Income Tax Tips : 3 Things to do

The Income Tax filing season is here. There are 3of tax payable by you or refundable to you,
things we need to do before 31st July, 2009: paydisplayed onscreen. You can then generate you
off whatever income tax we still owe, file ourreturn at one click and file it online itself.iii. Plan
returns and plan our taxes for the new financialyour taxes: The last year was a year of
year. Let us take a brief look at each of these:i.recession for most countries. India too was
Pay off outstanding tax: One of the benefits ofaffected in a moderate way. The good news
preparing an income tax return is getting to knowthough, is that we are already coming out of it.
your final tax liability. Preparing tax returns onlineSo as you earn your money, be conscious of
can give you an accurate figure that tells you ifwhere it is going; this will help you avoid any
you still owe any income tax. If you do, pay it offmistakes you might have made during the rough
immediately, before you file your return. Like filingphase last year. Save money, but invest it
returns online, you can pay your taxes online too.ii.judiciously, especially in industries that are less
File your income tax return: Beginning 1st April,likely to see a drop in demand. Declare your
you have 122 days to file your tax return, withinvestment plan to your employer early so that
the last date (before interest is charged) beingthey begin deducting tax from your salary sooner
31st July. Make sure that your employer givesin the financial year. This will spread your tax
you your Form 16 latest by the end of April.liability evenly through the year. That, in turn, will
Form 16 gives you most of the information youleave you with more cash towards the end of
will need to prepare and file your tax return. Oncethe year, which you can use as required.
you have all the required data, do not delay.Taking control of your finances early will help you
Prepare and file your return as soon as possible.make the most of tax benefits that are available
Choose to e-file: all you need is to organise yourto you. The "3 Things to do" discussed above are
data for ready reference, and a few minutes tothe way to do this.
type it into a website like You will get the amount