How To File ITR Online In India: A Simple Step-By-Step Guide

By Pune Media On Jun 12, 2025

Last Updated:June 12, 2025, 15:17 IST

An ITR is a form used to report your income, expenses, investments and taxes to the government.

E-filing means submitting your ITR online. (Representative Image)

Income Tax Return (ITR) is a form used to report your income, expenses, deductions and taxes paid to the Income Tax Department of India. Filing ITR is mandatory for individuals and businesses whose income exceeds the basic exemption limit. Even if not mandatory, it is highly recommended as ITR serves as proof of income and is essential for tasks like applying for loans, visas or insurance.

Timely filing ensures you stay compliant with tax laws, avoid penalties, and claim refunds if excess tax has been deducted. It also promotes financial discipline and transparency in your financial dealings.

How to File ITR Online: Step-by-Step Guide

Filing ITR online, also called e-filing, has made tax compliance easier and more accessible. Here’s a simple step-by-step guide:

Step 1: Register on the Income Tax e-Filing Portal

Go to www.incometax.gov.in. Register using your PAN (Permanent Account Number), which becomes your user ID.

Step 2: Log in to Your Account

Use your PAN, password and captcha code to log in.

Step 3: Select ‘e-File’ and choose ITR Form

Go to the “e-File” menu > “Income Tax Return” > “File Income Tax Return.”

Select the assessment year (e.g., 2024–25), mode of filing (online) and applicable ITR form (ITR-1 for salaried individuals).

Step 4: Fill in the Required Details

Pre-filled data (like income from Form 16, bank details, etc.) will appear. Verify and update if needed. Declare other income sources, deductions (80C, 80D, etc.) and taxes paid.

Step 5: Review and Validate

Check the summary. Verify that all information is accurate.

Step 6: Submit and E-Verify

Submit the return and verify it using Aadhaar OTP, bank account or digital signature.

E-verification completes the process, and no physical documents are needed.

Benefits of Filing ITR

Even if your income is below the basic exemption limit, filing your Income Tax Return is highly recommended due to the multiple long-term benefits it offers. An ITR acts as official proof of your income and financial standing, which is useful in many situations beyond just taxes.

For example, if you ever plan to take out a loan, like a home loan, personal loan or vehicle loan, lenders often require copies of your ITR as proof of stable income. The same applies when applying for credit cards or high-value insurance policies like term insurance. Banks and insurance companies view ITRs as reliable documents that demonstrate financial credibility.

ITRs are also often asked for while applying for visas, especially for countries like the US, Canada and the UK, as they help establish your financial background. Additionally, if you plan to bid for government tenders or enter into business contracts with government agencies, having past ITRs is usually a mandatory requirement.

In short, filing ITR—even when not legally required—can help you build a financial track record, increase access to financial products, and open doors to global opportunities. It’s a small step that can make a big difference in the long run.

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Delhi, India, India

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