Income Tax Retrurns e-filing

One of the best things to happen in the area of Indian taxation is e-tax and e-filing.

I have been e-filing my tax returns for the last 3-4 years. Until last year, the Acknowlegement (ITR-V) needed to be submitted in person (or by proxy) to the IT Department. This has been simplified this year - just send the ITR-V by Ordinary Post in A-4 envelope (so as not to fold the ITR-V). Within a week, an email acknowledgement of receipt of ITR-V is received from IT Department.

There are multiple portal/websites advertising for IT e-filing. Beware these sites charge you to file your returns. The official Income Tax e-filing is free.
  • Assuming you are a salaried employee with no other source of income, all you need handy is your PAN card number and the Form 16 from your employer.
  • Visit the above link
  • Register as new user (if you do not have an account yet).
  • Download the appropriate ITR form - in the above case, ITR-1 is what you need. You would need to download the Excel utility.
  • There is also the help file, which would be useful in filling the form.
  • These are available as .zip file, which needs to be extracted using winzip or a similar utility
  • Do not forget to enable the macro in the Excel sheet, since this helps in validation, auto-population of data, etc.
  • There are few personal details to be filled. Then appropriate entries from Form 16 needs to be updated in the Excel sheet.
  • Once filled, the sheet should be "validated" by click on the "Validate" buttton
  • Then, choose the "XML Export" to generate an XML file
  • Save the XML file
  • Visit the website and choose - Submit Return, FY 2009-2010.
  • Follow instructions and you are done.
  • You can print the ITR-V which gets generated, as also sent to your email-id.
The above instructions are really redundant - these are well explained in the site.

Happy e-filing.