Top 10 Common Tax Filing Mistakes Indians Make (and How to Avoid Them

Every year, countless taxpayers in India unintentionally make errors while filing their Income Tax Returns (ITR). These mistakes can lead to penalties, refund delays, and even scrutiny from the Income Tax Department. At CA Jitesh Gupta & Co., we help clients navigate tax filing accurately. Here are the top 10 mistakes to avoid:

1. Not Reporting All Income Sources
   Income from interest, freelance work, rent, or investments must be reported. Even tax-exempt income should be declared.
2. Choosing the Wrong ITR Form
   Filing with the incorrect ITR form can lead to your return being marked defective. Always select the form that matches your income profile.
3. Ignoring Form 26AS and AIS
   These forms reflect your TDS and other income-related details. Always reconcile them with your return.
4. Missing to Claim Deductions
   Many taxpayers forget to claim deductions under Sections 80C, 80D, and 80G. Review all eligible deductions before filing.
5. Incorrect Bank Details
   Refunds get delayed if bank account details are wrong. Always double-check your IFSC and account number.
6. Forgetting to Verify the ITR
   Filing isn’t complete unless you e-verify your return within 30 days.
7. Claiming False Deductions
   Avoid inflating deductions. The IT department can track inconsistencies.
8. Not Disclosing Foreign Assets
   If you have foreign investments or bank accounts, these must be declared.
9. Filing After the Due Date
   Late filing leads to interest, penalties, and loss of certain benefits.
10. DIY Filing Without Expert Help
    Complex cases need professional guidance. A CA can help you optimize taxes and stay compliant.