In India, one has to verify the acknowledgement form sent by the Income Tax Department to complete the process of filing income tax returns. Earlier, this process of verification was only available through an offline mode, where taxpayers had to send the acknowledgement form to the Centralized Processing Centre via courier.
Fortunately, the Income Tax Department introduced various e-verification methods over the years. Due to this, filing and receiving tax returns have become easier and quicker. However, to complete e-verification, the generation of an Income Tax Electronic Verification Code (EVC) is necessary for most of the methods.
Keep reading further to gather more information on EVC and the various methods of e-verification.
As mentioned above, earlier, taxpayers had to submit the acknowledgement form or ITR-V by sending a physical copy to CPC, Bengaluru. However, the Income Tax Department now promotes e-filing as it is paperless, environment friendly, economical and more efficient.
To complete the submission of ITR-V online, the generation of the Electronic Verification Code (EVC) is crucial, but many taxpayers do not know what it is. EVC for income tax returns verification is a ten-digit unique alphanumeric code. It serves the purpose of verifying the identity of individuals furnishing the ITR.
You can generate EVC on the official e-filing portal using various methods. However, after generation, the code is only valid for 72 hours and can be used for verifying only one ITR.
To allow easy and smooth generation of EVC, the Income Tax Department provides various ways to do so. Here are the modes available and the steps to generate EVC:
Various banks offer the facility of generating EVC using a net banking account. You need to log into your account on the e-filing portal and select the ‘Services’ option on the dashboard. Click on ‘Generate EVC’ and select ‘Through Net Banking.’
After this, you will have to select your desired bank and log in via net banking. After you sign into the account, click on the e-Filing portal link. You will then receive your ten-digit code.
First, you will have to pre-validate your bank account. You can do this by logging into the official e-filing portal. Then go to ‘Profile Setting’ and select ‘Pre-validate Your Bank Account.’
After completing this process, follow the same process as mentioned above. After selecting the ‘Generate EVC’ option, click on ‘Through bank account.’ You will receive the code on your registered mobile number directly.
To use this mode as an income tax Electronic Verification Code generator, you need to pre-validate the Demat Account in the same manner as mentioned above. After validating the account, follow the same process.
After clicking on the ‘Generate EVC’ option, select ‘Through Demat Account number.’ You will receive a message with your EVC.
This is the only offline EVC generation option. Only seven banks in India offer this mode. You need to visit the ATM and select the option ‘PIN FOR INCOME TAX FILING.’ You will receive the code on your mobile number registered with the bank.
Under the Indian taxation system, only taxpayers above the age of 80 are allowed to file income tax returns manually. On top of this, the government expects other taxpayers to not only file but also verify ITR online. So, here are the common steps to e-verify ITR, after which you will have to choose amongst the above-mentioned modes of generation.
Step 1: Visit the official e-filing portal.
Step 2: If you are a new user, you need to register yourself first. Meanwhile, an existing user can directly log in using their PAN details and password.
Step 3: On the main page, select the ‘e-File’ option present on the top navigation bar. From the dropdown menu, select Income Tax Returns and then click on ‘e-Verify Return’.
Step 4: After getting redirected to a new page, you will see a column stating ‘Generate Electronic Verification Code (EVC).’ Under this column, you can select these modes:
Generating income tax Electronic Verification Code is crucial for most methods of income tax return e-verification. However, to make the process more accessible for individuals, the IT Department introduced various methods of generating EVC. You can go through each of the modes mentioned above and choose the one you find the most convenient.
Ans: Yes, a person can generate EVC on behalf of another person, but not a company. However, it is mandatory for the individual to be authorised as a representative of the PAN user to be able to do so.
Ans: Yes, it is necessary to link PAN with the account one will use to generate EVC. If a person is using net banking or Bank ATM to generate EVC, then the bank account needs to be linked with the PAN.
Ans: Verification using Electronic Verification Code is only for individuals and Hindu Undivided Families. Thus, companies cannot use EVC for the e-verification of income tax returns. They will have to use Digital Signature Certificate to complete this process.
Ans: In India, you can use a bank ATM as one of the modes to generate Electronic Verification Code. These are the seven banks that offer this service:
Axis Bank Ltd
Central Bank of India
Kotak Mahindra Bank
State Bank of India
Ans: Generation of Electronic Verification Code is crucial for the process of e-verification of income tax returns. However, it is not mandatory for one to generate EVC. Taxpayers can verify their returns using Aadhaar OTP and DSC.
This article is solely for educational purposes. Navi doesn't take any responsibility for the information or claims made in the blog.
What is Form 26QB for TDS? How to Download and Submit it?While purchasing a property, buyers are liable to pay various taxes. The Finance Act, 2013 made TDS... Read More »
PF Withdrawal Rules 2023 – Rules, Documents Required and TypesEPF/PF Withdrawal Employees’ Provident Fund (abbreviated as EPF) is a popular retirement sav... Read More »
Stamp Duty and Property Registration Charges in Delhi 2023It is compulsory for property buyers in the Capital to pay stamp duty in Delhi during property regi... Read More »
Income Tax Return – Documents, Forms and How to File ITR Online AY 2023-24In India, it is mandatory for all taxpayers who earn more than the basic tax exemption limit to fil... Read More »
What is Section 80CCD – Deductions for National Pension Scheme and Atal Pension YojanaThe Income Tax Act provides a number of deductions and tax benefits to taxpayers, so they can strat... Read More »
Tax on Dividend Income: Sources, Tax Rate and TDS on dividend incomeWhat are Dividends? Companies may raise funds for running their operations by selling equity. Th... Read More »
Section 112A of Income Tax Act: Taxation on Long-Term Capital GainsWhat is Section 112A? Section 112A of the Income Tax Act was announced in Budget 2018 to replace... Read More »
Section 206AB of Income Tax Act: Eligibility And TDS RateSection 206AB was introduced in the Finance Bill 2021 as a new provision pertaining to higher deduc... Read More »
What is a Credit Note in GST – Example, Format and StepsA GST Credit Note is mandatory for any GST-registered supplier of goods or services. As a supplier,... Read More »
Exemptions and Deductions Under Section 10 of Income Tax ActWhat Is Section 10 of the Income Tax Act? Section 10 of the Income Tax Act, 1961 provides tax-sa... Read More »
Section 57 of the Income-tax Act – Income from Other SourcesIt is quite likely that many entities - individuals as well as businesses - have multiple sources o... Read More »