This story will tell you how to fill ITR in case one has a salary income and is servicing a home loan for a self-occupied property. A self-occupied property is one that is occupied throughout the year by the taxpayer for his residence.
Such individuals have to file 'Form ITR-1 SAHAJ' which is to be used "For individuals being a resident other than not ordinarily resident having Income from Salaries, one house property, other sources (Interest etc.) and having total income up to Rs 50 lakh," ITR 1 form states.
How to file ITR1
ITR1 has five parts - A,B,C,D, and E.
Part A - Personal details like name, address, Aadhaar number (it is
compulsory).
Part B - Salary income and amount of home loan interest paid
Part C - Various deductions you have availed under section 80C and so on
Part D - Here you will have to calculate total income, i.e., income minus
deductions, and total tax payable on that amount
Part E - Bank account details
Read about how to fill up Part A
here and Part E
here
Here is how you can fill up the remaining parts of ITR1.
Part B
Step 1: Enter the "Income chargeable under the head Salaries" at the appropriate place. (B1) - Take the help of Form 16 that you would have received from your employer to enter this figure.
Step 2: As you have a self-occupied property, tick on the relevant box.
Step 3: Enter the amount of 'interest payable on borrowed capital' in the relevant box - If you do not have it, ask your lender to send you the
statement with the break-up of principal and interest paid during the
previous year. Annual value of self-occupied house is nil and the value therefore is shown as negative. (B2)
Step 4: Thereafter, enter the amount of "Income from Other Sources" - This includes interest earned on fixed deposits and other taxable investments. (B3)
Step 5: Gross Total Income (GTI) = B1+B2+B3 = B4
Part C
Step 6: In Part C, enter amount of deductions you had availed like sections 80C, 80D etc., and total them up. (C1)
Step 7: Arrive at the total income, i.e., GTI (B4) minus C1 = C2
Part D
Step 8: Based on the amount of C2, taxes will be calculated in Part D.