A Digital Signature is nothing but a physical signature of a a person in an electronic format.In the Internet, it is one of the identity of the sender of an electronic document . Digital Signatures are used for the purpose of various online transactions including Income Tax Filing, Company Incorporation, Annual Return Filing, E-Tenders, etc.
There are 3 types of Digital Signatures are Class I Digital Signature, II Digital Signature and Class III Digital Signature.
Class I type of Digital Signatures are only used for email communication securing.
Class II type of Digital Signatures are used for Company or LLP Incorporation, IT Return - e-Filing, getting DIN or DPIN.
Class III type Digital Signatures are used mainly for E-Tendering and for participating in E-Auctions. Digital Signatures will come in form of the USB e-Token where the Digital Signature Certificate has been stored in that USB Drive and accessed via computer to sign the electronic documents.
With E-Return filing is mandatory in Income Tax Assesses for income over Rs.5 LPA the requirements of Digital Signatures have been increased.
A digital signature and the system of using the digital signature shall:
- enable unique identification of the person
- enable determination of the time
- link the digital signature to data for the possibility of changing the data or the meaning thereof undetectably after the signature is given.
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