Tax filing season is around the corner, and if you don’t want to be scrambling at the last minute, now is the time to start preparing. Filing your income tax return (ITR) can seem overwhelming, but getting organized early can save you time, stress, and even money. Whether you’re a salaried employee, self-employed, or an investor, here’s how to make tax season smooth and hassle-free in India.

First, ensure you have all the necessary documents. This includes:

• Aadhaar and PAN Card – Mandatory for filing your ITR and verifying your identity with the Income Tax Department.
• Form 16 – Provided by your employer, detailing your total earnings and tax deducted at source (TDS).
• Salary Slips – Useful for cross-checking income details and deductions claimed.
• Interest Certificates from Banks and Post Office – Required for reporting interest earned from savings accounts, fixed deposits, and recurring deposits.
• Tax-saving Investment Proofs – Documents related to PPF, ELSS, LIC premiums, and other Section 80C investments that help reduce taxable income.
• Health Insurance Premium Receipts – Essential for claiming deductions under Section 80D for medical insurance payments.
• Proof of Capital Gains – Necessary if you have sold property, stocks, or mutual funds, as capital gains need to be reported and taxed accordingly.

Form 26AS is your tax passbook, showing all tax deductions made on your behalf. Additionally, check your Annual Information Statement (AIS) for details on your financial transactions. Reviewing these ensures there are no mismatches between your reported income and what the tax department has recorded.

If you have income from multiple sources such as a salary, freelancing, rent, or investments, ensure you track and report everything. Failing to declare income can lead to penalties. Besides, proper tracking helps you claim eligible deductions and exemptions.

If you're filing taxes under the old regime, you can legally reduce your tax liability by taking advantage of available deductions. Some key sections to consider:

• Section 80C – Investments in PPF, EPF, ELSS, LIC, NSC, and tuition fees (up to ₹1.5 lakh).
• Section 80D – Health insurance premiums for self and family.
• Section 24(b) – Home loan interest deduction (up to ₹2 lakh).
• Section 10(14) – HRA exemptions for salaried individuals.
• Section 80G – Donations to charitable organizations.

For taxpayers under the new regime, a standard deduction of ₹75,000 is applicable.

You may need to pay advance tax if you have additional income beyond salary like freelancing, business, or capital gains. Ensure you have paid taxes on time to avoid interest under Sections 234B and 234C.

Mistakes in your ITR, such as incorrect income details or wrong deductions, can lead to notices from the Income Tax Department. Carefully review your return before submitting it. Additionally, using tax filing software or consulting a tax professional can help avoid errors.

The last date to file your ITR is usually July 31st for individuals. Filing early helps in getting refunds faster and avoiding late fees under Section 234F. Moreover, early filing reduces the risk of identity theft, where someone could misuse your PAN to file a fraudulent return.

If your tax situation is complex, like having multiple sources of income, foreign assets, or capital gains, it’s wise to consult a tax expert. A professional can help you optimize deductions, avoid errors, and ensure compliance with Indian tax laws.

By taking these steps, you can ensure a stress-free tax season while maximizing your savings. Preparing in advance helps you avoid penalties, claim the right deductions, and file your returns smoothly. Additionally, we offer the option to make tax payments online through ‘SIBerNet,’ to make the process even more convenient for you. So, start now, stay organized, and make tax filing a hassle-free experience.

Also Read: Is A No-Spend Month the Best Way to Reset Your Finances?

Disclaimer: The article is for information purpose only. The views expressed in this article are personal and do not necessarily constitute the views of The South Indian Bank Ltd. or its employees. The South Indian Bank Ltd and/or the author shall not be responsible for any direct/indirect loss or liability incurred by the reader for taking any financial/non-financial decisions based on the contents and information’s in the blog article. Please consult your financial advisor or the respective field expert before making any decisions.