’ and in the same row date of filing your return say ‘30-Jun-2011’ and similar for property loss.

Sheet – 80G and VIA: these needs to be filled in the similar manner I have explained for ITR-1. For VIA refer (Row 45 (Item 5^th) of ITR-1) and for 80G (refer 4th Sheet of ITR-1).

Sheet EI: Declare your all dividend incomes, long term non taxable capital gains (gains you have earned from stocks after keeping them for >1 year). The income declared here is not taxable.

Sheet IT: is same as explained (Under item 25) in TDS sheet of ITR-1.

Sheet TDS: Same as explained (Under item 23, 24) in TDS sheet of ITR-1.

After filling all the sheets ( for both ITR-1 and ITR-2 as applicable):

1. double check the details


2. Validate all of them


3. Finally press calculate tax on the first sheet.


4. Generate XML by clicking generate xml and Save it.


5. If you find some tax liability towards you then first pay the tax using your online bank account through CHALAN and when Chalan receipt come in a day or 2 then revisit item 25 under TDS sheet to fill the details.


6. Login to https://incometaxindiaefiling.gov.in/portal/login.do

Select assessment year AY 12-13 under Submit return on Left side menu.
When return is uploaded successfully you will get a mail back from IT dept to get your ITR-V or you can get it from site itself.

Print this and sign it.

You need to send it to Bangalore Postal address given on the form itself by simple post. You will get the receipt on your email id in 2-3 weeks.

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So Friends, this is my 2^nd article after Loans vs Investments and I am sure there is lots of scope of improvement. I am looking forward for your feedback/comments/suggestion.

Also Visit know-about-insurance, Investment Planning