In order to know how to file income tax returns one should know something about income tax it is mandatory for every resident Indian citizen to submit Income tax return to be assessed annually. It is the tax to be paid to the Indian central government on the personal income. Income tax act formulated in the year 1961 says that every assessee (meaning an individual who is legally responsible to pay tax or any sum of money) whose income exceed the prescribed limit is chargeable to the income tax at the rate approved by the Finance act which is reviewed by the Indian parliament at the end of March every year.
Before you decide to submit your income tax, you should find out whether you are liable to submit tax returns. The revised Section 139 (1) of the Income Tax Act states that it is mandatory for any person to file a tax return if she/he satisfies one of the following conditions. An owner of a property mobile or immobile, occupies immovable property, goes on a foreign travel, has a telephone line, credit card, or a club member of a club which charges more than Rs 25,000/-. Make sure you are with in any of the above mentioned category.
Being a legal obligation now assesses can submit their tax return by online. Income tax India has an excellent website which helps even a person with little knowledge about computers do e-filing of their tax returns. Income tax can also be calculated online. There are various forms for individuals/HUFs, AOPs, BOIs, Fringe benefits available online and they can e obtained y logging on to the following website. On the other hand you can go to the nearest Income tax office where they will give you the necessary returns forms free of charge and the manual to fill the necessary details which can be filled manually. Once all the details are filled in, you will be asked to attach the proof of your income and submit the returns to the appropriate office.
The website is user friendly and it takes you step by step procedures to file the returns with ease. In order to use this facility you have to have your PAN number, which is being allocated to each individual by the authorities concerned, before you submit your returns. In order to know how to get your PAN number visit our website http://www.incometaxindia.gov.in/