SUMMER INTERNSHIP PROJECT REPORT

ON
INCOME TAX RETURN FILING
AT
G R Kumar & Co LLP

Submitted By:
ANISHA NAYAK
PG 2nd Year Commerce
Exam Roll No:23COMM008
Registration No:20247/2023
Under the Guidance By:
Dr (Smt). MADHUMITA NAYAK
(Assistant Professor)

PG DEPARTMENT OF COMMERCE
BINAYAK ACHARYA COLLEGE
BERHAMPUR(GANJAM)ODISHA
Session:2024-2025

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 DECLARATION

I Anisha Nayak hereby declare that the Internship Report titled “INCOME TAX

RETURN FILING.” Submitted to the PG Department of Commerce, Binayak Acharya

College, for the award of the degree of “MASTER DEGREE OF COMMERCE” is

an original study done by me and to the best of my knowledge and belief it has not been

submitted earlier elsewhere or presented to any University/College/Institution for the

award of any degree, diploma or other similar title.

(ANISHA NAYAK)
ROLL NO: 23COMM008
MCOM (2023-2024)

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 ACKNOWLEDGEMENT

It is a matter of pride and privilege for me to have done a summer internship project in

“G R Kumar & Co LLP” and I am sincerely thankful to them for providing this
opportunity to me.

I am thankful to “CA T Sawan Kumar Patro” for guiding me through this project
and continuously encouraging me. It would not have been possible to complete this
project without his / her support.

I am also thankful to all the faculty members of Department of Commerce, Binayak

Acharya College, Berhampur and “HOD Mr. Kamalakanta Nayak” and my mentor
“Dr Smt. Madhumita Nayak” and family and friends for helping me during the
internship.

(ANISHA NAYAK)
Roll No: - 23COMM008
MCOM (2023-2025)

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 CERTIFICATE

This is to certify that the Internship entitled “INCOME TAX RETURN FILING” at

G R Kumar & Co LLP, submitted Anisha Nayak, Roll No: - 23COMM008 a

2nd year student of Binayak Acharya College in partial fulfilment of the requirement
for the award of the “Master degree of Commerce” for the academic year 2024-2025.
She has worked under my guidance and for the required period.

I wish her all the best for her bright future ahead.

Date Dr (Smt). MADHUMITA NAYAK

Place- Berhampur (Assistant Professor of Commerce)

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5
 Contents

INTRODUCTION ............................................................................................................................................. 7

LITERATURE REVIEW ............................................................................................................................. 18

COMPANY PROFILE .................................................................................................................................. 20

RESEARCH METHODOLOGY ................................................................................................................ 23

PRACTICALLY TAX FILING ................................................................................................................... 26

CONCLUSION ................................................................................................................................................ 44

SUGGESSION ................................................................................................................................................. 46

BIBLIOGRAPHY ........................................................................................................................................... 47

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INTRODUCTION

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1.1 INTRODUCTION

India’s Income Tax Laws are framed by the Government under Income Tax Act,
1961.The Government imposes a tax on taxable income of all persons i.e. Individuals,
Hindu Undivided Families (HUF), Companies, firms, LLP, Association of Persons
(AOP), Body of individuals (BOI), Local Authority and any other Artificial Juridical
Person.

According to these laws, levy of tax on a person depends upon his residential status.
Every individual who qualifies as a resident of India is required to pay tax on his or her
global income. Every Financial Year, Taxpayers have to follow certain rules, while
filing their Income Tax Returns (ITRS).

Section 139 of the Income Tax Act 1961, contains various provisions related to late
filing of various income tax returns. If any individual or non-individual tax assesses has
not filed tax returns within the specified deadline, Section 139 also features the
guidelines to file delayed returns. There are several sub-sections of section 139 that are
designed to deal with non-submission of tax returns within the prescribed time frame by
different types of tax assesses.

1.2 OBJECTIVES OF THE STUDY

➢ To study taxation structure of India according to Income Tax Act, 1961.

➢ To elucidate the ITR filing of individuals
➢ To present the various tax savings options.
➢ To explore and simplify the tax planning procedure from a layman’s perspective.
➢ To know the how to save taxes by using various deduction of income tax.
➢ To know about the customer’s awareness about the income tax filing.

1.3 SCOPE OF THE STUDY

➢ Tax Planning:
Tax planning is process of analysing one’s financial situation in the most efficient
manner. Through tax planning one can reduce one’s tax liability. It involves planning
one’s income in a legal manner to avail various exemptions and deductions.

➢ Tax Evasion:
Tax evasion is an illegal act where you as an individual or company avoid paying
the tax liability. Tax evasion is a serious offence and comes under criminal charges and
substantial penalties. For example, not paying taxes or paying less than what you should
pay is considered tax fraud and comes under tax evasion.
➢ Tax Avoidance:

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 Tax avoidance refers to the use of legal methods to minimize the amount of
income tax owed by an individual or a business. It's generally accomplished by
claiming as many deductions and credits as are allowable.

1.4 TAX MEANING AND TYPES

The word tax derived from Latin word ‘tax ore’ which, earns to estimate, appreciate
or value. A tax is levied by the government on individuals or companies to meet the
expenditure which is required for public welfare. In other word tax is a compulsory
collection of money by the government for public welfare. For example, a tax is applied
on the income that a person makes during a year.
➢ TYPES OF TAXES
Taxes can be classified mainly in two types.

Types of Taxes

Direct Taxes Indirect Taxes

Burden cannot be shifted to Burden can be shifted to

some other person some other person
For Example: Income Tax For Example: GST

Direct Taxes:

A direct tax is a tax that a person or organization pays directly to the entity that
imposed it. Examples include income tax, real property tax, personal property tax, and
taxes on assets, all of which are paid by an individual taxpayer directly to the
government.

Types of Direct Tax

❖ Income Tax:
o Tax on Individual’s personal annual Income.
o TDS – Tax Deduction at Source
o ITR – Income Tax Return
❖ Corporate Tax:
o Tax on Company’s annual Profit.

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 Input/Operational Corporate Tax
Turnover Gross Profit Net Profit
Cost
Long Term Capital Gain Tax (> 1 year)
❖ Capital Gain Tax:
Short Term Capital Gain Tax (< 1 year)

o Tax on Return on Investment (ROI)

o Ex: Investment in Shares/Bonds/Bank deposit/FD Etc.
❖ STT (Securities Transaction Tax):
o Tax on Transaction of Securities – Transactions related to DEMAT A/c
o Ex: Shares/Bonds
❖ MAT (Minimum Alternative Tax):
o Tax on zero tax companies.
❖ Professional Tax:
o Tax on various professions like – lawyers, Teachers, Doctors, Engineers etc.
o Note: It is the only Direct Tax which is imposed by State Govt. while as other
direct taxes are
imposed by income tax department (Govt. of India)
❖ AMT (Alternate Minimum Tax):
o It is same as MAT, but it is imposed on LLPs (Limited Liability Partnership).
❖ Other Direct Taxes:
• Gift Tax:
o Abolished in 1998.
• Wealth Tax:
o Repealed in 2015.
• Fringe Benefit Tax:
o Abolished in 2009.
Indirect Taxes:

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 An indirect tax person collect tax from customer pays to the government.
Examples of indirect taxes include sales tax, excise tax, value-added tax (VAT), Goods
and service tax (GST).

Types of Indirect Tax

• GST (Goods & Service Tax)
• Custom Duty on Export-Import
❖ Goods and Service Tax
o Introduced in 2016 (101 constitutional amendment 2016)
o One Nation One Indirect Tax
o Nature: Consumption & Destination Based Tax
o Enforcement Date: 1 July 2017
o GST Collection: Government of India (GOI)
o Platform for GST-filing
❖ Types of GST
o CGST (Central GST) GOI’s share in GST.
o SGST (State GST) State Govt. share in GST.
o IGST (Integrated GST) on Export – Import & Inter-state
Trade.

1.5 MEANING INCOME TAX

Income tax is a tax charged on the annual income of an individual or business

earned in a financial year.

IMPORTANT CONCEPTS

➢ INCOME [Section 2(24)] All incomes are categorized under five Heads of
Income under the Income tax Law. There is a charging section under each head
of income which defines the scope of income chargeable under that particular
head.

Accordingly, income earned is classified under the following heads:

a. Income under the head Salary

b. Income under the head House Property
c. Income under the head Profits and Gains from Business and Profession (PGBP)
d. Income under the head Capital Gains

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 e. Income under the head Other Sources such as dividend, interest on deposits,
royalty income, winning on lottery, etc.
1. Person [Section 2(31)]
Income-tax is charged in respect of the total income of the previous year of every
person. Hence, it is important to know the definition of the word person. As per section
2(31), Person includes:

Individual

Hindu
Artifical and
Juridical
Undivided
Person Family
(HUF)

Person

Local Fime &

Authority LLP

AOP & BOI

• Individual:
An individual means a natural person or a human being, who may male, female,
minor or a person of sound or unsound mind.
• HUF:
HUF means which consists of all persons lineally descended from a common
ancestor including their wife and unmarried daughters.
• Company:
An artificial person created by law having perpetual succession, a common seal
and shares carrying limited liability.
• Firm:
Firm means a partnership firm as per Partnership Act, 1932.
• Association of Person ‘AOP’:
Two or more persons joining for a common purpose for the purpose of earning
income. It may consist of two or more persons (two individuals or an individual
and company or two companies.)
• Body of Individuals ‘BOI’:

Individuals join together for

Only individuals can be the common purposes
members
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 BOI denote the status of persons who are assessable in like manner and to the
same extent as the beneficiaries individually.
• A Local Authority:
It means a municipal committee, district board, body of port commissioners, or
other authority legally entitled to or entrusted by the Government with the control
and management of a Municipal or local fund.
• Artificial juridical person:
Artificial judicial person includes a public corporation which is established under
special Act of Legislature, university, ICAI, ICSI, Bar Council of India,
AIMS,etc.

2. Assesses [Section 2(7)]

A person who is liable to pay tax or any kind of amount to income tax department
is called Assesses.
❖ Deemed Assessee – A person who liable to pay tax not only on his own income
but on the income of any another person.
❖ Assesses in default – If he fails to comply with the duties imposed upon him
under the IT Act.

3. Assessment Year [Section 2(9)]

It means the period of 12 months i.e. 1st April 2024 to 31 March 2025.An
assessee is liable to pay tax on the income of the previous year during the
following financial year (assessment year).

4. Previous Year [Section 3]

The year in which income is earned is P.Y. and the next year in which this
income is taxable is A.Y. (1st April 2024 to 31st March 2025). Income tax is
charged on the total income of the previous year at the rates prescribed.

5. Total Income [Section 2(45)]

The term “total income” means the total amount of income referred to in section
5, computed in the manner laid down in this Act.

1.6 NEW & OLD REGIME TAX RATES

➢ Income Tax Slabs Under Old Tax Regime

Income Range (In Rs) Income Tax Rate (%)

₹ 0 – ₹ 2,50,000 0%
₹ 2,50,001 – ₹ 5,00,000 5%

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 ₹ 5,00,001 – ₹ 10,00,000 20%
₹ 10,00,001 and above 30%

➢ Income Tax Slabs Under New Tax Regime

Income Range (In Rs) Income Tax Rate (%)

₹ 0 – ₹ 3,00,000 0%
₹ 3,00,001 – ₹ 6,00,000 5%
₹ 6,00,001 – ₹ 9,00,000 10%
₹ 9,00,001 – ₹ 12,00,000 15%
₹ 12,00,001 – ₹ 15,00,000 20%
₹ 15,00,001 and above 30%

1.7 Tax deductions specified under the Income Tax Act

These Deductions will not be available to a taxpayer opting for the New Tax
Regime u/s 115 BAC, except for deduction u/s 80CCD (2) which will be applicable for
New Tax Regime as well
Section Purpose Deduction Limit
80C Investments like PPF, ELSS, NSC ₹1,50,000
80CCC Pension fund contributions ₹1,50,000
80CCD(1B) NPS (additional) ₹50,000
80D Health Insurance Premiums ₹25,000- ₹50,000
80DD Disabled Dependents ₹75,000-1,25,000
80DDB Specified Diseases ₹40,000-1,00,000
80E Education Loan Interest No upper limit
80EE/80EEA Home Loan Interest ₹50,000/ ₹1,50,000
80EEB Electric Vehicle Loan Interest ₹1,50,000
80G Donations to charities 50% or 100% of donation
80GG House Rent (without HRA) ₹60,000 annually
80TTA Savings Account Interest ₹10,000
80TTB Interest for senior citizens ₹50,000

1.8 MEANING OF INCOME TAX RETURN

An Income Tax Return (ITR) is a form used to file information about your income
and tax to the Income Tax Department. The tax liability of a taxpayer is calculated
based on his or her income. In case the returns show that excess tax has been paid
during a year, then the individual will be eligible to receive income tax refund from the
Income Tax Department.
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 As per the income tax laws, the return must be filed every year by an individual or
business that earns any income during a financial year.

➢ ITR Form

1. ITR-1 (Sahaj)

Applicable to:

• Individuals who have income from salary/pension, one house property, and other
sources (e.g., interest, dividend) and total income less than ₹50 lakh.
• Excludes individuals with business/professional income, capital gains, or foreign
income.

Features:

• Easiest form for salaried individuals.

• Claims exemptions like HRA, LTA, and deductions under Section 80C.

2. ITR-2

Applicable to:

• Individuals/HUFs who have income from salary, house property, capital gains, or
other sources.
• Suitable for individuals who do not have business/professional income.

Features:

• Useful for those with capital gains, foreign income, or income from more than
one house property.
• Includes schedule for capital gains and foreign income.
• Can claim deductions under Sections 80C to 80U.

3. ITR-3

Applicable to:

• Individuals/HUFs with income from business or profession, including

freelancers, doctors, and traders.
• Applicable to taxpayers who have income from business/profession and salary or
other sources.

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Features:

• For self-employed individuals or those with professional income.

• Includes sections for business profit/loss, depreciation, and other professional
expenses.
• Allows claiming deductions under Sections 80C to 80U.

4. ITR-4 (Sugam)

Applicable to:

• Individuals, HUFs, and Firms (other than LLPs) who have presumptive income
under Section 44AD, 44ADA, or 44AE (e.g., small businesses, professionals with
presumptive income).

Features:

• Simplified version for taxpayers opting for presumptive taxation schemes (no
detailed bookkeeping required).
• Claims a fixed percentage of income as profit for taxation.
• Suitable for small businesses, contractors, and professionals with presumptive
income.

5. ITR-5

Applicable to:

• Partnership Firms, Limited Liability Partnerships (LLPs), Association of Persons

(AOP), Body of Individuals (BOI), and other similar entities.

Features:

• Used for firms and other entities that do not need to file ITR-3 or ITR-6.
• Includes details of income from business/profession and other sources.
• Allows deductions and exemptions for businesses and other entities.

6. ITR-6

Applicable to:

• Companies, excluding those claiming exemption under Section 11 (for charitable

purposes).
• Includes both domestic and foreign companies.

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Features:

• For companies reporting business income, capital gains, etc.

• Includes provisions for tax credits and international tax compliance.
• Can claim deductions for capital investment and other allowable expenses.

7. ITR-7

Applicable to:

• Trusts, political parties, and other entities that need to file under Section 139(4A)
to 139(4D) (e.g., charitable organizations, religious trusts, etc.).
• Companies claiming exemption under Section 11.

Features:

• For entities claiming exemption under specific sections (such as Section 11 for
trusts).
• Includes sections for donations, income from property held under trust, and other
income reporting.

1.9 MEANING OF E filling

E-filing is the short form of electronic filing of income taxes. E-filing is when you
electronically file your income tax returns online for a particular year. This means you
no longer need to visit the nearest Income Tax Department's office to file your returns
physically.

➢ Obligation to filling Tax Return

It is legal obligation for every individual to file a return of income, whose taxable
income during the year has exceeded the exemption limit.

➢ Due Dates for Filing of ITR

These dates vary depending on the type of taxpayer and the return submitted.
Usually, the due date for filing income tax returns is July 31st of the assessment
year. However, if you are required to get your accounts audited, you can furnish a
return till October 31st.

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LITERATURE REVIEW

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Kumar and Singh (2021)

• Importance of timely filing: Kumar and Singh (2021) emphasized the importance
of filing ITR on time to avoid penalties and loss adjustments.
• Changes in ITR forms: They discussed the changes in ITR forms for the
assessment year 2021-22, including the introduction of new forms and the
modification of existing ones.
• Impact of COVID-19: Kumar and Singh (2021) analysed the impact of the
COVID-19 pandemic on ITR filing and the measures taken by the government to
facilitate the process.

Chokhawala and Surana (2022)

• Importance of accurate and complete records: Chokhawala and Surana (2022)

emphasized the importance of maintaining accurate and complete records for ITR
filing.
• Role of tax audits: They discussed the role of tax audits in ensuring compliance
with tax laws and regulations.
• Impact of ITR filing on tax compliance: Chokhawala and Surana (2022) analysed
the impact of ITR filing on tax compliance, including the importance of timely
and accurate filing.

Jain and Kumar (2023)

• Impact of new tax regime: Jain and Kumar (2023) analysed the impact of the new
tax regime on ITR filing, including the changes in tax rates and deductions.
• Changes in tax laws: They discussed the changes in tax laws and regulations,
including the introduction of new sections and the modification of existing ones.
• Use of technology in ITR filing: Jain and Kumar (2023) highlighted the use of
technology in ITR filing, including the use of tax software and e-filing portals.

Mohammed S Chokhawala

• Highlights the importance of understanding the latest deadlines and requirements

for ITR filing. He emphasizes that missing the deadline can incur interest, late
fees, and loss adjustments.

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COMPANY PROFILE

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GRK was founded in the year 1985 and offers wide range of services. This is a trust-
based organization leveraging more on research and knowledge-based solution to
deliver extraordinary value to our clients.

This is empanelled as a Category-II CA Firm with ICAI / CAG / RBI for

conducting audit of PSUs / Banks. We hold working experience of more than 4 decades
with exposure to handle Indian as well as Global MNCs.

3.1 MISSION

To help their team excel and through them offer the best possible service to clients
and help them excel They are Unique they focus on research and specialized practice
while striving to keep pace with the changing business and regulatory environment.

A strong belief and pride in blending our expertise with personalized attention
towards the requirements of our clients is what makes us.

"Trusted Business Advisors".

3.2 SERVICES OFFERED

3.2.1 Audit, Assurance & Allied Services

o Statutory & Tax Audit

o Internal and Management Audit
o Reporting under various GAAPs
o IFRS / IND AS - Transition and Implementation
o Accounting & Audit support services
o Risk Advisory Services

3.2.2 Taxation, Regulatory & Representation Services

o Direct Tax Services

o Filing Services | Opinions | Compliance
o Indirect Tax Services
o GST Consulting | GST Filing Services | Customs

3.2.3 Project Advisory & Funding

o Ascertaining the Financial Need and Structuring

o Preparation of Detailed Project Report (DPR), Industry Survey, Coordination
with banks
o Due Diligence Services
o Other advisory services for debt syndication, swapping and restructuring, one-
time settlement cases etc

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3.2.4 Valuation Services

o Business Valuations
o Intangibles Valuations
o ESOP and Sweat Equity Valuation
o Valuation for Merger / Demerger
3.3 TEAM

A detail profile of our strong multi-disciplinary teams includes: Our team comprises of
Founders and dynamic team of 20+ professionals including:
Chartered Accountants
Company Secretaries
Professional Aspirants
Senior Advisors
And other Professionals etc.

➢ OUR MENTOR: Late Mr. Goda Ravi Kumar

Late Mr. G R Kumar was the founder of the firm who established the firm as a
Proprietorship firm in 1985. The founder was a visionary with a passion for excellence,
with a clear goal in mind: to provide top-notch services to clients across a wide range of
industries. With about 37 years of professional standing, the firm has become a trusted
name in the industry, providing exceptional services to clients.
Today, M/s G R Kumar & Co. LLP continues to build on the legacy of the late
founder partner. With a team of highly skilled professionals and a commitment to
providing exceptional services to clients, the firm is well-positioned to continue its
success for many years to come.
➢ CA T Sawan Kumar Patro
Sawan is a Partner of the firm and leads the Reporting and Consulting division of
the firm. He holds a Bachelor’s degree in Commerce from the University of Madras
(India) and is a qualified Chartered Accountant from Institute of Chartered Accountants
of India. He has over 7 years of experience in IND AS Implementation, Corporate
Valuation, Statutory Audits, Internal Audits, Internal Controls over Financial Reporting
(ICFR).
CA Suru Saranam
Saranam is a Partner of the firm and leads the Assurance division of the firm. He
holds a Bachelor’s degree in Commerce from the Indira Gandhi National Open
University (India) and is a qualified Chartered Accountant from Institute of Chartered
Accountants of India. He has over 10 years of experience in Statutory Audits, Internal
Audits, Income Tax, GST and Accounting.

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RESEARCH METHODOLOGY

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4.1 INTRODUCTION

An income tax return (ITR) is a form that individuals, businesses, and other
entities use to report their income, expenses, and other relevant financial information to
the tax authorities. The process of filing an ITR can be intricate, depending on the
taxpayer's income sources, deductions, and the complexity of their financial situation.

A study of the methodology for filing income tax returns typically involves an
examination of the steps involved, the different types of ITR forms, the legal
requirements, and the tools available to facilitate the process.

4.2 Understanding the Types of Income Tax Returns (ITR)

▪ ITR-1 (SAHAJ): For individuals with income from salary, one house property,
and other sources (excluding lottery winnings and income from racehorses).
▪ ITR-2: For individuals and Hindu Undivided Families (HUFs) not having income
from business or profession.
▪ ITR-3: For individuals and HUFs having income from a proprietary business or
profession.
▪ ITR-4 (SUGAM): For individuals, HUFs, and firms (other than LLP) who have
opted for the presumptive income scheme under Section 44AD, Section 44ADA,
or Section 44AE.
▪ ITR-5: For firms, LLPs, AOPs, BOIs, and other entities not covered under ITR-7.
▪ ITR-6: For companies other than those claiming exemption under Section 11.
▪ ITR-7: For persons including companies required to furnish returns under
Sections 139(4A), 139(4B), 139(4C), or 139(4D).

4.3 Steps in Filing an Income Tax Return

Step-1 Gather Required Documents: PAN card, Form 16 (for salaried individuals),
Form 26AS, bank statements, investment proofs, and other income-related documents.

Step-2 Choose the Appropriate ITR Form: Based on the nature of income, select the
appropriate form.

Step-3 Fill in the Details: Enter personal information, income details, deductions, and
tax payments.

Step-4 Calculate Tax Liability: Compute the total tax liability based on the income and
applicable tax rates.

Step-5 Pay Any Due Tax: If the calculated tax liability exceeds the TDS or advance tax
already paid, pay the balance using the relevant challan.

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Step-6 Verify the ITR: Verify the details filled in the ITR using a digital signature,
Aadhaar OTP, or by sending a signed physical copy to the Centralized Processing
Centre (CPC).

Step-7 Submit the ITR: File the ITR online on the income tax e-filing portal or offline
(for certain forms).

Step-8 Acknowledgment Receipt: After successful submission, download the

acknowledgment receipt (ITR-V).

4.4 E-Filing vs. Manual Filing

▪ E-Filing: The online method is quicker, more efficient, and allows for easier data
management. It also enables e-verification, which reduces the need for physical
documentation.
▪ Manual Filing: Traditionally, taxpayers would submit physical forms, but this
method is now largely outdated and less common. It may still be used in specific
cases, such as when internet access is limited.

4.5 Legal and Compliance Considerations

▪ Due Dates: Adhering to the deadlines for filing ITR is crucial. Missing the due
date can result in penalties and interest on the unpaid tax.
▪ Revisions and Rectifications: If an error is detected after filing, a revised return
can be submitted before the end of the relevant assessment year. Rectification
requests can also be made for correcting any mistakes in processing.
▪ Audits: For certain taxpayers, such as businesses and professionals exceeding
specified income thresholds, a tax audit may be required before filing the return.

4.6 Tools and Software for Filing ITR

▪ Government Portal: The Income Tax Department provides an e-filing portal

where taxpayers can file returns directly.
▪ Third-Party Software: Several third-party software solutions offer guided
processes, auto-fill options, and integration with accounting systems to simplify
ITR filing.
▪ Assisted Filing: Tax professionals, chartered accountants, and tax consultants can
be engaged to assist in the filing process, particularly for complex cases.

25
PRACTICALLY TAX FILING

26
 5.1 INTRODUCTION

Income Tax Return (ITR) is a form which a person is supposed to submit to the Income
Tax Department of India. It contains information about the persons income and the
taxes to be paid on it during the year.

The assessee can file the Income Tax Returns (ITR) in two ways:

1. Online (filing the information online)

2. Offline (using the JSON file)

1.ONLINE MODE FILING

Follow the below steps to file and submit the ITR through online mode
Step 1: Login
Log in to the e-Filing portal using your user ID and password.
• Visit the official Income Tax e-filing website and click on 'Login'.
• Enter your PAN in the User ID section.
• Click on ‘Continue’.
• Check the security message in the tickbox.
• Enter your password
• ‘Continue’

Step 2: Go To ‘File Income Tax Return’

On your Dashboard, click e-File > Income Tax Returns > File Income Tax Return.
27
 Note: If your PAN is inoperative you will get a warning message that your PAN is
inoperative as its not link with the Aadhaar.
You can click on Link Now button to link PAN with the Aadhaar otherwise click
Continue.

Step 3: Select the Right ‘Assessment Year’

Select Assessment Year as 2024–25, ITR FORM Number, Filing Type, and Mode of
filling as Online, then click Continue.

Step 4: In case you have already filled the Income Tax Return and it is pending for
submission, click Resume Filing. In case you wish to discard the saved return and start
preparing the return afresh, click Start New Filing.
Step 5: Select the Status
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Select Status as applicable to you and click Continue to proceed further.
• Select your applicable filing status: individual, HUF or Others.
• For filing of persons like you and me, select ‘Individual’ and ‘Continue’.

Step 6: Select ITR Type

You have two options to select the type of Income Tax Return:
• If you know which ITR to file, select the ITR form; else
• If you are not sure which ITR to file, you may select Help me decide which ITR
Form to file and click Proceed. Here the system helps you determine the correct ITR,
then you can proceed with filing your ITR.

Note:

• In case you are not aware which ITR or schedules are applicable to you or
income and deductions details, your answers in response to a set of
questions will guide in determining the same and help you in correct / error
free filing of ITR.
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 • In case you are aware of the ITR or schedules applicable to you or income
and deduction details, you can skip the questions.

Step 7: Once you have selected the ITR applicable to you, note the list of documents
needed and click Let’s Get Started.
Step 8: Choose the Reason for Filing ITR
Select the checkbox applicable to you regarding reason for filing ITR and
click Continue.
In the following step, you will be prompted to specify the reason for filing your returns.
Select the appropriate option that is applicable to your situation:
• Taxable income is more than the basic exemption limit
• Meets specific criteria and is mandatorily required to file ITR
• Others

Step 9: For AY 2024-25 New Tax Regime is the default Tax Regime. Option “No” will
be Auto Selected. If you want to opt out of New Tax Regime Select “Yes” in the
Personal Information Section.

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Review your pre-filled data and edit it if necessary. Enter the remaining / additional
data (if required). Click Confirm at the end of each section.
Please note:
Before selecting the tax regime, please note that certain deductions and exemptions
are not available in the new tax regime.
Step 10: If you select ITR 1

If you select ITR 1, you need to fill five sections, such as follows:

• Personal Information - This refers to basic details like your full name, PAN and
Aadhar number, contact details and bank account details.
• Gross Total Income – In this section, the individual needs to enter and verify
income from sources such as salary / pension, house property, and other sources
(such as interest income, family pension, etc.). In this the individual will also be
required to provide details of exempt income.
• Total Deductions – The Income Tax Act 1961, offers various deductions under
various sections which need to be claimed. Some commonly known sections
are 80C, 80D, 80TTA, 80TTB among others.
• Tax Paid – This section will reflect the tax paid by you from all sources such as
but not limited to TDS, TCS, Advance Tax, Self-Assessment Tax.

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 • Total Tax Liability – This section will reflect the tax liability computed as per
the sections filled previously. What this means is: Tax payable on Total Income =
(Income – deductions claimed – Tax paid till date). If this amount is negative,
this can be claimed as refund. If this amount is positive, this needs to be paid as
tax.

Step 11: Summary of tax computation

The website will show you a summary of your tax computation for the concerned year
as per the information provided by you.
The page will determine if you owe any tax or are eligible for a tax refund. You can
then preview and submit your return by entering the place of your residence.
Step 12: Proceed to validation

The last and crucial step is to verify your return within the time limit (30 days). Failing
to verify your return is equivalent to not filing it at all. You have the option to e-verify
your return using different methods such as Aadhaar OTP, electronic verification code
(EVC), Net Banking, or by sending a physical copy of ITR-V to CPC, Bengaluru.

You can calculate your taxes by using Clear Tax calculator.

Documents Required for Filing ITR

The following documents/information are required for e-filing their ITR:

• PAN and Aadhaar

• Bank Statements
• Form 16
• Donation receipts
• Stock trading statements from the broker platform
• Insurance policy paid receipts related to life and health
• Bank account information linked to PAN
• Aadhaar registered mobile number for e-verifying the return
• Interest certificates from banks

However, you can e-file your ITR on Clear tax by just adding your PAN. We will auto-
fill most of your details, like salary income, TDS, deduction details, etc, from the
Income Tax Department.
OFFLINE MODE FILING
Step 1: Without logging in to the e-Filing portal, you can download the relevant offline
utility from Home > Downloads. Install it on your computer and proceed to Step 2

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Step 1a: Alternately, you can download the offline utility after logging in to the e-Filing
portal, and clicking e-File > Income Tax Returns > File Income Tax Return > Select the
current AY and Mode of Filing (Offline). Then, click Download under the Offline
Utility option.

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Step 2: Install and open the offline utility. If previously installed, the utility version will
get updated when you are connected to the internet (in case of version updates).
Click Continue.

Step 3: You will be taken to the Income Tax Returns page, where you will see the
following tabs and their contents:

• Returns - All your ITRs (based on the AY) are present here. You can start
filing a new return from here, by clicking File Returns.

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Draft Version of Returns – If you wish to edit a partially filled ITR draft,
click Edit on the relevant draft from the Draft Version of Returns tab.

Pre-filled Data – All the pre-filled JSON files downloaded from e-Filing (with
details such as PAN, Name, Last import, and AY) are present here. By clicking File
Returns on the relevant JSON, you can start your return filing process with the pre-
filled data available.

After you click File Returns under the Returns tab, you will arrive on this
page. Click Download Pre-filled Data and click Continue.

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Enter your PAN, select the Assessment Year as 2021-22, and click Proceed.

You will get a message warning you that the details saved against your PAN will be
discarded if you continue with a new filing. Click Yes.

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You will be taken to the Login page, where you can log in to e-Filing through the
Offline Utility itself.

Post login, you will see your pre-filled data downloaded for the PAN and AY you
entered. Click File Return

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After downloading or importing your pre-filled data and clicking File Return, you will
arrive on this page. Select the status applicable to you, and click Continue.

Help me decide which ITR Form to file: Click Proceed. Once the system helps you
determine the correct ITR, you can proceed with filing your ITR.

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Once you have selected the ITR applicable to you, note the list of documents needed,
and click Let's Get Started.

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 CONCLUSION

Ensuring compliance with tax laws. It allows taxpayers to declare their income and
claim tax deductions, which may reduce their taxable income. The process promotes
transparency and enables the government to assess and collect the correct amount of
taxes. Timely and accurate filing helps avoid penalties and legal issues, while also
facilitating quicker tax refunds in cases of overpayment.

Regular and proper filing of income tax returns enhances credibility with financial
institutions, which can be beneficial when applying for loans, credit, or visas.

Filing your income tax return benefits, you and the country. The government uses your
tax dollars to improve the nation's infrastructure and other services like healthcare and
defence. In addition, the government can spend more money and give us a better
country if more people register.

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 FINDING

➢ Internship at G R KUMAR & CO LLP, was my first experience, I learned lot of

new things.

➢ Initially I know little-bit about taxations when I joined I find taxations was very
interesting subject so with the help of colleagues and my boss I learned about
services provided into the firm.

➢ Income Tax Laws: Interns gain familiarity with income tax laws and regulations,
including various sections like deductions under Section 80C, rebates,
exemptions, etc.

➢ Tax Codes: Knowledge of important codes and their application to individuals

and businesses (e.g., ITR forms, tax slabs).

➢ Updates in Tax Laws: Exposure to amendments and the latest updates in tax
policies helps interns stay informed about current practices.

➢ ITR Filing Process: Interns learn how to accurately fill out and submit Income
Tax Returns (ITR) using both online and offline methods.

➢ Handling Different ITR Forms: Exposure to different types of ITR forms (ITR-1,
ITR-2, ITR-3, etc.) for various categories of taxpayers (salaried individuals,
businesses, professionals, etc.).

➢ Electronic Filing (e-filing): Interns gain hands-on experience in using online

portals for e-filing and how to link supporting documents.

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 SUGGESSION

If any person takes advantage of these facilities: Refund of extra tax paid, Offset and
carry forward losses, Acts as income proof, Easy in visa processing etc. Then most have
filing income tax return. Most important to ensure Calculate your taxable income
accurately, Report all your claims and deductions properly. Select the correct ITR form.
Gather all necessary documents. Ensure your bank account details are correct etc.

Thank you.

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 BIBLIOGRAPHY

Books:
➢ Rajesh Garg & Sonu Dhull (2022) “Computerized Accounting & E-filing
of Tax Returns”
➢ Mukta Jain & Rakesh Jain (2021) “Income Tax”

Website:

➢ www.incometax.gov.in
➢ www.indiafilings.com
➢ www.cleartax.in
➢ www.slideshare.net
➢ www.tax2win.in
➢ www.incometaxindia.gov.in
➢ www.icsi.edu

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