Filing ITR? Here are the Documents You Need

We have come quite far in terms of the ease of filing income tax returns (ITR). Thanks to the IT department’s e-filing portal, taxpayers can file their ITR easily and from the convenience of their home on their own. However, to complete the process, you must have certain documents with you.

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Broadly speaking, you need five types of documents to file ITR. These are:

1. Basics
   You can’t file your ITR unless you have a Permanent Account Number (PAN), so that makes it the first most-important document you need. However, as per recent government directive, you also need to link your PAN to your Aadhaar. So, you need that as well.
2. Income
   These are documents that can be used as a proof of your income. These include salary pay slips, bank account statements, investment documents that contribute to your income, etc.
3. Deductible Expenses
   Ideally, you would want to reduce your taxable income as much as possible. This is mainly done by deducting appropriate expenses from your taxable income such as insurance premiums, education loan interest, house rent, renovation of furniture/building, etc. So, you must have receipts/bank statements for these.
4. Investments
   There are a variety of investments that can be used for lowering your taxable income under certain conditions under Section 80 of the Income Tax Act. However, you need the documents/receipts for the same for accurate calculations and for legal purposes if required. You can include:
   • Education loan interest payments
   • Interest paid on a home loan. You can deduct as much as Rs. 2 lakh per year
   • Investments in Mutual Funds, ELSS, PPF, etc.
5. Form 16
   Employers are required to deduct TDS from the salaries of their employees. To check its details, you need to get Form 16 from your employer.

Self-filing of ITR may seem challenging, but once you are familiar with the basics, you can do it easily. Just be sure to pick to right ITR form that applies to the nature of your income.