by ABFRLadmin | March 31, 2025
It’s that time of the year again. This time, though, we’re not talking about appraisal cycles or annual goals. We’re talking about something just as inevitable—filing income tax returns!
If you’re someone who has their financial records neatly sorted, deductions planned months in advance, and an ITR draft ready by April 1st, congratulations! You’re a rare breed. But for the rest of us, tax season often means last-minute scrambling, frantic Google searches, and occasional panic attacks.
But don’t worry! We’re here to make the process easier with expert insights, practical tips, and answers to common questions.
Expert Insights: Manoj Fitkariwala’s Take on Tax Filing
To provide more clarity on tax filing, we spoke to Manoj Fitkariwala, Senior Vice President – Corporate Finance, who shared his expert advice:
1. On Cash Transactions and Tax Monitoring
“Tax officials now have advanced AI-driven systems that track transactions. Even cash dealings are traceable through data analysis, making tax evasion riskier than ever,” explains Fitkariwala.
2. On Common Tax Filing Mistakes
“Many people misinterpret tax laws, thinking they’re straightforward, but tax laws aren’t always black and white. Misinterpretation can lead to issues later, so checking government circulars and consulting an expert is always a good idea.”
3. On Making Tax Filing Stress-Free
Fitkariwala recommends following the 3P rule:
• Pre-Planning: “Understand deductions and exemptions early in the financial year, not in March.”
• Proper Preparation: “Keep all tax-related documents organized—salary slips, investment proofs, medical bills, loan interest certificates, etc.”
• Prompt Execution: “The last-minute rush can lead to errors. Filing early helps avoid penalties and last-minute system crashes.”
Tax Season Survival Guide
First things first, what exactly is income tax? Simply put, it’s the tax you pay on the money you earn. The government collects this tax to fund infrastructure, public services, and other national developments.
Now, who actually needs to pay income tax? If you’re earning money – whether through a salary, business, freelancing, investments, or interest on savings – you may be required to pay tax. The government determines tax slabs, which means your tax percentage depends on your income bracket.
Here’s a quick breakdown:
• Income up to Rs. 3,00,000 – No tax
• Income between Rs. 3,00,000 and Rs. 6,00,000 – 5% tax
• Income between Rs. 7,00,000 and Rs. 10,00,000 – 10% tax
• Income between Rs. 10,00,000 and Rs. 12,00,000 – 15% tax
• Income between Rs. 12,00,000 and Rs. 15,00,000 – 20% tax
• Income above Rs. 15,00,000 – 30% tax
Deductions and Exemptions: How to Pay Less Tax
Good news—there are legal ways to reduce your tax! By investing in schemes like PPF, ELSS, or claiming deductions for insurance and education loans, you can lower your taxable income. This means you could end up paying little to no tax.
4 Smart Tax Filing Practices
1. Plan Ahead
Understanding deductions and exemptions early in the financial year helps you avoid last-minute stress. Payal Hotchandani, Assistant Manager, swears by this—she plans her finances monthly to ensure a smooth filing process.
2. Keep Records Organised
Maintaining a file of all tax-related documents—salary slips, investment proof, medical bills, loan interest certificates, etc.—is crucial. Sona Kumari, Store Manager, emphasizes that keeping everything updated throughout the year saves a ton of hassle later.
3. File on Time
The last-minute rush often leads to errors. Filing early helps you avoid penalties and system crashes on the tax portal.
4. Consult an Expert
The Income Tax Act is complex, and some provisions can have multiple interpretations. Parina Sanghvi, Deputy Manager – Marketing, believes that consulting a tax expert is a smart move whenever in doubt.
Answering The Most Common Questions
1. Why do we file ITR?
Filing your ITR isn’t just about paying taxes; it helps with loan approvals, claiming refunds, and even visa applications.
2. Is it mandatory to file ITR?
If your income falls under the taxable slabs, then yes, it’s mandatory. The IT department’s website has the full list of criteria.
3. Should I file even if I’m not mandated to?
Yes! Even if your income is below the taxable limit, filing ITR helps in financial transactions like taking a loan or applying for a job abroad.
4. How to pay zero tax?
By smartly using deductions! Investing in tax-saving schemes, contributing to PPF, and paying for health insurance can bring your taxable income down significantly.
Why Filing Your ITR is Actually Beneficial
Filing your Income Tax Return isn’t just a yearly chore; it comes with several financial benefits that can make life easier in the long run. Here’s how:
✅ Easy Loan Approvals – Planning to buy a house or a car? Banks require ITR receipts from the last three years when processing loan applications.
✅ Smooth Visa Processing – Many embassies ask for past ITR receipts as proof of tax compliance. Filing your returns ensures hassle-free visa approvals.
✅ Carry Forward Losses to Reduce Future Tax – If you’ve invested in stocks or mutual funds and incurred losses, filing ITR on time allows you to carry forward those losses to offset future gains.
Ready To File?
To sum it up—filing your income tax return doesn’t have to be a nightmare. With the right approach—understanding tax slabs, using deductions wisely, and staying organized—you can make the process smooth and even save money in the process.
So, this year, let’s ditch the last-minute panic and tackle our taxes like pros. After all, if we can navigate appraisal cycles and budget meetings, we can handle a little tax filing too!
