Stock traders and investors have a unique verification option available to them. Demat ITR verification allows you to use your pre-validated demat account to complete the e-verification process. If you already trade in the stock market, this method offers convenience without requiring Aadhaar OTP or net banking.
Prerequisites for Demat ITR Verification
| Requirement | Details |
| Active demat account | Account with any NSDL or CDSL depository participant must be active |
| PAN linked to demat | Same PAN used for ITR filing must be linked to demat account |
| Pre-validation completed | Demat account must be pre-validated on income tax portal |
| Mobile/email registered | Contact details registered with depository for EVC delivery |
| ITR filed successfully | Return must be submitted with acknowledgement generated |
How to Pre-Validate Demat Account
Before you can e verify ITR demat, complete the pre-validation process on the Income Tax e-Filing Portal.
Step 1: Login to the income tax e-filing portal using your PAN
Step 2: Go to Profile > My Profile > Pre-validate Demat Account
Step 3: Select your depository: NSDL or CDSL
Step 4: Enter your Depository Participant ID (DP ID)
Step 5: Enter your Client ID/Beneficiary Owner ID (BO ID)
Step 6: System verifies details with NSDL/CDSL database
Step 7: Upon successful validation, status shows "Pre-validated"
NSDL vs CDSL: Understanding the Difference
| Parameter | NSDL | CDSL |
| Account Format | DP ID (8 digits) + Client ID (8 digits) | 16-digit Beneficiary Owner ID (BO ID) |
| Identifier Prefix | Starts with "IN" | All numeric |
| Major Brokers | Zerodha, HDFC Securities, ICICI Direct | Groww, Upstox, Angel One, 5Paisa |
| EVC Delivery | To mobile/email registered with NSDL | To mobile/email registered with CDSL |
| Verification Time | Instant (2-3 minutes) | Instant (2-3 minutes) |
Step-by-Step: E Verify ITR Using Demat Account
Step 1: Login to the E-Filing Portal
Step 2: Access E-Verify Return Option - Go to e-File > Income Tax Returns > e-Verify Return
Step 3: Select Your ITR - Click on the ITR you want to verify
Step 4: Choose Demat Account Option - Select EVC through pre-validated Demat Account
Step 5: Generate EVC - System sends EVC to your mobile/email registered with depository. Valid for 72 hours.
Step 6: Enter EVC and Submit - Enter the EVC received. Click Submit to complete verification.
Step 7: Download Updated Acknowledgement - Download acknowledgement showing "e-Verified" status.
For professional assistance with ITR filing and verification, consider Income Tax Return Filing services from Patron Accounting.
Conclusion
Demat ITR verification offers a convenient option for active traders and investors. Whether your account is with NSDL or CDSL, the process is straightforward. Complete the one-time pre-validation, then verify any return in minutes.
