A

SUMMER INTERNSHIP REPORT

On

ITR E-FILING (POOJA AND ASSOCIATES)

In partial fulfilment of the requirement for theaward of the Degree of

BACHELOR OF BUSINESS ADMINISTRATION

(Three Years Full Time Regular Degree)

Batch : 2021-2024

ROORKEE,INDIA

UNDER THE GUIDANCE OF: SUBMITTED BY:

DR. MEHAK TEENA CHOUDHARY

(Associate Professor)
BBA 5th SEMESTER
ROLL NO. 2102301095

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 CERTIFICATE

I have the pleasure in certifying that Teena choudhary is a bonafide student of 5th
Semester of bachelor of Business Administration (2021-2024), of Quantum School
of Business, Roll No. 2102301095

She has done her summer internship project work entitled "ITR E-filing" under my
guidance. I certify that this is his original effort and has not been copied from any
other source. This project has also not been submitted in any other Institute/
University for the purpose of award of any degree.

This project fulfils the requirements of the curriculum prescribed by the University
for the said Course. I recommend this project work for evaluation and
consideration for the award of Degree to the student.

Signature:

Name of Mentor:

Designation:

Date:

2
 DECLARATION

I, Teena Choudhary, hereby declare that the summer internship project report “ITR

E-filing” with reference to”Pooja and Associates" prepared by me under the

guidance of Dr. Mehak, faculty of QSB Department, Quantum University.

1 also declare that this summer internship project report is towards the partial

fulfilment of the university regulations for the award of the degree of bachelor of

Business Administration by Quantum University, Roorkee, India.

I have undergone summer internship an industry project for a period of Eight Weeks.

I further declare that this report is based on the original study undertaken by me and

has not been submitted for the award of a degree/diploma from any other University

/ Institution.

Signature of Student :

Place:

Date:

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 ACKNOWLEDGEMENT

The joy of ingenuity!!! This is undoubtedly what this project is all about. I would
like to add a heartfelt word “it is not possible to prepare a project report without
the assistant and encouragement of my mentor”. On the very outset of this report,
I would like to extent my sincere and heartfelt obligations towards all the
personages who have helped me in this endeavor. Without their active guidance,
help, cooperation and encouragement, I would have not made headway in this
report.

Heartful and wonderful thanks to my mentor and guide Dr. Mehak Thakral,
Associate Professor, Quantum University for her guidance for the completion of
the project.

I would also thank my family and well-wishers, who help me and provided me
their whole-hearted support to me in this work. I believe that this endeavor has
prepared me for taking up new challenging opportunities in future.

TEENA CHOUDHARY

ROLL NO: 2102301095

4
 TABLE OF CONTENTS

Chapter 1- Introduction 6-17

1.1 Introduction

Chapter 2- Company Profile 18-21

Chapter 3- Literature Review 22-23

Chapter 4 – Research Objective 24

4.1 Research Objective

Chapter 5- Research Methodology 25-26

Chapter 6- Data Analysis & Interpretation 27-37

Chapter 7- Finding and Analysis 38

Conclusion 39

Suggestion 40

BIBLIOGRAPHY 41

Annexure 42-43

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 CHAPTER 1: INTRODUCTION

Income Tax in India: Guide, IT Returns, E-filing Process 2019

Taxes in India can be categorized as direct and indirect taxes. Direct tax is a tax you pay on your
income directly to the government. Indirect tax is a tax that somebody else collects on your behalf
and pays to the government such as restaurants, theatres and e-commerce websites recover taxes from
you on goods you purchase or a service you avail. This tax is, in turn, passed down to the
government. Direct Taxes are broadly classified as:

1. Income Tax – This is taxing an individual or a Hindu Undivided Family or any taxpayer other
than companies, pay on the income received. The law prescribes the rate at which such income
should be taxed.

2. Corporate Tax – This is the tax that companies pay on the profits they make from their
businesses. Here again, a specific rate of tax for corporates has been prescribed by the income tax
laws of India.

Indirect taxes take many forms: service tax on restaurant bills and movie tickets, value-added tax or
VAT on goods such as clothes and electronics. Goods and services tax, which has recently been
introduced, is a unified tax that has replaced all the indirect taxes that business owners have to deal
with.

31 JANUARY 31 MARCH 31 JULY OCT-NOV

Deadline to submit Deadline to make Last date to file your Time to verify your tax
your investment proofs investments under tax return return
Section 80C

Income Tax Basics

Everyone who earns or gets an income in India is subject to income tax. (Yes, be it a resident or a
non-resident of India). Also read our article on Income Tax for NRIs. Your income could be salary,
pension or could be from a savings account that’s quietly accumulating a 4% interest. Even, winners
of ‘Kaun Banega Crorepati’ have to pay tax on their prize money. For simpler classification, the
Income Tax Department breaks down income into five heads:

Head of Income Nature of Income covered

Income from
Income from salary and pension are covered under here Salary
Income from Income from savings bank account interest, fixed deposits, winning KBC
Other Sources
Income from This is rental income mostly
House Property
Income from Income from sale of a capital asset such as mutual funds, shares, house
Capital Gains property

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Business and you run a business. Life insurance agents, chartered accountants, doctors and
Profession lawyers who have their own practice, tuition teachers

Taxpayers and Income Tax Slabs

Taxpayers in India, for the purpose of income tax include:

• Individuals, Hindu Undivided Family (HUF), Association of Persons (AOP) and Body of
Individuals (BOI)
• Firms
• Companies

Each of these taxpayers is taxed differently under the Indian income tax laws. While firms and Indian
companies have a fixed rate of tax of 30% of profits, the individual, HUF, AOP and BOI taxpayers
are taxed based on the income slab they fall under. People’s incomes are grouped into blocks called
tax brackets or tax slabs. And each tax slab has a different tax rate. In India, we have four tax brackets
each with an increasing tax rate.

• Income earners of up to 2.5 lakhs

• Income earners of between 2.5 lakhs and 5 lakhs
• Income earners of between 5 lakhs and 10 lakhs
• Those earning more than Rs10 lakhs
Income Range Tax rate Tax to be paid
Up to Rs.2,50,000 0 No tax
Between Rs.2.5 lakhs and Rs.5 lakhs 5% 5% of your taxable income
Between Rs.5 lakhs and Rs.10 lakhs 20% Rs.12,500+ 20% of income above Rs.5
lakhs
Above 10 lakhs 30% Rs.1,12,500+ 30% of income above Rs.10
lakhs

This is the income tax slab for FY 2017-18 for taxpayers under 60 years. There are two other tax
slabs for two other age groups: those who are 60 and older and those who are above 80.

A word of note: People often misunderstand that if they earn let’s say Rs.12 lakhs, they will be
paying a 30% tax on Rs.12 lakhs i.e. Rs.3, 60,000. That’s incorrect. A person earning 12 lakhs in the
progressive tax system, will pay Rs.1, 12,500+ Rs.60, 000 = Rs.1, 72,500.

Exceptions to the Tax Slab

One must bear in mind that not all income can be taxed on slab basis. Capital gains income is an
exception to this rule. Capital gains are taxed depending on the asset you own and how long you’ve
had it. The holding period would determine if an asset is long term or short term. The holding period
to determine nature of asset also differs for different assets. A quick glance of holding periods, nature
of asset and the rate of tax for each of them is given below.

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 Type of capital Holding period Tax rate asset

House Property Holding more than 24 20% Depends on slab rate

months – Long Term
Holding less than 24 months
– Short Term

Debt mutual Holding more than 36 20% Depends on slab rate

months – Long Term
Holding funds less than 36
months – Short Term

Equity mutual Holding more than 12 Exempt (until 31 March

months – Long Term 2018) Gains > Rs.1 lakh
Holding funds less
than 12 months – Short Term

Shares (STT paid) Holding more than 12 taxable @ 10% 15% Exempt
months – Long Term (until 31 March,2018) Gains
Holding less than 12 months > Rs1 lakh
– Short Term
Holding more than 12 months taxable @ 10% 15% 20% As
Shares (STT unpaid) – Long Term Holding less than per Slab Rates less than 12
12 months – Short Term months – Short Term

FMPs Holding more than 36 20% Depends on slab rate

months – Long Term
Holding less than 36 months
– Short Term

Income Tax Return (ITR)

A tax return is defined as a form or different types of forms filed with a taxing authority which reports
income, expenses, and other pertinent tax information. Tax returns make it simple for taxpayers to
calculate their tax liability, schedule tax payments and request refunds for the overpayment of taxes.
All taxpayers who are filing their income tax returns are required to determine the type of income tax
return (ITR) form they need to fill before actually filing their returns. The form to be filled is solely
dependent on the income that the taxpayer earns or in certain cases if the taxpayer holds assets in a
country other than India or earns any form of income from a country other than India.

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Different types of ITR forms
In total, there are almost 9 types of ITR forms available for a tax payer to file his taxes. However, only
the following forms are to be taken into consideration by individuals when filing returns as per the
Central Board of Direct Taxes in India:

• ITR-1
• ITR-2
• ITR-2A
• ITR-3
• ITR-4
• ITR-4S

The following income tax return forms are applicable only for companies and firms:

• ITR-5
ITR-6
• ITR-7

ITR-1
Also known as the Sahaj form, this income tax return form is to be filed solely by an individual
taxpayer. Any other assesses liable to pay tax is not eligible to avail of this form for filing their
returns. This form is applicable for the following people:

• A person who earns his income via salary or through other means such as pension
• A person who earns his livelihood from a single housing property
• An individual who has no income from no other business or who 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
• A person whose income from agriculture is below Rs.5,000
• A person whose source of income is from various investments or sources like investments,
schemes or fixed deposits etc.
• Individuals who have not earned income from any windfall such as lotteries, horse racing etc.
• People who want to accumulate their spouse’s or underage child’s income with their own, as
long as the income to be clubbed is in accordance with the criteria mentioned above.

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ITR-2A
Introduced in the assessment year 2015-16, The ITR-2A form is a new income tax return form. This
form can be used by a Hindu Undivided Family (HUF) or an individual taxpayer. The ITR-2A form is
applicable for the following people:

• People whose source of income I through salary or through means such as pension
• People who are also earning income from more than one housing property
• A person who has no income from any other business or who have no income from the sale of
any assets i.e. capital gains
• People who tend to earn income from different investments or sources such as Fixed Deposits,
Investments, and Shares etc.
• A person who does not own any property or assets in countries other than India
• A person who does not have a source of income from any country outside India
• A person whose income from agriculture is below Rs.5,000
• Individuals who have not earned income from any windfall such as lotteries or horse racing

ITR-2
The ITR-2 Form is a type of ITR form which is generally used by individuals who have accrued
income through the sale of assets or property. Also, this form is useful for individuals who earn

income from countries outside India. In most cases, individuals or Hindu Undivided Families (HUF)
can avail of this form to file their IT returns. This form is applicable for the following persons:

People who earn income through salary or through means such as pension
• A person whose source of income is through the sale of assets or property in India i.e. capital
gains
• A person who tends to earn income from more than one housing property
• People who don’t earn money from any business venture
• A person who own assets in countries outside of India
• People who earn income from countries outside of India
• A person whose income from agriculture is above Rs.5,000
• A person who gets his income from any windfall like lotteries or horse racing

ITR-3
The ITR-3 Form is useful for an individual taxpayer or a Hindu Undivided Family, who solely
operates as a partner in a firm but who do not conduct any business under the firm. This is also
applicable for individuals who do not earn any income from the business conducted by the firm. This
form is usually filed by those taxpayers whose taxable income earned from business is only in the
form of the following:

• Salary
• Commission
• Bonus
• Interest
• Remuneration

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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 applicable for all types of businesses, undertaking or profession,
without any limit on the income earned. Taxpayers can also club any income they receive from
windfalls, speculation, salaries, lotteries, housing properties etc., along with the income earned from
their business. 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.

ITR-4S
Also known as Sugam form, the ITR-4S form can be used by any individual or Hindu Undivided
Family (HUF) for filing their income tax returns. This form is applicable for the following persons:

• Individuals who earn income from any business

• Individuals who earn income from a single housing property
• Individuals who do not earn income through the sale of assets or property in India i.e.: capital
gains
• Individuals whose income from agriculture is below Rs5,000
• Individuals who do not own any assets or property in countries other than India
• Individuals who do not earn income from any country outside India

This form is useful in special circumstances and is applicable to businesses where any income earned
is based on a presumptive method of calculation.

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ITR-5
The ITR-5 form is used only by the following bodies to file income tax returns:

• Firms
• Limited Liability Partnerships (LLPs)
• Body of Individuals (BOIs)
• Association of Persons (AOPs)
• Co-operative Societies
• Artificial Judicial Persons Local Authorities

ITR-6
Except those companies or organizations that claim tax exemption as per Section 11, the ITR-6 form
is used only by all companies. Organizations that can claim tax exemptions as per Section 11 are
organizations in which the income received is accumulated from the property used for the purpose of
religion or charity. This particular income tax return form is only available to be filed online.

ITR-7
Those individuals or companies that are required to submit their returns under the following sections
are required to file their income tax returns through ITR-7:

• Section 139(4A) - Under this section, returns can be filed by individuals who receive income
from any property that is held for the purpose of charity or religion in the form of a trust or
legal obligation
• Section 139(4B) - Under this section, returns are to be filed by political parties provided their
total income earned is above the non-taxable limit
• Section 139(4C) - Under this section, returns are to be filed by the following entities:
• Any institution or association mentioned under Section 10(23A)
• Any association involved with scientific research
• Any institution mentioned in Section 10(23B)
• Any news agency
• Any fund, medical institution or educational institution
• Section 139(4D) - Under this section, returns are to be filed by entities such as colleges,
universities or any other such institution wherein income returns or loss are not required to be
provided in accordance with other provisions outlined in this section.

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E-Filing of Income Tax Returns:
What is E-Filing?
As per section 139(1) of the Income Tax Act, 1961 in the country, individuals whose total income
during the previous year exceeds the maximum amount not chargeable to tax, should file their income
tax returns (ITR). The process of electronically filing income tax returns is known as e-filing. The
filing of returns can be done in two ways – one is the conventional offline route which requires you to
visit the office of the Income Tax Department and doing it manually, and the other is to file the
returns on the internet. E-filing has been gaining a lot of popularity in recent years thanks to
advancements in technology. E-filing is also relatively easier in comparison with offline filing as it
doesn’t involve tedious paperwork and can be done from the comfort of your home.

Types of e-Filing:
• Use Digital Signature Certificate (DSC) to e-file. It is mandatory to file IT forms using
Digital Signature Certificate (DSC) by a chartered accountant.
• If you e-file without DSC, ITR V form is generated, which should then be printed, signed and
submitted to CPC, Bangalore by ordinary post or speed post within 120 days from the date of
e-filing.
• You can file e-file IT returns through an E-return Intermediary (ERI) with or without DSC.

Who should e-file income tax returns?

Online filing of tax returns is easy and can be done by most assesses.

• Assesses with a total income of Rs.5 Lakhs and above.

• Individual/HUF resident with assets located outside India.
• An assesses required to furnish a report of audit specified under sections 10(23C) (IV),
10(23C) (v), 10(23C) (VI), 10(23C) (via), 10A, 12A (1) (b), 44AB, 80IA, 80IB, 80IC, 80ID,
80JJAA, 80LA, 92E or 115JB of the Act.
• Assesses required to give a notice under Section 11(2) (a) to the assessing officer.
• A firm (which does not come under the provisions of section 44AB), AOP, BOI, Artificial
Juridical Person, Cooperative Society and Local Authority (ITR 5).
• An assesses required to furnish returns U/S 139 (4B) (ITR 7).
• A resident who has signing authority in any account located outside India.
• A person who claims relief under sections 90 or 90A or deductions under section 91.
• All companies.

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Benefits of E-Filing
E-filing is preferred to offline filing among a large number of taxpayers in India. Here are some of the
major benefits of filing your income tax returns electronically:

• Quick Processing: When you file your returns online, they will be acknowledged promptly by
the Income Tax Department. One of the major benefits of e-filing is that if there are any
refunds, they will be processed much quicker in comparison with returns that are filed on
paper.
• Convenient: You can file your returns anytime, anywhere, as long as you have a mobile
device or a laptop and an internet connection. The e-filing facility is open 24/7, making it a
way more convenient option in comparison with manual filing of returns.
• Accuracy: The software created for the e-filing of returns comes with built-in electronic
connectivity and validations that make it seamless. The software also reduces errors to a
considerable extent. Since filing your returns manually can leave the door open to human
errors, electronic filing of returns can ensure that there are no manual errors.
• Confidentiality: Filing your returns on paper has the potential for your details to get leaked.
Online filing of returns, however, is much safer in comparison with manual filing as your data
will not be accessible by chance or design.
• Easy to Use: The e-filing portal has been designed in a manner such that it is really easy to
file your returns. There are detailed instructions that you can follow to ensure that the process
is completed in a smooth and hassle-free manner.
• Proof of Receipt: Filing your income tax returns online will mean that the confirmation will
be sent to you promptly through email on your registered email address. Since the process is
automated, there will be no wastage of time in getting your confirmation.
• Electronic Banking: In case any refunds are due to you, they will be directly deposited to your
bank account. In case you have any tax payments to make, they too will be directly debited
from your bank account. You also have the choice to file your returns now and pay the taxes
later. You can accordingly choose to instruct your bank account and enjoy the convenience
offered by the facility.
• Accessibility: All the information regarding your past data can be accessed with relative ease
when you file your returns online. The applications ensure that the data has been stored
securely, so that it is easy for individuals to access it when filing their returns again.

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Documents required to file income tax
When filing your income tax online or physically, it is always a good idea to be prepared. The below
mentioned details serve as a checklist to help you get started with the e-filing of tax returns.

General details that would be required

• Bank account details

• PAN Number

Reporting salary income required

• Rent receipts for claiming HRA
• Form 16
• Pay slips

Reporting House Property income required

• Address of the house property
• 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

Reporting capital gains required

• There is a requirement of a stock trading statement with purchase details, in case there are
capital gains from selling the shares
• If a house or property is sold, you must seek sale price, purchase price, details of registration
and capital gain details
• Mutual fund statement details, purchase and sale of equity funds, debt funds, SIPs and ELSS

Reporting other income required

• The income from interest is reported. In case of interest accumulated in savings account, bank
account statements are required
• Interest income from tax saving bonds and corporate bonds must be reported The income
details earned from post office deposit must be reported

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Steps to follow to file IT returns online
Now, filing your income tax has become an extremely easy process. Simply follow the below steps:

• To begin with, log on 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 in your Form 16 must
tally with the figures in Form 26AS. If not, you must correct the discrepancy.
• Click on the income tax return forms and choose the financial year you want to file your
returns for.
• 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 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 ITR1
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.
• Download this in an XML file and save it on your desktop.
• Then, go to 'upload return' on the portal's panel and upload the saved XML file.
• A pop-up will be appeared, requesting to digitally sign the file. In case you have your digital
signature, then, select ‘Yes'. In case you have not got digital signature, select 'No'.
• 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.

• E-Filing Tax Returns for 2019:

E filing income tax returns for the assessment year 2019-20, which is the financial year 2018- 19
has started. The Income Tax Department will release the new ITR forms after 31st March and e-filing
for them will be allowed on their website.

16
 • Deadline for E-Filing Tax Returns:
The last date for e-filing income tax returns for FY 2018-19 is 31st July 2019. You can e-file your tax
returns any time before then, but it is always better to e-file early to avoid the rush and heavy website
traffic in the last month.

• Penalty for Late Filing Income Tax Return:

Taxpayers who do not file their income tax return on time are subject to penalty and charged an
interest on the late payment of income tax. Also, the penalty for late filing income tax return on time
has been increased recently. The penalty for late filing income tax return is now as follows:

• Late Filing between 1st August and 31st December - Rs.5000

• Late Filing After 31st December - Rs.10,000
• Penalty if taxable income is less than Rs.5 lakhs - Rs.1000

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 CHAPTER 2: COMPANY PROFILE

A firm is a business organization—such as a corporation, limited liability company (LLC), or

partnership—that sells goods or services to make a profit. While most firms have just one
location, a single firm can consist of one or more physical establishments, as long as they fall
under the same ownership and utilize the same Employer Identification Number (EIN).
When used in a title, "firm" is typically associated with businesses that practice law, but the
term may be used for a wide variety of businesses including accounting, consulting, and
graphic design firms. "Firm" is often used interchangeably with business, company, or
enterprise.

Firms Differ by Type of Ownership:

A firm's business activities are typically conducted under the firm's name, but the degree of
legal protection—for employees or owners—depends on the type of ownership structure
under which the firm was created. Some organization types, such as corporations, provide
more legal protection than others. Firms can assume a number of different types based on
their ownership structures:

• One type of firm is a sole proprietorship or sole trader. A sole proprietorship is owned
by one person, who is liable for all costs and obligations, and owns all assets.
• A partnership is a business owned by two or more people; there is no limit to the
number of partners that can have a stake in ownership. A partnership's owners each
are liable for all business obligations, and together they own everything that belongs
to the business.
• In a corporation, the businesses' financials are separate from the owners' personal
financials. Owners of a corporation are not liable for any costs, lawsuits, or other
obligations of the business. A corporation may be owned by individuals or by a
government. Though business entities, corporations can function similarly to
individuals; for example, they may take out loans, enter into contract agreements, and
pay taxes. A firm that is owned by multiple people is often called a company.
•
• A financial cooperative is similar to a corporation in that its owners have limited
liability; with the difference that its investors have a say in the company's operations.

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ABOUT THE FIRM:

Established in the year 4th July 2018, “Pooja and Associates”, is a partnership firm including
ten partners engaged in offering Advisory and Compliance services. The services offered by
the firm ensure that the diverse needs of its clients are achieved through efficiency,
organization and precise means. Our services are widely appreciated by the clients for its
reliability and appropriate results.
The team members are recruited after a stringent screening of their professional as well as
personal backgrounds. To make sure that our team members are kept updated with latest
techniques and requirements of the industry, we conduct training programs and practice
sessions on a regular basis under the supervision of a seasoned trainer.

LOCATION:

• MAIN HEAD & MANAGING PARTNER: CA Pooja Saini

• HEAD OFFICE: At Roorkee
• BRANCH OFFICE: Roorkee

The firm is specialized in the areas of ITR Filing, GST Return Filing, Verification of Sales
and Purchase Bills, Audit.

AUDITORS ROLE IN THE FIRM:

The outside, independent auditor is engaged to render an opinion on whether a company’s

financial statements are presented fairly, in all material respects, in accordance with financial
reporting framework. The audit provides users such as lenders and investors with an
enhanced degree of confidence in the financial statements. An audit conducted in accordance
with GAAS and relevant ethical requirements enables the auditor to form that opinion.

To form the opinion, the auditor gathers appropriate and sufficient evidence and observes
tests, compares and confirms until gaining reasonable assurance. The auditor then forms an
opinion of whether the financial statements are free of material misstatement, whether due to
fraud or error.

19
Some of the more important auditing procedures include:

• Inquiring of management and others to gain an understanding of the organization

itself, its operations, financial reporting, and known fraud or error
• Evaluating and understanding the internal control system
• Performing analytical procedures on expected or unexpected variances in account
balances or classes of transactions
• Testing documentation supporting account balances or classes of transactions
• Observing the physical inventory count
• Confirming accounts receivable and other accounts with a third party

At the completion of the audit, the auditor may also offer objective advice for improving
financial reporting and internal controls to maximize a company’s performance and
efficiency.

Financial Advisors of the firm:

The firm places the client first and adopts a genuine partnering approach. From the outset, it
places great emphasis on understanding the client’s current and likely future business,
alongside its challenges and opportunities. Through this rigorous brief derivation, regular
discussion and reporting, the advisor’s breadth of experience enables our client to make
decisions based on maximum information

The Firm’s Approach:

The firm’s team approach, with the right blend of experience and skills, offers the client
effective support. Rigorous proven methodologies, and innovative thinking, enable the firm
to stimulate imaginative solutions that work. Good communications and a holistic approach
involve with frequent workshops.

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The Firm is also specialized in GST return filing:

Filing GST return under the GST regime is crucial as non-compliance and delay will result in
penalties and affect your compliance rating and timely refunds.

A return is a document containing details of income which a taxpayer is required to file with
the tax administrative authorities. This is used by tax authorities to calculate tax liability.

Under GST, a registered dealer has to file GST returns that include:

• Purchases
• Sales
• Output GST (On sales)
• Input tax credit (GST paid on purchases)

To file GST returns, GST compliant sales and purchase invoices are required.

In the GST regime, any regular business has to file two monthly returns and one annual
return. This amount to 26 returns in a year. The beauty of the system is that one has to
manually enter details of one monthly return – GSTR-1. The other returns GSTR 3B will get
auto-populated by deriving information from GSTR-1 filed by you and your vendors. There
are separate returns required to be filed by special cases such as composition dealers.

Late Fees for not Filing Return on Time:

If GST Returns are not filed within time, you will be liable to pay interest and a late fee.

Interest is 18% per annum. It has to be calculated by the taxpayer on the amount of
outstanding tax to be paid. The time period will be from the next day of filing to the date of
payment.
Late fees are Rs.100 per day per Act. So, it is 100 under CGST & 100 under SGST. Total
will be Rs.200/day. Maximum is Rs.5,000. There is no late fee on IGST.

21
 Chapter 3: LITERATURE REVIEW

A literature review or narrative review is a type of review article. A literature review is a

scholarly paper, which includes the current knowledge including substantive findings, as well
as theoretical and methodological contributions to a particular topic. Literature reviews are
secondary sources, and do not report new or original experimental work. Most often
associated with academic-oriented literature, such reviews are found in academic journals,
and are not to be confused with book reviews that may also appear in the same publication.
Literature reviews are a basis for research in nearly every academic field. A narrow-scope
literature review may be included as part of a peer-reviewed journal article presenting new
research, serving to situate the current study within the body of the relevant literature and to
provide context for the reader. In such a case, the review usually precedes the methodology
and results sections of the work.
To find-out the gap in the literature, the following review of earlier works been done and
summarized as below:
• Anna A. CheAzmi and YusnizaKamarulzman, (2000),” Adoption of Tax E-filing:
A conceptual paper”, in their contribution towards providing useful input on the
adoption and evaluation of the E-filing system by users. It is predicted that many of
these risks’ facts will be significant. Among the risks that could possibly be
significant are performance risk, psychological risk, time risk and privacy risk. This
study aims to the relationship of perceptions of risk and its facts within the
Technology Acceptance Modal with the tax E-filing context.

• Yi-shun Wang, (2002), “The Adoption of Electronic Tax Filing Systems: An

Empirical Study”. He explained that the benefits, treads and highlights (ITRs) of E-
filing among the residents of the country. E-filing Income tax return using internet is a
gift to a tax payer. Using the Technology Acceptance Model (TAM) as a theoretical
framework, this study introduces ‘perceived credibility’ as a new factor that reflects
use of E-tax filing system.

• Dr. Sujeet Kumar Sharma, Dr. RajanYadav, (2011), “An Empirical Study on Tax
Payer’s Attitude towards E-return Filing in India”, in their opinion that study
employed factor analysis and multiple regression analysis to understand tax payers’
attitude towards E-filing. The study found that perceived ease of use, perceived
usefulness, perceived credibility and computer awareness significantly influence the
customer’s acceptance of E-filing.

22
• Geetha R. and Sekar M. (2012),”E-filing of Income Tax: Awareness and
Satisfaction level of Individual Tax Payers in Coimbatore city, India”, This study
reveals that the existing users are satisfied with the E-filing facilities but most of the
individual tax payers are not awareness of the E-filing and E-payment procedures so
sufficient steps are required to create more awareness in the mind of tax payers
regarding E-filing of Income tax.
• Meenu Gupta, (2012), she analyzed that the acceptance of E-filing of Tax Returns is
much better than traditional system of paying Income tax. The benefits of E-filing
heads up the importance of technological advancement.

• BrahmbhattMamta, (2012),” Tax Payers Perception towards E-file Adoption:

Empirical Investigation”, this study attempts to develop an understanding of the
factors that influence citizens adoption of electronic tax filing services and to discuss
taxpayer perception and satisfaction with an online system for filling individual
Income tax return.

• Mukesh Kumar and Mohammed Anees (2014),” E-filing Creating New Revolution
in Taxation of India”, in their opinion that changing scenario in Income tax due to
implementation of E-filing. India is in the phase of revolutionary changes in
information technology which also gives great advancement in E-filing field of
Income tax department.

• Dr. Samir MazidbhaiVohra, (2015) “E-filing; New Revolution in Taxation of

India”. Analyzed that the Income tax department has introduced E-filing of Income
tax returns to make the filing process easier for tax payers which will result into
reduction of time and paper work. India is in the phase of revolutionary changes in
information technology which ultimately gives more encouragement in E-filing of
Income tax return. The study shows that the E-filing is the new effective method of
filing Income tax return through online and make E-payment of tax.

• Jyothi Arora, (2016), “E-filing of Income Tax Return in India”, he analyzed in this
study, deals with the benefits, process, trends and highlights (ITRs) of E-filing among
the residents of country. In the current world new information technology is being
introduced very fast in all fields. Due to the facet of time, researchers could not
review more articles and books, but with the available literature, they found that a
very few works have been done on the area of this topic earlier, hence, it’s a small
effort is put in to fill-up the literature gap.

23
 CHAPTER 4: RESEARCH OBJECTIVE

4.1 OBJECTIVES OF THE STUDY:

• To assess the perception and awareness of tax-payers towards e-filing of income tax
returns.

• 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.

4.2 LIMITATIONS OF THE STUDY:

• All respondents may not give correct answers; the answer may vary according to their
mood and the technology given to them.
• The answer given by the respondent can also reflect by accommodations given to
them, work load and other aspects. For example, if the respondent has been given
good accommodations to use like latest computer with comfortable chair with latest
gadget like computer and with 4g speed net in a comfortable environment, the
respondent may feel easy to file income tax return thus respondent will give positive
response and vice versa.
• The respondents may not give answer what is actually in their mind due to shy or any
other feelings also the interviewee may not be interested in our questions or research.
• The respondent may not have detail knowledge about our topic which can affect our
research.

24
 CHAPTER 5: RESEARCH METHODOLOGY

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 by a researcher in studying a problem with
certain object or objective in view.

Sources of data collection:

Data was selected by using both primary and secondary method, in Primary method of data
collection questionnaire was used, in case of secondary data was collected by using
magazine, books and data available with the person working there.

Primary data:
Information obtained from the original source by research is called Primary Data. They offer
much greater accuracy and reliability. The data was collected from the respondents through
the questionnaire.

Secondary data:
It means data that are already available that is they refer to the data which has already been
collected and analyzed by someone else. The data was collected from the websites and
journals.

Questionnaire:
A structure questionnaire was administered to the respondent for the collection of primary
data. Questionnaire consists of 10 questions.

25
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. The research study applied here is purely descriptive.

Sample size
50 Respondents are chosen as a sample size for the study.

Sampling technique
The simple random sampling method was used for the primary data collection. Simple
random sampling is the basic sampling technique where we select a group of subjects (a
sample) for study from a larger group (a population). Each individual is chosen entirely by
chance and each member of the population has an equal chance of being included in the
sample. Every possible sample of a given size has the same chance of selection i.e., each
member of the population is equally to be chosen stage in the sampling process.

26
 CHAPTER 6: DATA ANALYSIS AND INTERPRETATION

A questionnaire was prepared for measuring the effectiveness of training and

development under the guidance of Mrs. Pooja Saini. The primary data collected
by simple random sampling by using questionnaires was tabulated, converted in
to percentage and displayed both in table as well as by graphical representation
for analysis. Based on the data, Interpretations were made. The questionnaire
used for carrying out survey is included in the annexure.

27
Q 1: Who Does Your Tax Filing?

TABLE 6.1

OPTIONS RESPONSE IN PERCENTAGE

Own 32 64%
Employer 2 4%
Tax Advisor 14 28%
Others 2 4%
TOTAL 50 100%

CHART 6.1

4.00 %
27.00 %

Own
Employer
Tax advisor
Others

65.00 %
4.00 %

Interpretation: -
From the survey conducted, the researcher has concluded that, 32 respondents will prefer to pay their
tax filing by their own, 14 respondents will prefer to pay through the tax advisor, 2 respondents will
prefer through their employer and the rest 2 will prefer to pay their tax through others sources.

28
Q 2: How would you rate the income tax department free e-filing service?

TABLE 6.2
OPTIONS RESPONSE IN PERCENTAGE
Easy 23 46%
Difficult 8 16%
Can’t say 5 10%
I don’t use I-T department e-file 14 28%
TOTAL 50 100%

CHART 6.2

28.00 %

Easy
46.00 %
Difficult
Can’t say
I don’t use I-T department e-file

10.00 %

16.00 %

Interpretation: -
From the survey conducted, the researcher has conducted that, 23 respondents find the e-filing service
easy while for the 8 respondents the following service is difficult, 5 respondents can’t say whether it
is difficult or easy, and the rest 14 respondents don’t use I-T department e-file service.

29
Q 3: How do you e-file?

TABLE 6.3

OPTIONS RESPONSE IN PERCENTAGE

I.T. department’s free 40 80%
website
Paid e-filing site 6 12%
Others 4 8%
TOTAL 50 100%

CHART 6.3
8.00 %

12.00 %

I.T. department's free website

Paid e-filing site
Others

80.00 %

Interpretation:
From the survey conducted, the researcher has concluded that, 40 respondents will prefer
I.T. deparment’s free website to e-file their income tax return while 6 respondents’ e-file through
Paid e-filing site and the rest 4 respondents will prefer to use other sources for e-filing.

30
Q 4: How would you rate the paid e-filing service?

TABLE 6.4

OPTIONS RESPONSE IN-PERCENTAGE

Easy 10 20%
Difficult 3 6%
Can’t say 7 14%
I don’t use paid e-filing 30 60%
TOTAL 50 100%

CHART 6.4

20.00 %

5.00 % Easy
Difficult
Can't say
I don’t use paid e-filing
60.00 %
15.00 %

Interpretation:
From the survey conducted, the researcher has conducted that, 10 respondents find the e-filing service
easy while for the 3 respondents the following service is difficult, 7 respondents can’t say whether it
is difficult or easy, and the rest 30 respondents don’t use I-T department e-file service.

31
Q 5: Do you understand the tax calculations in your tax returns?

TABLE 6.5
OPTIONS RESPONSE IN-PERCENTAGE

Yes 42 84%
No 3 6%
Not sure 5 10%
TOTAL 50 100%

CHART 6.5

14.29 %

4.76%

Yes
No
Not Sure

80.95 %

Interpretation:
From the survey conducted, the researcher has concluded that, 42 respondents understand the tax
calculations in their tax returns while, 3 respondents do not understand the calculation in their returns
and the rest 5 respondents are not sure whether they understand or not.

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Q 6: Have you looked at Form 26AS before filing tax returns?

TABLE 6.6

OPTIONS RESPONSE IN-PERCENTAGE

Yes 40 80%
No 8 16%
Not Sure 2 4%
TOTAL 50 100%

CHART 6.6

16.00 %
4.00%

Yes
No
Not Sure

80.00 %

Interpretation:
From the survey conducted, the researcher has concluded that, 40 respondents looked at Form 26AS
before filing tax returns while, 8 respondents do not look at Form 26AS before filing tax returns and
the rest 2 respondents are not sure about whether they looked or not at the time of their tax returns.

33
Q 7: Have you used online or offline tax calculator to verify your tax
computation?

TABLE 6.7

OPTIONS RESPONSE IN-PERCENTAGE

Yes 26 52%
No 19 38%
Sometimes 5 10%
TOTAL 50 100%

CHART 6.7

11.00 %

Yes
No
52.00 %
Sometimes
37.00 %

Interpretation:
From the survey conducted, the researcher has conducted that, 26 respondents are agreed with the
statement that they used online or offline tax calculator to verify their tax computation while 19
respondents do not use it to verify their tax computation and the rest 5 respondents are sometimes use
it or sometimes not to verify their tax computation.

34
Q 8: Do you easily get Form 16/16A from employer and banks?

TABLE 6.8

OPTIONS RESPONSE IN-PERCENTAGE

Yes 39 78%
No 8 16%
Not Sure 3 6%
TOTAL 50 100%

CHART 6.8
6.00 %

16.00 %

Yes
No
Not Sure

78.00 %

Interpretation:
From the survey conducted, the researcher has conducted that, 39 respondents agreed on the
statement that they easily get Form 16/16A from employer and banks while, 8 respondents do not
easily get Form 16/16A from employer and banks and the rest 3 respondents are not sure about
whether they easily get it or not from employer and banks.

35
Q 9: If you were eligible for refund, did you get it within six months of tax
filing?

TABLE 6.9

OPTIONS RESPONSE IN-PERCENTAGE

Yes 19 38%
No 18 36%
Not Sure 5 10%
Not Applicable 8 16%
TOTAL 50 100%

CHART 6.9

17.00 %

37.00 %
10.00 % Yes
No
Not Sure
Not Applicable

36.00 %

Interpretation:
From the survey conducted, the researcher has concluded that, 19 respondents will get the refund
within six months of tax filing while, 18 respondents will not get the refund, 5 respondents are not
sure whether they will get their refund or not and the rest 8 respondents are not applicable for the
refund.

36
Q 10: If you had to make tax payment, did you find e-tax payment easy?

TABLE 6.10
OPTIONS RESONSE IN-PERCENTAGE

Yes 32 64%
No 3 6%
Not Sure 5 10%
Not applicable 10 20%
TOTAL 50 100%

CHART 6.10

20.00 %

Yes
9.00 % No
Not Sure
Not Applicable

7.00 % 64.00 %

Interpretation:
From the survey conducted, the researcher has concluded that, 32 respondents find e-tax payment easy,
while 3 respondents find it difficult, 5 respondents will not sure about the e-tax payment, whether it is
easy or difficult and the rest 10 respondents will not applicable for the e-tax payment.

37
 CHAPTER 7: FINDING AND ANALYSIS

E-Filing survey: 80% use I-T department's free facility for filing returns

Over 70% feel satisfied with free e-filing facility provided by the Income Tax
department. However, only half are using tax calculators to verify.
• Our online survey on “Do you e-file of your tax returns” received 688 responses. At first
glance, the survey shows that an overwhelming 65% are doing their own e-filing, while
26% are using the services of a tax advisor or a chartered accountant (CA). Only 13% are
using paid e-filing sites when compared to nearly 80% using I-T department’s free e-filing
website.

• Over 70% of the respondents, who have used free e-filing feel that it is easy or somewhat
easy. It means I-T department e-filing services have come a long way and still dominate,
even though paid e-filing services claim to provide easy filing and better support. Six out
of 10 respondents who have used paid e-filing are also satisfied and hence e-filing services
are providing value for the charges. Those who file by visiting the I-T office to submit
should consider e-filing for convenience and ease.

• A good 87% claim to understand the calculations in tax returns. But, only one in two
respondents have used online or offline tax calculator to verify tax computation. Tax
calculators do help to catch any error in your tax returns preparation before it is e-filed.

• Two out of 10 respondents have not looked at Form 26AS before filing tax returns. This is
a matter of concern as you are overlooking the critical information that can even help to
reduce taxes. For example, you may have missed the credits for TDS. On the other hand,
the I-T department will catch you, if you failed to report the bank interest for which TDS
was deducted.

• Over 78% have easily got Form 16/16A from employer and banks, which means the
process is now smooth. Only 44% out of those who were eligible for refund have received
it within six months of tax filing. It means the majority of consumers are still struggling to
get their tax refund even after six months delay. Nearly eight out of 10 respondents who
were required to pay taxes found e-tax payment easy. It means you don’t have to visit
banks to pay taxes. Tax payers are doing it online.

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 7.1 CONCLUSION:

In the present world, new technologies are introduced and improved very fast in all
fields. Now new technology is gifted to tax payers for filing their income tax returns
through online i.e. through efiling. The e-filing is the new effective method of filing
income tax return through online and make epayment tax. It saves time, energy and
cost and also reduces tension. So, the tax– payers are requested to use e-filing and e
payment facilities. This study reveals that the existing users are satisfied with the e-
filing facilities but most of the individual tax payers are not aware of the e-filing and
e-payment procedures. Therefore, through this research adequate steps to create
more awareness in the minds of tax payers regarding e-filing of income tax are
provided. This study is carried out to determine the tax payer’s perception towards
e-filing of income tax returns. One of the main challenges in e-filing is the risk of
security. As individual tax payers are the most important end users, sufficient
understanding of tax payer’s acceptance and usage of e-filing system should be
made to reduce the risk of user rejection, preventive and predictive measures ought
to be taken on a timely basis to ensure further acceptance among the non-users of e-
filing.

39
 7.2 SUGGESTION:

• It is suggested that the income tax department can give information about e-
filing through media and Newspapers because only 4% of respondents know
about e filing through Media.

• From the above study it is found that there has been extensive advertisement
in national newspaper. It is suggested that it can extended to local newspapers
and also using radio stations and local channels through local languages.
• It is suggested that the awareness can be increased by organizing awareness
programs in office/workplaces for the tax payers so that they are aware about
e filing and file their income tax returns easily by saving their cost and time.

• The researcher also intends to suggest to the income tax department upgrade
its technologies in e-filing of returns (e-filing website) because many
respondents find reasons for their unsuccessful attempt for e filing their
income tax returns like e filing website not responding half way etc.
• Knowledge about convenience of e-filing should be given to those who do
not have any motivation towards e-filing.
• Campaigns on e-filing should be taken up in certain places, so that all are
aware of its flexibility.

• Awareness towards correct ITR forms should be given to the tax payers.

40
 7.3 BIBLIOGRAPHY:

• https://cleartax-in.cdn.ampproject.org/v/s/cleartax.in/s/income-tax/
• https://www.coverfox.com/personal-finance/tax/income-
tax/income-tax-return/
• https://www.moneylife.in/article/e-filing-survey-80-percentage-
use-i-t-departments-freefacility-for-filing-returns/38553.html

41
 7.4 ANNEXURE:

1. Who does your tax filing?

a. Own b. Employer
c. Tax advisor d. others
2. How would you rate the Income tax department free e-filing service?

a. Easy b. Difficult
c. Can’t say d. I don’t use I-T department e-file

3. How do you e-file?

a. I-T department’s b. Paid e-filing site

-free website

c. Others

4. How would you rate the paid e-filing service?

a. Easy b. Difficult
c. Can’t say d. I don’t use paid e-filing

5. Do you understand the tax calculations in your tax returns?

a. Yes b. No

c. Not Sure

6. Have you looked at Form 26AS before filing tax returns?

a. Yes b. No

c. Not Sure
7. Have you used online or offline tax calculator to verify your tax computation?

a. Yes b. No

c. Sometimes

8. Do you easily get Form 16/16A from employer and banks?

a. Yes b. No

c. Not Sure

42
9. If you are eligible for refund, did you get it within six months of tax filing?

a. Yes b. No

c. Not Sure d. Not applicable

10. If you had to make tax payment, did you find e-tax payment easy?

a. Yes b. No
c. Not Sure d. Not applicable

43
44