Income Tax return: 10 quick tips to ease your trouble

The tax filing deadline is just around the corner, so here are some quick tips from H&R Block to make your tax filing simpler.

1. If your gross total income exceeds Rs 10 lakh, it is mandatory to file your return electronically:

The Central Board of Direct Taxes (CBDT) has issued a notification making e-filing compulsory for assessment year 2012-13 onwards for an individual or a Hindu Undivided Family (HUF) if his or its total income exceeds Rs 10 lakh.

2. If you are a resident tax payer you should disclose your foreign assets in the tax return:

Foreign assets would typically include bank accounts held abroad, shares in parent company acquired through ESOP scheme, retirement accounts held abroad, properties and other assets abroad.

3. If you are a resident tax payer and you have assets abroad then it is mandatory for you to file your return electronically.

4. July 31, 2012 is not the last date for filing the return for FY 2011-12:

It is just a due date for filing the return. Theoretically, the return can be filed up to March 31, 2014. Of course, there are some disadvantages of filing a belated return.

5. Double check the amount of housing loan interest mentioned in your form 16 with the Final Certificate received from the housing finance company. You should reflect the amount of interest as per the final certificate in your tax return.

6. If your house is given on rent or is considered as deemed to be let out, then the limit of Rs 150,000 on deduction on interest on housing loan is not applicable. In such cases, you can claim the entire amount of deduction, without the restriction of Rs 150,000. Also, in such cases, you can add the amount of loan processing fees, prepayment/foreclosure charges to the deduction as under the tax laws, such payments are considered as interest expense towards the loan.

7. Verify that all the tax deductions and exemptions which you are entitled to are reflected in the Form 16. If not make sure you consider those tax benefits in your tax return.

8. Mention your correct bank account number and MICR.

9. Double check the TDS and tax payment details entered in the tax return with Form 26AS (Tax Credit Statement)

10.If you think your taxes are getting complicated, seek help from a professional tax advisor. Even if you feel that you are paying too much of taxes, then seek help of a tax advisor and see how you can plan your taxes well.

Happy filing!!

(Vaibhav Sankla is Director, H&R Block India.)