E-Filing of Returns

An Overview of the Process of E-Filing

of Returns for ITS Forms 1, 2, 3, 3B and
2F
What is E-Filing
The process of electronically filing Income tax
returns through the internet is known as e-
filing.
It is mandatory for companies to submit
the Income tax returns electronically for
AY 2006-07.
Any company return submitted without a e-
filing receipt will not be accepted.
E-filing is possible with or without digital
signature.
Types of E-Filing
There are three ways to file returns
electronically
Option 1: Use digital signature in which case
no paper return is required to be submitted
Option 2: File without digital signature in
which case paper return has to be submitted
Option 3: File through an e-return inter-
mediary who would do efiling and also file the
paper return on behalf of the taxpayer
Types of E-Filing
E File through e-
E File without E File with
return
Digital Signature Digital Signature
intermediary

http://incometaxindiaefiling.gov.in

Paper return No Paper return

Income Tax Department Local Offices

E-Filing Process
E-Filing Relevant Laws and Rules
Vide Notification No. 128/2006, dated 1-6-2006 S.O. 848 (E),
Form 2F was notified.
Vide NOTIFICATION NO. 189/2006, dated 24-7-2006 Forms 1,
2, 3, 3B were notified
Vide Notification No. 253 of 2004, dated 30th Sep., 2004
S.O.1073(E), Electronic Furnishing of Return of Income Scheme,
2004 was notified for efiling of returns:
An eligible person may, at his option, furnish his return of income
which he is required to furnish under sub-section (1) of section
139 of the Act for the assessment year 2004-05 and any
subsequent assessment year, to an e-Return intermediary.
Digital signature, e-return, e-return intermediary were defined in
this scheme
Who can file E-Returns
Form Efiling Who can file
Form 1 Mandatory All companies other than those claiming exemption under
section 11
Form 2 Optional All Non Corporate assessees
a. not claiming exemption under section 11, and
b. having income from business or profession

Form 3 Optional All Non Corporate assessees

a. not claiming exemption under section 11, and
b. not having income from business or profession

Form 3B Optional Specified employer means a company, firm, an association of

persons or a body of individuals (whether incorporated or not),
a local authority and every artificial juridical person with certain
exception
Form 2F Optional Individual/HUF not having business income, capital gains or
agricultural income and not claiming relief u/s 89 and one
house property
How to File an e-Return

Web Portal Overview

Hosted at Income tax Department.
It is the web site the Income Tax Payer sees.
Accepts XML file for further processing of Returns.
Allows end users to Register, Download various utilities to
help in e-filing, and upload the e-returns.
Its the one-stop for anyone requiring to file e-Returns.
Focused message
On
E-Filing
Updates for ITax
Payers
Menu focusing
On Forms
Registered
Member
Login
New Member
Registration
Sub Menu for Forms
This shows the Sub-
Menu when clicking
On Form 1
 Other Services
Can Now be Accessed
from Here
Simple Steps to e-Returns
This is for all members
who have not yet
registered with us.
New Members must
Register themselves
first.
Simple StepsUser Registration
Form after basic
validation of the User
Registration
This allows end user to
update details
Upon Successful User
Registration you will get
the message
User Created
Simple StepsLogin
Login to the portal
using your username
and password
This combination will be
unique to you
For security purposes
please use a password
with minimum 6
characters which are
alphanumeric
Simple StepsMenu
This menu will appear
on the left navigation
after Successful Login
Click on Downloads to
be taken to the
download page.
Simple StepsDownload
The Download page allows you to
download various Client utilities that
Income tax Department offers to the
Tax Payers.

This will come after Login. Click on the

Download button to start the
download.
Simple StepsForms
The site offers three Free
applications which can be
Windows Application used to fill up the forms
(.EXE) Any one of them may be
used as per convenience
PDF Application The formats offered for
Form 1 and Form 3B are
Excel Application .exe (Windows
Application)
.Xls (Microsoft Excel)
Simple StepsForms
This is a sample snapshot
from the Windows
Application
This application allows you
to enter data, save
partially, export to print,
and generate XML
It has a pre-requisite
software which must be
installed on your computer.
This pre-requisite software
is also available free from
the e-Filing web site.
Simple StepsForms
The Microsoft Excel version of
the Form allows you to enter
the data required to be filled in.
Allows you to save, export to
XML.
Has a Three Step Process:
Validates the input
Generates a file called an SRF
File (.srf extension)
Has a separate File Validation
Utility which accepts the .srf as
input and generates the XML
file as the output.

Embedded Excel Validator

Simple StepsXML Generation/Validation

Either of the applications listed

earlier, or other applications
based on Income tax
Departments XML Schema
can be used to generate the
output XML File.
This XML file will be around
100 KB in size
It will have a .xml extension.
Upload the XML file to the e-
Filing server.
Simple StepsUpload XML
Click on Browse
Locate the Valid XML
from your local
computers hard disk or
where ever you have
saved it.
Click Upload to upload
the XML to the e-Filing
Server.
Simple StepsReceipt
The system will
automatically verify the
XML you have
uploaded
It will generate a
Provisional
Acknowledgement
You may print the
same for your records

Provisional Acknowledgement Number

Generated. You May Print this.
Supporting Tax Payers

Web Query through e-mails : Provision is being made to allow

registered users to seek replies to queries via e-mail.
For this reason, a valid e-mail in the user profile is a must.
Help Module on Homepage: Help Modules are available on the
Homepage itself, and are being regularly updated.
FAQs: Frequently Asked Questions are a set of questions that the
end user typically may seek answers to. A set of these are
available at the web site, and are also being regularly updated.
Benefits to Tax Payers

Anywhere-Anytime Filing
No Personnel Interface
Quick Processing
Direct Credit of Refunds
Return Tracking
Permanent Records
Thank You