SUMMER INTERNSHIP

PROJECT
PRESENTED BY:

VINAYAK CHATURVEDI

BBA/25013/20

Vth SEMESTER
 SUMMER INTENSHIP PROJECT REPORT
A study on income tax filing, How to do income tax filing
Completed at
AGARWAL RAJKUMAR & CO.

Summer Internship Project Report submitted in the

Partial fulfillment of Bachelor’s Degree in Business Administration
Submitted to: Mrs. Purvi Mathur
Submitted by: Vinayak Chaturvedi
Roll No: BBA/25013/20
CERTIFICATE
  Job Profile: Income tax filing intern.
 Area of Work: Finance.
INTERNSHIP  Objectives: To learn income tax filing.

SUMMARY  Duration: 4th January to 31st July, 2022.

 OBJECTIVES OF THE STUDY:
 To assess the perception and awareness of tax-payers towards e-
filing of income tax returns.
OBJECTIVES  To study the satisfaction level of tax-payers towards e-filing of
income tax returns.
 To know about the online process of filing ITR or e-filing.
  The Income Tax Department (also referred to as IT Department or ITD) is
a government agency undertaking direct tax collection of the government
of India. It functions under the Department of Revenue of the Ministry of
Finance. The Income Tax Department is headed by the apex body Central
Board of Direct Taxes (CBDT). The main responsibility of the Income Tax
Department is to enforce various direct tax laws, most important among
these being the Income-tax Act, 1961, to collect revenue for the
BRIEF government of India. It also enforces other economic laws such as
the Benami Transactions (Prohibition) Act, 1988, and the Black Money Act,
INTRODUCTION 2015.

TO INCOME TAX  The Income Tax Act, 1961, has a wide scope and empowers ITD to levy tax
on the income of individuals, firms, companies, local authorities, societies,
DEPARTMENT or other artificial juridical person. Thus, the Income Tax Department
influences businesses, professionals, NGOs, income earning citizens, and
local authorities, among others. The act empowers the Income Tax
Department to tax international businesses and professionals and therefore
ITD deals in all matters of double taxation avoidance agreements and
various other aspects of international taxation such as transfer pricing.
Combating tax evasion and tax avoidance practices is a key duty of ITD to
ensure constitutionally guided political economy. One measure to combat
aggressive tax avoidance is the general anti avoidance rule (GAAR).
  Income tax is a form of direct tax, levied by the government of
India on both residential and non-residential Indians. Individuals
earning over Rs 2.5 Lakh/ annum are liable to pay income tax.
Income tax filing used to be a lengthy process, involving several
steps of documentation and verification.

INCOME TAX  Thankfully with the introduction of the world wide web, e-filing
systems have become significantly popular , streamlining the
E-FILING entire process and helping a taxpayer pay minimum time penalty
income tax e filing last date.
 Every single taxpayer ( including organizations , firms, societies
etc.) is eligible for e-filing income tax returns. Special provision is
reserved for super senior citizens ( individuals older than 80 years
of age) who can file their IT in either paper or online format.
  When we were filing income tax online or physically, it was always a good
idea to be prepared. The below mentioned details served as a checklist to
help us get started with the e-filing of tax returns.
General details that would be required:
 Bank account details
 PAN Number

DOCUMENTS Reporting salary income required

 Rent receipts for claiming HRA
WE  Form 16
REQUIRED TO  Pay slips

E-FILE Reporting House Property income required

 Address of the house property
INCOME TAX  Details of the co-owners along with their share in the mentioned property
and PAN details
 Certificate for home loan interest
 The date when construction was completed, in case an under-construction
property was
 purchased
 Name and the rental income of the tenant, if the property is rented
  E filing process: an individual willing to complete income tax e
filing in India should be a registered user on the official website of
income tax department, India. New users will have to go through
the registration process.
GATHERING NECESSARY DOCUMENTS :
HOW TO FILE  A taxpayer will have to calculate their gross taxable income and
tax deducted at source to complete income tax filing in India. To
INCOME TAX computer , the same, certain documents like form 16, salary slips,
ONLINE interest certificates etc will be required.
 Documents such as Form 16 is necessary to calculate TDS, as it
acts as a TDS certificate provided by one’s employer if they pay
income tax return on their salary.
 Financial institutions like banks also issue Form 16 if a taxpayer
pay TDS on interest earned on saving schemes like a fixed deposit.
 DOWNLOADING FORM 26AS:
 Form 26AS carries a detailed calculation of all the fields that
incurred taxes during a certain financial year. It is deposited
HOW TO FILE against one’s PAN card and available on the TRACES website. It
can be downloaded by navigating to the ‘ My account’ section and
INCOME TAX selecting ‘View Form 26AS’.

ONLINE  Every taxpayer should carefully check their certificate for tax
deducted at source against form 26AS while e filing of income tax.
It will ensure that all the taxes collected from their salary, income
from interest ,etc. have been dully paid to the government of India
and have been lodged against their PAN.
  After collecting both income proofs and TDS certificates, one has
to determine the total taxable income and their tax liability. This
contains two different steps: A taxpayer will have to calculate
their taxable income by adding profit earned from 5 different
heads.
CALCULATING  Income from salary: Regular source of finance earned from salary
or pension
TOTAL INCOME
 Income from other sources: Sources of finance earned from
AND TAX investments such as FD , savings account interest, etc .
LIABILITY:  Income from residential property: Funds earned from renting a
property.
 Income from capital gain: Funds earned by selling capital assets
such as mutual funds, shares, residential properties etc .
 Income from business: Sources of finance earned by
businessmen and other self-employed individuals.
CALCULATING  After determining the total income, a taxpayer can calculate their
tax liability before proceeding with income tax online filing. It
TOTAL INCOME varies between individuals with different annual incomes,
AND TAX  Taxpayers earning Rs 5 Lakh to Rs 10 Lakh will have to pay Rs
LIABILITY: 12500 with 20% income tax and 4% cess. Income above Rs 10 Lakh
will be liable to pay 30% income tax with 4% cess, and Rs 1,12,500.
All the taxes will be calculated on a compounding basis.
 Filing your income tax has become an extremely easy process.
Simply follow the below steps:
 To begin with, log in to IncomeTaxIndiaeFiling.gov.in and register
yourself on the website. Your Permanent Account Number (PAN)
becomes your user ID.
 Now, you can view your tax credit statement or Form 26AS. The TDS
STEPS TO in your Form 16 must tally with the figures in Form 26AS. If not, you
must correct the discrepancy.
FOLLOW TO  Click on the income tax return forms and choose the financial year you
FILE IT want to file your returns for.

RETURNS  Then, you need to download the ITR form which is applies to you. If
your exempt income exceeds Rs.5,000, then the appropriate form will
ONLINE be ITR-2. However, you can complete the process on the portal itself,
by using the 'Quick e-file ITR' link, if the applicable form is ITR-1 or ITR
4S.
 Next step is to open excel utility, which is the downloaded return
preparation software and enter all the details in the form using your
Form 16.
  Calculate and get an estimate of the tax payable amount by clicking
the 'calculate tax' tab.
 Now, if applicable, pay tax and fill in the challan details.
 Confirm all the information provided in the worksheet by clicking on
the 'validate' tab.
STEPS TO  Download this in an XML file and save it on your desktop.

FOLLOW TO  Then, go to 'upload return' on the portal's panel and upload the
saved XML file.
FILE IT  A pop-up will be appear, requesting to digitally sign the file. In case
you have your digital signature, then, select ‘Yes'. In case you have
RETURNS not got digital signature, select 'No'.
ONLINE  ITR Verification (ITR-V), which is the acknowledgment form, will be
generated in a downloadable format.
 Generate a printout of the form ITR-V and sign it only in blue ink.
 Send this form to the Income-Tax Department-CPC , Post Bag No.
1 , Electronic City Post Office, Bangalore, 560 100, Karnataka, by
ordinary or speed post, within 120 days of filing your returns online.
  Taxpayers who do not file their income tax return on time are
subject to penalty and charged an interest on the late payment of
PENALTY FOR income tax. Also, the penalty for late filing income tax return on
time has been increased recently. The penalty for late filing income
LATE FILING tax return is now as follows:
 Late Filing between 1st August and 31st December - Rs.5000
INCOME TAX  Late Filing After 31st December - Rs.10,000
RETURN  Penalty if taxable income is less than Rs.5 lakhs - Rs.1000
  ITR-1
 Also known as the Sahaj form, this income tax return form is to be
filed solely by an individual taxpayer. Any other assessed liable to
pay tax is not eligible to avail of this form for filing their returns.
 This form is applicable for the following people:
WORK  A person who earns his income via salary or through other means
UNDERTAKEN such as pension

IN  A person who earns his livelihood from a single housing property

 An individual who has no income from no other business or who
INTERNSHIP have no income from the sale of any assets i.e. capital gains
 Individuals who do not own any assets or property in countries
apart from India
 An individual who has no source of income from any country
outside India
 ITR-4
 This type of ITR form is useful for those individuals who conduct a
business or who earn income through a profession. This form is
WORK applicable for all types of businesses, undertaking or profession,
without any limit on the income earned.
UNDERTAKEN  Taxpayers can also club any income they receive from windfalls,
IN speculation, salaries, lotteries, housing properties etc., along with
the income earned from their business.
INTERNSHIP  An individual with any profession, right from shopkeepers, doctors
or designers to agents, retailers and contractors, is eligible to file
their ITR using this form.
 The purpose of methodology is to describe the purpose involve in
the research work. This include the
 overall research design, the data collected method Research
methodology refers to the various sequential steps to be adopted in
studying a problem with certain object or objective in view .
 Sources of data collection:
RESEARCH  Data was selected by using both primary and secondary method, in
METHODOLOGY Primary method of data collection survey of the company clients
was used.
 Secondary data was collected by using magazine, books and data
available with the person working there.
 Research Design
 Research design is the arrangement of conditions for collection for
collection and analyze of data in a systematic manner that aims to
combine relevance to research purpose with economy in procedure.
RESEARCH
 The research study applied here is purely descriptive.
METHODOLOGY
Sample size
 50 Respondents are chosen as a sample size for the study
THANKYOU