ITR verification: Income tax important message for taxpayers

The Income Tax department has issued an important message for taxpayers regarding income tax returns (ITR verification).

Income Tax India has recently shared a post on social media platform X (Formally Twitter). The tweet from the income tax department, “Dear Taxpayers, Complete the e-filing process today!”

“Please find below the modes of e-verification of return. Remember to verify your ITR within 30 days of filing. Delayed verification may lead to a levy of late fees in accordance with provisions of the Income-tax Act, 1961. Don’t delay, verify your ITR today!”, the post added.

Steps to e-verify your ITR

• Step 1: For verification of ITR login to the income tax department’s e-filing portal www.incometax.gov.in.
• Step 2: Click on ‘e-Verify Return’.
• Step 3: You need to enter your PAN along with the acknowledgment number.
• Step 4: The new page will then display the file for which verification is pending.
• Step 5: The process of verifying through Aadhar OTP is fairly straightforward. One can use the OTP delivered to the mobile number registered and mapped with Aadhar to confirm and e-verify the returns.

For Hassle-Free Verification of ITR, E-Verify Through:-

• Aadhar-OTP
• Net-Banking
• Pre-Validated Bank Account/DEMAT Account

The delayed verification may lead to levy late fee of Rs.1000 and Rs.5000 as per the Income Tax, 1961.

CBDT notifies rule for determination of value of perquisite in respect of residential accommodation provided by employer

The Finance Act- 2023 brought in an amendment for the purposes of calculation of “perquisite” with regard to the value of rent-free or concessional accommodation provided to an employee, by his employer. Accordingly, CBDT has modified Rule 3 of the Income-tax Rules, 1961 to provide for the same.

The categorization and the limits of cities and population have now been based on the 2011 census as against the 2001 census. The revised limits of population are 40 lahks in place of 25 lahks and 15 lahks in place of 10 lahks. The earlier prerequisite rates of 15%, 10%, and 7.5% of the salary have now been reduced to 10%, 7.5%, and 5% of the salary respectively in the amended Rule. This is summarised as under:

The Rule has also been further rationalized so as to compute a fair tax implication of the same accommodation being occupied by an employee for more than one previous year.

Notification No. 65/2023 dated 18^th August 2023 has been published and is available at https://egazette.nic.in