Filing I-T returns? Collect THESE documents to calculate income tax liability
Investors should collate statements of capital gains, bank, dividends received, interest paid, TDS certificates, securities statements and interest earned on investments to calculate the income tax liability.
New Delhi: At the end of the financial year, filing income tax returns is one of the few things that are on the top of the to-do list of individuals and enterprises. Filing the income tax returns on or before the deadline is a crucial thing as the income tax returns filed after the termination of the last date attracts penalties over the existing tax liability. In order to recognise the income tax liability, an investor or an individual must need certain documents to arrive at a conclusive figure.
Further, all the individuals who have filed income tax returns in advance and are willingly waiting for income tax refunds are mandatorily required to link their respective bank accounts with the Personal Account Number (PAN) to receive income tax e-refunds with effect from March 1, 2019, onwards.
According to an ET report, investors should collate various records of capital gains, bank statement, dividends received, interest paid on loans, TDS certificates, securities statements and interest earned on investments to calculate the income tax liability according to the respective income tax slabs applicable for the financial year 2018-2019.
The capital gains can either be on securities or a real estate asset, the interest paid on loans can be home loan, vehicle loan, personal loan, TDS certificates on fixed deposits, buying/selling statement of stock market securities, rental income statements, hospital bills, premiums paid on insurance, money spent on child’s higher education, should be gathered to calculate the income tax liability etc.
Certificates of home loan interests, interest earned on the savings account, term deposits, recurring deposits, large-quantum receivables/payables via savings bank account, Tax Deducted at Source (TDS) can be collected from the respective bank/s, housing finance companies, financial services firms. Statements of securities, capital gains, mutual fund units, the trading account can be collected from the brokers, dealers and custodians.
[“source=timesnownews”]