How to File ITR for Salaried Employees: A Step-by-Step Guide

For most salaried employees, filing an income tax return is more about organisation than complexity. Get your documents together, reconcile a couple of statements, claim what you are entitled to, and you are done. Here is the process, step by step.

Step 1 — Gather your documents

• Form 16 from your employer — your salary and TDS summary
• Form 26AS — your consolidated tax statement from the income tax portal
• Annual Information Statement (AIS) — a wider record of your financial transactions
• Bank interest certificates, and any capital gains statements from brokers or mutual funds
• Proof of deductions — 80C investments, health insurance (80D), home loan interest, and so on

Step 2 — Reconcile Form 26AS and AIS

This is the step most people skip and later regret. The TDS and income shown in your Form 16 should match what appears in Form 26AS and the AIS. If there is a mismatch — say interest income the bank reported that you forgot — the department may flag your return. Reconciling first prevents notices later.

Step 3 — Choose your tax regime

Decide between the old and new tax regime based on the deductions you can claim. If you have significant 80C investments, HRA, or home loan interest, the old regime may save more; if not, the new regime's lower rates often win. Run both before committing.

Step 4 — Claim your deductions correctly

Under the old regime, make sure you claim everything you are entitled to — 80C up to ₹1.5 lakh, 80D for health insurance, HRA exemption, home loan interest, and any others that apply. Unclaimed deductions are simply money left on the table.

Step 5 — File and e-verify

After filing, your return is not complete until it is e-verified. Verification through Aadhaar OTP, net banking, or other options must be done within the allowed window, or the return is treated as not filed at all. This is a surprisingly common reason refunds get stuck.

Common mistakes to avoid

• Forgetting to report savings and FD interest income
• Not reconciling with Form 26AS / AIS before filing
• Choosing the wrong tax regime without comparing
• Failing to e-verify after submission
• Using the wrong ITR form for your income mix

Prefer to have it handled?

If you would rather not spend the evening reconciling statements and second-guessing your regime, we file salary returns accurately and on time — including the reconciliation and verification steps that trip people up. Reach out for a free consultation.