E-filing ITR has become much easier than before, which a person can easily complete from home. In today’s story, we are going to tell you what are the rules for salaried people and businessmen and how can you apply for it from home? Along with this, today we will also know who gets the option to switch from the new tax regime to the old one?
The time has come to file Income Tax Return i.e. ITR, the last date of which is 31 July 2024. Employed people must have received their Form-16 from their employers by now. Usually it is received after 15 June. Meaning they can start filing their Income Tax Return (ITR). E-filing ITR has become much easier than before, which a person can easily complete sitting at home. In today’s story, we are going to tell you what are the rules for salaried people to businessmen and how can you apply it sitting at home?
Rules for employed people
According to the new rules, salaried taxpayers can choose from new to old and old to new tax system whenever they want. The rates are lower in the new tax system, but there will be no exemption and deduction on choosing it. According to the rules, salaried people and pensioners will be able to go from new to old and old system only when they do not have business income.
On the other hand, the income of taxpayers earning money from consultancy comes under business. It does not come under the category of income from salary. People working as consultants are not allowed to switch from new to old and old to new system every year. Unlike salaried people and pensioners, salaried taxpayers who also earn income from freelance activities do not have the option to switch every year.
Once in a lifetime opportunity for businessmen
Taxpayers earning income from business will have only one chance to choose between the new and the old system. In simple words, if businessmen pay tax under the new system this time and return to the old system next year, then they will not be able to change. If a person’s income from business stops in the future, then he will have the option to choose between the new and the old income tax system every year.
What is the complete process?
- Step 1 – Visit the Income Tax e-filing website.
- Step 2 – Log in to the website using your PAN card and password.
- Step 3 – After that click on the File Now option appearing on the screen. Then you will get the option to select either Old or New.
- Step 4 – After clicking, you will be asked to select the assessment year. Just below that you will see the online option, tick it.
- Step 5 – After that click on Start New Filing. On clicking, you will get the option of Individual.
- Step 6 – Then you will see the option of ITR 1 to 7, in which you can use 1 to 4. If you are a salaried person then select ITR-1.
- Step 7 – Then proceed further and enter the required details given in Form-16. Match and submit.
- Step 9 – At last you will see a summary which will contain all the details given by you.
- Step 10 – Proceed for verification.
- Step 11 – After that your ITR will be filed.
