Switching to Online Income Tax Filing
With the advent of technology in our society today, many things are done over the internet. The importance of internet to our daily lives and business can’t be overemphasized. You can comfortably stay at one location and do many things such as banking, payment,
registration as while as fill your income tax with your internet connected electronic gadgets such as IPhone, android, and computer desktop and laptop system. There are many privately owned websites and government websites where you can carry out your online income tax filing.
Tax is a revenue that is used by the government to develop the nation, and because of people’s schedule, filing of income tax can now be done at your comfort. The importance of tax to a country worth making income tax filling possible online. Not only will it save time, it will be done faster.
Benefits of Online Tax Filing
There are many benefits associated with online income tax filing otherwise known as income e-filing. When you know the benefits of electronic filing of income tax, you will happy to stop using pen and paper again. The benefits of electronic filing or online tax filing are:
There is greater accuracy
Unlike the income tax filing that is done with pen and paper, online income tax filing is more accurate. Everyone desire to have tax return that is 100% accurate. Not only is filing income tax online accurate, it is also easier than pen and paper filing. Guesswork is a common experience when you fill your income tax with pen and paper. Online income tax filing eradicates guesswork. You don’t need to waste time and make errors in calculations as there are many software applications that helps you to do the math calculation. No longer again will there be a need to worry about the steps to take or the tax forms that you need in electronic filing of income tax. Tax software takes care of that and shows you the next step to take.
Tracks & Organizes Your Record
In income tax filing using pen and paper, you can easily lose or misplace your records. Your paper income tax records can be damaged and destroyed by different factors such as insects, fire, water and the rest. When this happens, you can’t get it back again which might result to paying taxes you have paid before again. However, when your income tax is filed online, you are creating a database or permanent electronic storage for your records. This you can easily figure out and use in the future. When there is a need for verification or questions arising, you don’t need to stress yourself or spend a lot of time searching your tax records in giant slacks of paper or filing cabinet. With electronic income tax filling, you can get your tax information from the computer immediately and start work asap.
Another benefit of online income tax filing is bigger refunds. A fee may be charged while you are filing your income taxes electronically but you can make double and more of the money at the end. Many people have discovered that e-filing of income taxes gives them the opportunity to get more tax deductions as well as more tax credits. This is not so when you manually fill your income tax. There are many tax preparation programs available to assist you in the filing of tax return as well as give you information of different potential tax benefits you are qualified for. In return, you will owe less money or get a larger tax refund.
Online income tax filing is Faster
Just as stated earlier, it is very fast to fill your income tax using the internet than using pen and paper. People don’t love wasting time on a particular task. Spending days, even weeks shifting many tax records and paper in order to file their tax return is the last thing majority of people want to do. Through online income tax filing, tax preparation and all the filing processes is speed up. The income tax refund is also done faster.
Tax refund is done faster
Most times people are owned a tax refund from different tax departments. To claim your tax refund involves some process which is not normal easy to do manually. It takes a lot of time, and money to transport yourself everyday to the tax department. You will not get to experience this if you are owned a tax refund. Online income tax filing ensures you will get your money very fast. Using “Direct Deposit” with an online tax filing program will give you allowance of getting your tax refund before 3 weeks. The tax refund you are owned will be deposited into your bank account which you can make use of immediately.
Steps on Getting Income Tax Refund Through Online Income Tax Filing
Steps involved in electronic filing of income tax are:
Haven known the benefits associated with online income tax filing, you need to have the following documents to speed up process: PAN, investment details, Form 16, Bank account details.
Enter Your Personal Information such as your date of birth, PAN, and father’s name.
Enter Your Salary Details. This step involves the filing of your employer name and type and the provision of your salary and TDS information.
Details for claiming deduction
Enter the details or information for Claiming Deduction, also submit details for the deduction you want to claim such as PPF, and LIC.
Enter the details of taxes you have paid. If you there is any income you have that is not your salary such as freelance income or interest income, then add different tax payments you have made.
Electronic filing .
After entering your bank account details, you have to proceed to electronic filing. If “Refund” or ‘No Tax Due’ is displayed, proceed to the e-Filing. You will receive only the next screen an acknowledgment number.
Verify your income tax return once your return is filed.