The Income Tax Department has activated Form-1 (Sahaj) for filing income tax returns for the financial year 2019-20. In such a case, individual taxpayers with a fixed income of Rs 50 lakhs can file income tax returns. If you also want to collect income tax, then it is important for you to calculate how much tax liability is incurred on you. You don’t have to go anywhere else to do this. You can find out your tax liability within minutes of the income tax department website. For this, you have to follow some steps.
Let us know what is the step-by-step process to calculate income tax liability:
- First, open https://www.incometaxindia.gov.in/pages/default.aspx.
- Now you will see ‘Important Links’ at the bottom left side.
- Under this section, you have to click on ‘Tax Calculators’.
- Now you will find many types of calculators
- Among them are House Rent Allowance Calculator, Transport Allowance Calculator, Income and Tax Calculator, and Tax Calculator.
- Now click on Income and Tax Calculator.
- Under this option, you will have to enter the information of assessment year, taxpayer type, and various methods.
- With entering all the necessary information, you will be told about your tax liability.
What is a ITR-1 form
ITR-1 is a simple one-page form. This form can be used to file salary/pension, income from rent of a house, income from other sources, income tax returns of up to Rs 50 lakh in a financial year. However, an individual taxpayer who is a director in a company or who holds unlisted equity shares can fill in a simple form.