ITR Filing: Taxpayers have to tell about all their investments while filing ITR. But there are many people who give wrong information in ITR, due to which problems arise for them.
ITR Notice: Every year people fill Income Tax Returns (ITR). People also get exemption if ITR is filled correctly. Income tax payers have a big contribution in taking the country’s economy forward. Taxpayers adopt many methods to save income tax. The government runs many schemes for tax deduction.
While filing ITR, taxpayers have to tell about all their investments. But there are many people who give wrong information in ITR, due to which problems arise for them. Income Tax can send notices under various Acts to those taxpayers who give wrong information. Income tax returns are scrutinized in two ways. First compulsory and second manual. But you can save yourself from it by keeping a few things in mind.
Not filing ITR
The Income Tax Department also sends notices to those taxpayers who do not file ITR. It is mandatory for people coming in the income tax slab to fill ITR. Despite being an Indian citizen, it is mandatory for you to file ITR even if you have assets abroad. Income tax note can come home if not filled.
Mistakes in TDS
Many times people make mistakes even while filling TDS. Even if there is a difference between TDS deposited and TDS deposited, the notice can come at home. That’s why you must know how much TDS has been deducted before filing ITR.
In ITR, you have to tell how much you earn in a financial year. Apart from this, the investment also has to be told. If you earn from investment and you do not disclose it, then also in that case income tax people can send you a notice. To avoid this, you can get the statement of interest from the bank and put it in ITR. Apart from this, you must also give information about the income you are getting from other sources.
Mistake in ITR
Many times people make mistakes while filling ITR in a hurry and forget to fill some important things. In such a situation also notice can come at home.
High value transactions
If you do a big transaction, which is different from your normal transaction, then also notice can be received. For example, if your income is Rs 5 lakh and Rs 12 lakh is deposited in your account in a year, then the Income Tax Department can investigate it or the source of income can be asked.
