Filing Income Tax Returns (ITR) is an essential task for individuals and businesses alike, but it often comes with a set of challenges.
Many people encounter issues that can lead to delays, penalties, or even errors in their filings.
Here are the top 3 problems faced during ITR filing and how to tackle them efficiently.

1. Incorrect or Incomplete Information

One of the most common problems faced during ITR filing is entering incorrect or incomplete information.
Mistakes such as wrong PAN details, incorrect bank account numbers, or missing income sources can lead to the rejection of your ITR.
Additionally, not including income from all sources, such as interest from savings accounts or freelance income, can result in discrepancies.

Solution:
Double-check all the details before submitting your ITR.
Ensure that your PAN, Aadhaar, and bank account details are accurate.
Use Form 26AS to cross-check your income and taxes deducted at source (TDS).
This will help you avoid any surprises or errors when filing your ITR.

2. Mismatches in Tax Deducted at Source (TDS)

TDS mismatches are another significant problem encountered during ITR filing.
This happens when the tax deducted by your employer or other sources doesn’t match the amount reflected in your Form 26AS.
Such mismatches can delay your refund or trigger a tax notice.

Solution:
Before filing your ITR, always compare the TDS entries in your Form 26AS with your salary slip, bank statements, and other income sources.
If there’s a discrepancy, reach out to the deductor and ask them to rectify it by revising their TDS return.

3. Choosing the Wrong ITR Form

Choosing the correct ITR form is crucial for proper filing.
Many taxpayers mistakenly choose the wrong form, either due to lack of knowledge or misunderstanding of their income type.
For example, salaried individuals should file ITR-1, while individuals with business income may need to file ITR-3.

Solution:
Determine the right form based on your income sources.
If you are unsure, consult a tax professional or use the Income Tax Department’s e-filing website, which provides guidance on selecting the correct form.
Using the wrong form can lead to delays in processing and may require you to file a revised return.

---

6 FAQs on Problems Faced During ITR Filing

1. What happens if I miss the ITR filing deadline?

If you miss the deadline, you may face a late fee of up to ₹5,000 and lose the opportunity to carry forward certain losses.

2. Can I file a revised ITR if I made a mistake in the original one?

Yes, you can file a revised ITR before the end of the relevant assessment year.

3. How can I avoid TDS mismatches?

Regularly check your Form 26AS and ensure that your employer or other income sources have correctly deducted and deposited TDS.

4. What should I do if I chose the wrong ITR form?

You can file a revised return using the correct ITR form before the deadline to avoid penalties.

5. How do I check my refund status after filing ITR?

You can check the refund status on the Income Tax Department’s e-filing portal or through the NSDL website.

6. Is it necessary to file ITR if I don’t have taxable income?

Even if your income is below the taxable threshold, filing ITR is advisable as it helps in securing loans, visas, and claiming refunds if TDS was deducted.

---

Filing ITR doesn’t have to be complicated.
At PUCHO Business Consultant, we provide expert tax filing services to ensure your returns are filed accurately and on time.
Book a consultation today at PUCHO Business Consultant and let our professionals handle your ITR filing with ease!