Attention Clients: Income Tax Filing – ITR Filing for FY 2022-23, AY 2023-24 is LIVE
As the financial year 2022-23 comes to a close, it’s time to start preparing for income tax filing. We, as your trusted tax advisors, want to ensure a smooth and hassle-free process for you. Therefore, we kindly request all our valued clients to get ready for ITR filing and reach out to us on a priority basis.
Filing your income tax return accurately and within the specified deadline is crucial to avoid penalties and stay compliant with tax laws. By acting promptly, you give us ample time to review your financial documents, assess your tax liability, and provide you with comprehensive guidance and support.
Why choose our services for your ITR filing?
1️⃣ Expertise: Our team of experienced tax professionals stays up-to-date with the latest tax laws, regulations, and exemptions. We have in-depth knowledge of the intricate details involved in income tax filing, ensuring that your returns are prepared accurately and optimized for maximum tax benefits.
2️⃣ Personalized Approach: We understand that every client’s financial situation is unique. That’s why we take the time to understand your specific circumstances, tailor our services accordingly, and provide personalized tax planning advice to help you minimize your tax liability.
3️⃣ Compliance Assurance: With our meticulous attention to detail, you can be confident that your income tax returns will comply with all relevant laws and regulations. We adhere to the highest standards of professionalism and accuracy, ensuring that your tax filing process is error-free and hassle-free.
4️⃣ Timely Submission: By contacting us promptly, you allow us to prioritize your ITR filing and ensure that your returns are submitted well within the designated deadlines. This helps you avoid the last-minute rush and minimizes the risk of any penalties or complications.
5️⃣ Peace of Mind: With our reliable tax services, you can have peace of mind knowing that your income tax matters are being handled by dedicated professionals. We strive to make the entire process seamless, transparent, and stress-free for you.
Details required for ITR filings:
1️⃣ Personal Information:
- Permanent Account Number (PAN), Aadar card
- Email Address, Phone Number
2️⃣ Income Details:
- Salary Income (Form 16)
- Income from House Property (Rental Income)
- Income from Business or Profession
- Capital Gains (if any)
- Income from Other Sources
3️⃣ Deductions and Exemptions:
- Investment Proofs (Section 80C, 80D, etc.)
- Rent receipt for claim HRA exemption if this missed out in your form 16
- Home Loan Interest Certificate (if applicable)
- Donations (if eligible for deduction)
4️⃣ Bank Account Details:
- Bank Name
- Account Number
- IFSC Code
Please rest assured that all the information you provide will be treated with utmost confidentiality and used solely for the purpose of income tax filing. Our team of experienced professionals will diligently prepare your ITR, ensuring accuracy and compliance with the tax regulations.
Comparison Old Scheme vs. New Scheme for Income Tax Return (ITR) Filing for Salaried
As a salaried individual, filing your income tax return (ITR) is an essential task. The Indian government offers two options: the old tax scheme and the new tax scheme. In this comparison report, we will analyze and compare the key aspects of both schemes to help you make an informed decision.
- Old Scheme: The old tax scheme follows the existing income tax slabs and allows individuals to claim various deductions and exemptions. Here are the key points to consider:
- Offers a wider range of deductions and exemptions, including those for house rent allowance (HRA), medical expenses, standard deduction, etc.
- Allows you to avail deductions under Chapter VI-A, such as Section 80C (for investments in Provident Fund, life insurance, etc.), Section 80D (for medical insurance premiums), and more.
- Particularly beneficial for individuals with higher expenses and investments, as it provides more opportunities to reduce taxable income.
- Higher tax rates at higher income levels compared to the new scheme.
- Complexity in calculating taxable income due to the involvement of multiple deductions and exemptions.
- May require careful planning and documentation to maximize the benefits.
The new tax scheme was introduced with the aim of simplifying the tax structure. It offers lower tax rates but eliminates various deductions and exemptions. Let’s examine its key aspects:
- Simplified tax structure with lower tax rates across income slabs.
- No need to track and claim specific deductions and exemptions, which simplifies the filing process.
- Suitable for individuals with limited deductions and exemptions or those who prefer a straightforward tax calculation method.
- Eliminates deductions under Chapter VI-A, including popular ones like Section 80C, 80D, and others.
- Higher tax liability for individuals with significant deductions and exemptions under the old scheme.
- Limited scope for tax planning and reducing taxable income beyond the prescribed slabs.
Choosing the Right Scheme: The decision between the old and new schemes depends on your specific financial situation and priorities. Here are some factors to consider:
- Level of Deductions: Evaluate the deductions and exemptions you typically claim and assess their impact on your taxable income. If you have substantial deductions, the old scheme may be more beneficial.
- Simplicity: Consider your preference for a simplified tax structure. The new scheme offers lower rates and simplified calculations, while the old scheme involves more complexity but provides greater opportunities for deductions.
- Long-term Financial Planning: If you have long-term financial goals and make significant investments, the old scheme’s deductions may help you save more in the long run.
Comparison of New and Old Scheme
Mr. Abc – He is New to Employment without any savings:
- Salary Income: ₹10 lakhs under the New scheme
- Tax Liability: Rs.78000 (under New Scheme)
Tax Liability for 10 Lakh Income without any investment/ savings (Old Scheme):
- Taxable Income: ₹10 lakh
- Total Tax Liability: Rs.106,000 (under Old Scheme)
Recommendation: Since Mr. Abc is new to employment and doesn’t have significant savings or investments, the new tax scheme may be more suitable as it offers lower tax rates without the need to track deductions.
Mr. Xyz – Experienced Employee with savings + Investments:
- Income: ₹10 lakh
- Eligible Deductions:
- Housing loan interest: ₹2 lakh
- Medical insurance premium: ₹30,000
- Investments under Section 80C: ₹1.5 lakh
- Standard Deduction: ₹50,000
- Taxable Income (after deductions): ₹6.2 lakh
- Tax Liability: Rs.27560 ((under old Scheme),
Recommendation: Since Mr. Xyz has housing loan interest, medical insurance, and investments, which are eligible for deductions, the old tax scheme may be more beneficial. It allows for a lower taxable income and potential tax savings through deductions.
Ultimately, the choice between the old and new tax schemes depends on your individual circumstances and financial goals. It is advisable to consult with a tax professional or financial advisor who can assess your specific situation and guide you in selecting the most suitable scheme for your income tax filing.
Don’t wait until the last moment! Contact us today to schedule a consultation and initiate the ITR filing process for the financial year 2022-23. Our team is ready to assist you, answer your queries, and guide you through the necessary documentation.
Remember, timely action leads to a smooth tax filing experience. Let us ensure that you meet your tax obligations efficiently while optimizing your tax position. Reach out to us now to get started!
We look forward to serving you and ensuring your tax compliance for the upcoming assessment year.
Sincerely, Team – Prakasha & Co