Income Tax Department launched all 7 ITR forms for e-filing
The Income Tax Department today launched and activated all the seven Income Tax Return (ITR) forms for e-filing by taxpayers, after over a month of them being notified. The Central Board of Direct Taxes (CBDT) notified the new ITR forms for the assessment year 2018-19 on April 5. All seven ITRs are to be filed electronically on the official web portal of the department.
What are the changes in ITR-1 (Sahaj)?
The ITR-1 called "Sahaj" is largely used by the salaried class of taxpayers with income up to Rs. 50 lakh from salary, one house property, and additional income such as interest earned from fixed and recurring deposits. This time, ITR-1 form seeks an assesses details in separate fields such as allowances not exempt, profit in lieu of salary, and value of prerequisites among others.
Uses of forms ITR-2, ITR-3 and ITR-4
The ITR-2 form is used by individuals and Hindu Undivided Families (HUFs), who have income from any sources except income from profits and gains of business or profession, including NRIs. Individuals and HUFs having income under the head business or profession can file either ITR-3 or ITR-4 in presumptive income cases. The rest of the forms are for different category of taxpayers.
Details of cash deposits made during demonetization not required
In case of non-resident taxpayers, the requirement of furnishing details of "any one" foreign bank account has been provided for the purpose of credit refund. The requirement of furnishing details of cash deposits made during a specified period (in the wake of the note ban of 2016) as provided in the ITR form for the AY 2017-18 has been "done away with" this time.
No change in the manner of filing of the ITR
The CBDT had said that some fields have been "rationalized" in the latest forms and that there is no change in the manner of filing of the ITRs as compared to last year.
