Guide for Income Tax Declaration and Income Tax Computation as per the New and Old Tax
Regime effective from 1st
April 2020 as per new rules from the Income Tax Department
Click on “IT Declaration” under View Your Details.
Fill your Investments
for the Current financial year & then Click on “Submit”
Compare your Tax
benefit with Old & New Regime.
Choose your IT calculation Regime.
Click on “Submit” button again for to save your IT calculation Regime. Please follow the guide carefully to understand the process for declaring your investments and checking your tax computation. The process flow is shown through screenshots, which are marked for easy understanding and to avoid any confusion. After logging into your ESS portal, click on the “IT DECLARATION” link, and a pop-up window will open. The image below shows part of the full page, where you will notice two links in blue as directed. First, you must declare all your investments on this page. Among these, the most important section is the Dependent Details. If you have dependents for whom you will be claiming tax benefits, it is MANDATORY to declare their details here.
Image 1 1. This is the link from where you will check your computation as per the new tax regime (which excludes your investments, even if you have declared) – once you click on this link a new window will open showing your tax computation 2. This link shows you the tax computation as per the old regime after considering your declarations (so it is very important that you declare your investment first) – once you click on this link a new window will open showing your tax computation
You can check both the computation and decide which you will go ahead with for the particular financial year. Please note that you can choose this only once in one particular financial year and so choose after checking thoroughly.
Once you are in the computation page after clicking on either of the blue links, check the computation and go down at the end of the page where your total tax liability and total tax payable will be shown and it shown in the next image: Image 2 The image above shows the end of the tax computation page where the details of the tax liability is shown: Total Tax Payable is the total tax payable for the financial year Due Tax is the tax which is still due from you and this figure will change every month as tax is deducted from your salary Tentative Monthly Due Tax Amount is the tax amount which will be deducted every month for the rest of the months, this may also vary in case there is a change in your income or investments. After comparing both the tax computation and the tax payable amount you can decide which one to choose.
The next image shows the end of the Investment Declaration Page (the page shown in Image 3)
Image 3
After you have checked the computations and decided, scroll down the Investment Declaration page and click on either of the two options “NEW Tax Regime” and “OLD Tax Regime” and then click “Submit”
Remember, if you do not click any option and click on the Submit button the system will automatically choose “NEW Tax Regime” and tax will be calculated on that basis.
In the next page we will see how you will declare your investments before you check the computations under NEW and OLD Tax Regime
As we have already shown you the Dependent Details part in the beginning let’s see how the page looks when we scroll down: Image 4
When you scroll down as you can see above you will find “Income from other source” this is the space where you can declare your income from some different source other than Salary, Let out property and Capital Gains e.t.c.
Scrolling down you will find the section for declare House Rent details:
Image 5
Click on the + of “Add House Rent Details” and another section will open where you will need to mention the monthly Rent paid amount to your land Lord. If yearly rent exceeds 1 lakh, declare the Land Lord Name, Address and PAN as shown above in Image 5 and marked in Red Star. Next if you want to avail LTA exemption (Maximum 2 exemption can avail in a single block of 4 year), you need to declare exemption year:
Image 6
Next you will find the place for entering your HOUSE LOAN detail. There is a link “Add House Property Details” (as shown in Image 7 ) – Click on the that and another section will open where you will enter the loan details (Image 8) :
Image 7
Image 8
Red Star fields are mandatorily to be filled except which the value will not be saved at all. After the above section is done you have to scroll down again and enter the values of your investments against the mentioned heads as shown in Image 9 & Image 10.
Please declare your investment values against the heads mentioned after selecting the check box before each head. Remember, if you do not tick the check box you won’t be able to enter any values.
Image 9
Image 10 Next you will reach in below Screen. Where you need to click on Submit button and thus your investment declaration process now gets completed.
Compare your IT liability before opting the “Tax Regime”. Finally, you need to opt the Tax regime by clicking the Radio button and click on the Submit button.
