Common Mistakes to Avoid While Filing Income Tax Online

 Filing your Income Tax Return (ITR) online is an essential responsibility for every taxpayer in India. However, even though the process has become more streamlined, many individuals still make small but costly mistakes while submitting their returns. These errors can lead to delays in refunds, penalties, or even scrutiny notices from the Income Tax Department.

At Power of Factorial Business Solutions, we help you avoid these pitfalls by guiding you through every step of accurate and compliant tax filing. Here are some of the most common mistakes you should watch out for.



1. Entering Incorrect Personal Information

Something as simple as an incorrect PAN, Aadhaar number, or bank account details can cause major issues. A mismatch between your personal data and the income tax database may lead to rejection of your return or delay in refunds.
Tip: Always cross-check your PAN, Aadhaar, address, and bank IFSC code before submitting your ITR.

2. Choosing the Wrong ITR Form

Selecting the right ITR form is one of the most common errors taxpayers make. Each form caters to specific income types and categories of taxpayers. For instance, salaried individuals should generally use ITR-1, while business owners or professionals should file ITR-3 or ITR-4.
Tip: If you’re unsure, get professional help to determine the right form for your income type.

3. Forgetting to Report All Sources of Income

Many taxpayers only mention their salary income but forget to include other sources such as interest income, rental income, dividends, or capital gains.
Tip: Use your Form 26AS or AIS (Annual Information Statement) to review all your income sources before filing.

4. Missing Out on Tax Deductions

Tax deductions under Sections 80C, 80D, 80G, and 80TTA can significantly reduce your taxable income. However, many people either forget to claim them or don’t submit proper proof.
Tip: Gather all investment proofs like LIC premium receipts, medical insurance, tuition fees, and donations before filing.

5. Not Verifying the Income Tax Return

Filing your ITR is not complete until it is verified. If you forget to e-verify your return, it will be treated as invalid.
Tip: Always e-verify your return using Aadhaar OTP, Net Banking, or EVC within 30 days of filing.

6. Incorrect Tax Computation

Relying solely on auto-calculations without checking deductions or TDS credits can result in wrong tax payment.
Tip: Double-check your tax computation or consult a tax professional to avoid paying excess or short tax.

7. Ignoring the Filing Deadline

Many people wait until the last moment to file their return, often resulting in errors or missed deadlines. Late filing can attract penalties and restrict you from carrying forward certain losses.
Tip: File your ITR well before 31st July each year to stay stress-free and compliant.

8. Not Taking Professional Help

While online portals make filing easier, understanding tax laws, deductions, and form selection can be confusing. A small oversight can lead to notices or penalties.
Tip: Hire a trusted tax consultant like Power of Factorial Business Solutions to ensure accurate filing and maximum benefits.

Why Choose Power of Factorial for ITR Filing

At Power of Factorial, we provide hassle-free and accurate Income Tax Return Filing services for individuals, freelancers, and business owners. Our team ensures:

  • Correct ITR form selection

  • Proper deduction claims

  • On-time submission and verification

  • Compliance with latest tax laws

If you’re looking for expert tax guidance in Bangalore, contact us today.

📞 Call: +91 8105021287
🌐 Visit: www.poweroffactorial.in

Frequently Asked Questions (FAQs)

1. Can I file my income tax return myself?
Yes, you can file your ITR online using the Income Tax e-filing portal, but if you’re unsure about forms or deductions, professional help ensures error-free filing.

2. What happens if I file my ITR after the due date?
You may have to pay a late filing fee and may lose the benefit of carrying forward certain losses.

3. Is it necessary to link PAN with Aadhaar before filing?
Yes. Linking your PAN and Aadhaar is mandatory for filing income tax returns in India.

4. What if I realize I made a mistake after filing my ITR?
You can file a revised return before the end of the assessment year to correct the error.

5. How can Power of Factorial help me?
We handle everything — from preparing documents, selecting the right ITR form, calculating taxes, filing returns, to e-verification — ensuring complete accuracy and peace of mind.

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