How to Fill Form 10E on the Income Tax Portal?

Filing income tax returns (ITR) is an important responsibility for every person who earns an income in India. It is a legal requirement by the government so that they can assess the tax liability of people accurately and prevent evasion of tax. In this article, we will learn how to file Form 10E on the new portal. The new income tax portal was launched in 2021 and filing ITR has become more efficient and streamlined now.

Form 10E is a form that is required to be filed by individuals who wish to claim deduction for past year’s salary or arrears that was received in the current fiscal year. It is a mandatory requirement u/s 89 of the IT Act, 1961. It provides relief to taxpayers when salary is paid in advance or in arrears. Since tax rates constantly keep changing, income will be taxed at the tax rate applicable when it was earned and not at the tax rate that it was received. 

Any individual who has received the following income the previous financial year has to submit Form 10E:

• Salary arrears

• Family pension arrears

• Gratuity

• Advance salary

• Employment termination compensation

The steps for “how to fill Form 10E” on the new income tax portal is mentioned below:

• Step 1:Visit and log in to the New Income Tax Portal

• Step 2:Under the “e-File” tab, choose “Income-tax forms”

• Step 3:Now, click on “Form 10E from the dropdown menu 

• Step 4:Fill in the necessary information such as name, assessment year, PAN card, details of past year’s salary or arrear received.

• Step 5:Upload the scanned copy of required supporting documents such Form 26AS, Form 16, among others.

• Step 6:Double-check all the information that you have submitted and make sure the documents uploaded are correct. 

• Step 7:Click on the “Submit” tab. You will get an acknowledgement number and transaction ID.

There are certain implications that you will have to face in case you do not file form 10E on time. They are:

• You might receive a non-compliance notice from the Income Tax department.

• You will not be allowed to claim relief by the Income Tax department under Section 89 of the Income Tax Act

1. You need to file Form 10E before you file your ITR

Filing Form 10E will help you claim deductions for past year’s salary or arrears in the current fiscal year. Failure in filing this form will result in a higher tax liability.

2. Keep all supporting documents ready

Make sure to keep all the necessary documents in hand before filing Form 10E. 

3. Make sure to provide correct information

Any incorrect information might lead to complications and can result in legal consequences or penalties. These documents will serve as proof when you claim a deduction u/s 89 of the IT Act.

4. Use the new tax portal

The new portal is designed in such a way that it provides the taxpayers a user-friendly experience. You can use this tax portal to file Form 10E as it is more efficient than the old tax portal.

5. Make a note of deadlines

Keep track of the deadlines for filing 10E Form. This form has to be filed before the ITR filing due date.

 

Filing Form 10E is a vital step in claiming tax deductions for past year’s salary or arrears received in the current fiscal year. With the introduction of the new tax portal, the process of filing Form 10E has become easier.