About the Case:
  Priya, a salaried IT professional, faced high tax deductions due to her salary structure and additional freelance income. She was unaware of eligible deductions and often overpaid taxes. Filing her returns each year felt stressful and confusing.

Issues Faced by Priya

Income from Multiple Sources – Understanding Tax Rules for Mixed Incomes

• Salary from her job plus freelance consulting income.
• Unclear about which ITR form to file.
• Difficulty in tracking professional expense deductions.

Layers of Complexity:

• Choosing the right ITR form for multiple income sources.
• Properly claiming deductions on freelance-related expenses (laptop, internet, software tools).
• Avoiding mismatch in Form 26AS and reported income.

TDS Mismatches – Avoiding Double Taxation

• Higher-than-needed TDS deducted by her employer.
• No reconciliation of TDS deducted from freelance invoices.

Breaking it Down:

• Understanding employer’s TDS structure.
• Reconciling freelance TDS with 26AS data.
• Ensuring accurate refund claim without triggering scrutiny.

Lack of Tax Planning Awareness – Missing Out on Benefits

• Had not invested in all available 80C, 80D, and 80E benefits.
• Missed deductions on rent under Section 10(13A).

Navigating Choices:

• Identify all eligible deductions.
• Allocate investments for maximum benefit.
• Avoid last-minute rush by creating a year-round tax plan.

How TaxHatch Helped – Streamlining Compliance for Peace of Mind

1. Selecting the Right ITR Form:
  We filed her return under ITR-3 to accurately report salary + freelance income, ensuring full compliance.

2. Optimizing Deductions:

• Claimed work-from-home expenses under professional deductions.
• Maximized 80C investments (PF, ELSS, Life Insurance).
• Added health insurance benefits under 80D.

3. Reconciling TDS:

• Matched all TDS entries with Form 26AS.
• Ensured full TDS refunds where excess was deducted.

4. Creating a Year-Round Plan:

• Shared an investment calendar to avoid last-minute tax planning.
• Automated reminders for advance tax payments.

Results

✅ Saved ₹42,000 in taxes for the year.
  ✅ Received full TDS refund within 45 days.
  ✅ Reduced stress with a structured year-round tax approach.

Priya’s Feedback:
 “I used to dread tax season, but TaxHatch handled everything with such clarity. Now I know where every rupee goes — and I’m saving more than ever!