Some common mistakes that taxpayers often make while filing income tax returns are listed below. Section 60 to 64 of the Income Tax Act specifies the provision of clubbing of incomes. 2016-17 this penalty was 100-300% of the taxes avoided)", says Chandak.If you have switched jobs in a financial year then income from your previous job must be reported while filing income tax return along with income from the current job. However, you can claim exemption on these under various sections of the Income Tax Act. Current income tax laws allow you two years to file the revised returns.

Source: Economic Times July 26, 2017 04:18 UTC