Income Tax Return (ITR) Filing for Salaried Employees

Every salaried employee in India with income above the basic exemption limit must file an Income Tax Return (ITR) each year. Beyond compliance, filing ITR correctly helps you claim your maximum eligible deductions — reducing your tax outgo and securing TDS refunds where applicable.

At Al-Hisab A-Count Tax, we handle ITR filing for salaried employees 100% online. You share your Form 16 and documents over WhatsApp or email, and Senior Tax Consultant Usman Zamir personally reviews your income, deductions, and tax regime before filing. No delegation, no automated tools — personal expert attention on every return.

ITR-1 vs ITR-2 — Which Form Do You Need?

ITR-1 (Sahaj) — For Most Salaried Employees

You can file ITR-1 if you have:

• Income from salary or pension
• Income from one house property
• Other income (interest, savings) up to ₹5,000
• Total income not exceeding ₹50 lakh

ITR-2 — When You Need More

File ITR-2 if you have salary income PLUS any of the following:

• Capital gains from shares, mutual funds, or property
• Foreign income or foreign assets
• More than one house property
• Total income exceeding ₹50 lakh
• Director in a company or unlisted equity shares held

Documents Required for Salaried ITR Filing

• PAN Card — mandatory for ITR filing
• Form 16 — issued by your employer (Part A + Part B)
• Form 26AS & AIS — from income tax portal (auto-verifies TDS)
• Bank statements — for interest income and large credits
• Investment proofs — PPF passbook, ELSS statements, LIC premium receipts
• HRA documents — rent receipts and landlord's PAN (if annual rent > ₹1L)
• Home loan statement — for interest paid and principal repaid (Sections 24b & 80C)
• Medical insurance premium — for deduction under Section 80D
• NPS contribution statement — for extra ₹50,000 under Section 80CCD(1B)

Key Deductions Available to Salaried Employees

• Standard Deduction: ₹75,000 (flat, no proof needed — FY 2024-25 onward)
• Section 80C: Up to ₹1,50,000 — PPF, ELSS, EPF, LIC, home loan principal, tuition fees
• Section 80D: ₹25,000 for self+family medical insurance; ₹50,000 if senior citizen parents
• HRA Exemption: Calculated on actual HRA, rent paid, and city — we compute the optimal amount
• Section 24(b): Home loan interest up to ₹2,00,000 per year
• Section 80CCD(1B): Additional ₹50,000 for NPS contribution (over & above 80C limit)
• LTA: Leave Travel Allowance — two exemptions in every 4-year block

Old Tax Regime vs New Tax Regime — Which Is Better for Salaried?

Salaried employees can choose their tax regime at the time of ITR filing. The New Regime offers lower tax slabs but eliminates most deductions. The Old Regime keeps all deductions but has higher slab rates.

As a rule: if your total deductions (80C + 80D + HRA + home loan) exceed ₹3.75 lakh, the Old Regime typically saves more tax. For employees with fewer investments or renting in a low-rent city, the New Regime may be better. We calculate both scenarios and choose the lower tax outcome for you.

Our Online ITR Filing Process

• Share Form 16 (and other documents) on WhatsApp or email
• We review income, TDS, and all eligible deductions
• Comparison of Old vs New Regime tax liability
• Computation sheet shared for your review and approval
• ITR filed on incometax.gov.in and e-verified
• ITR-V acknowledgement shared instantly on WhatsApp/email

Frequently Asked Questions