How to prepare to file your income tax return

The income tax return (ITR) filing portal is now open for AY 2025-26 (FY 2024-25). While most salaried taxpayers typically wait until June or July—once their Form 16 arrives—it pays to be a little early to the party.

Filing your return may not sound exciting, but it gets a lot worse if you leave it till the last moment and then realise you've picked the wrong form, missed reporting an income source or can't find that one elusive document. Worse, a mismatch can delay your refund—or invite the tax department's attention.

So, here's how to get ahead of the filing season instead of running behind it.

Step 1: Choose the correct ITR form

Before filling in numbers, make sure you're using the right form. Your financial life may have evolved since last year—you may have sold mutual funds, started freelancing or bought a second home. Any of these changes can affect which form applies to you.

In most cases, here's a general overview of which form fits which profile:

Step 2: Gather your tax documents

Before clicking "File Return", please collect the following documents:

1. Form 16: Think of this as your employer-issued report card. It shows your total salary, deductions, exemptions (like HRA, LTA) and how much TDS was paid.

When you'll get it: By 15 June, usually via email or your company's HR portal.

2. Form 26AS and AIS/TIS: These are your official income and tax trail summaries. They reflect taxes paid, interest earned, dividends received and capital market transactions.

Where to find them: Login to incometax.gov.in , under 'e-file' → 'View Form 26AS' or 'AIS'.

Why it matters: Your ITR should ideally match what the tax department sees here.

3. Capital gains statements: If you've sold mutual funds, shares or ETFs, you'll need to report any gains or losses.

Where to get them: CAMS, KFintech, Zerodha, Groww, or whichever broker or RTA you used.

4. Interest certificates: Interest earned from fixed deposits, recurring deposits and savings accounts is taxable (except savings account interest up to ₹10,000 under Section 80TTA).

Where to get them: Your bank's net banking platform or physical branch. If they too have deducted TDS, say on interest from your bank fixed deposits, ask for a Form 16A from them.

5. Investment proofs (only for old tax regime): These include documents to claim deductions under Sections like 80C (PPF, ELSS, tuition fees, life insurance), 80D (health insurance) and others.

Why it matters: These reduce your taxable income, but only if you've opted for the old tax regime. Under the new regime, most exemptions and deductions are not applicable.
6. Loan interest certificates: If you're under the old regime, interest paid on home loans (Section 24b) can be claimed as deductions.

Where to get them: From your bank or housing finance company's online portal or customer care.

7. Bank account details: This is where your refund will be credited, if any. Ensure the account number and IFSC are entered accurately. A small typo here could mean a long wait.

Step 3: Plan your filing window

In most cases, if your income is purely from salary and interest, you can file your return soon after receiving your Form 16—typically from mid-June onward. But if your finances involve capital gains, foreign income or self-employed income, it's best to take time to reconcile all records, including what the tax department sees in AIS and TIS.

Being early not only helps avoid last-minute chaos but can also result in faster refunds and smoother processing.

Bottom line

Tax filing doesn't have to be a panic-driven annual ritual. If you identify your applicable ITR form early and start assembling your documents now, you'll file quicker and more accurately and possibly receive your refund before most people even get started.

Also read: How to file your ITR

This article was originally published on May 09, 2025.