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IT RETURNS FOR FY 2019-20(AY2020-21)

​BUDGET PROPOSALS FOR FY 2020-21 BY FM Ms NIRMALASITHARAMAN ON 02.02.2020   
TO VIEW/HEAR THE SPEECH  ,​CLICK HERE 

Do you know ?  There are  11 Tax rebates   you can claim while submitting IT Returns , when when you have   not  even made any fresh investments   . 
​
 DO YOU KNOW ? :  Senior citizens can  claim  Tax Rebate    under section 80D  even without   having paid health insurance premium . 

For details of  such rebates  , CLICK HERE 

LAST DATE  FOR FILING EXTENDED  TO 31.05.2021  : 

​Dated  02.05.2021 :    Income Tax returns for FY 2019-20 (  AY 2020-21 )   were  to be submitted  , with penalty on or before 31.03.021 .  The deadline had expired . But  many tax payers    had requested the  government to extend the deadline  and allow  them to file  the returns  .

Now Finance Ministry  has considered their requests     and permitted the belated submission of IT   Returns  with penalty   up to 31st , May 2021  , quoting present condition of pandemic  in the country . 

If  you fail to  submit  your IT returns  within the deadline  ,   income tax department can prosecute  you  for a term of 3 months to 2 years with fines  .    Hence if you have to file the returns , but not filed it until now  , you may use  the opportunity  extended by the government . 

   LAST DATE FOR FILING IT RETURNS IS APPROACHING  : 

Dated 22.03.2021 :   Income Tax returns for FY 2019-20 (  AY 2020-21 )   are to be submitted on or before 31.03.021 .  If  you fail to  submit  your IT Returns before 31.03.2021 ,   income tax department can prosecute  you  for a term of 3 months to 2 years with fines  .     

For submitting the IT Returns now ,  you may have to  pay a Penalty  of Rs 10,000 if your total income exceeds   Rs 5 .00 lakh  and in other cases , fine is just Rs 1,000  only  , for filing of returns up to 31.03.2021 

Note : 1. If   TDS / TCS has been collected  from your account , you have to file your IT Returns to claim refund  , even  when you are not taxable for the year  . 
2. If your income exceeds basic exemption limit  , you have to submit your IT Returns even though  you are not liable for any income tax  . For example  your income is below Rs 5.00 lakhs  and you are not liable to pay tax  on the basis of section 87A
3. You have filed your audit report  , but not filed   your IT Returns  .  You have to complete the process  by filing the returns . 

INCOME TAX REFUND STATUS

 HOW TO CHECK IT  REFUND STATUS  : 

Dated 19.01.2020 :   After   submission of IT  Return , you have to  verify the IT Return submitted    . After  verification of IT Return  only  , Income Tax  Department   will process  your return  . If  your return is accepted  by the IT Department  , you will   get  notification with regard to completion of the verification process by the department   .  If you have paid tax in excess ,  IT Department will refund the excess paid 

In case you have received  IT Department message that your IT Return is processed and refund initiated   , you may check with  your pre-validated bank account for the   refund amount  .  In case  the refund is not received  , you may go to the  following NSDL website   to verify the refund status by  CLICKING HERE   

 Then enter your PAN Number,  Assessment Year  ( For FY 2019-20  ,  it is  AY 2020-21  ) and captcha code   .  

 Then  you will get date of credit of IT Refund , amount credited and last four numbers of your bank account   . 

In case  if you have not received your refund , you may :

 1. Write to CMP, State Bank of India at Survey No.21 Opposite : Hyderabad Central University, Main Gate, Gachibowli, Hyderabad -500019,     or  Call on SBI's Toll free number: 18004259760    or 
email at :- [email protected]

PS : BE CAREFUL . SOME SCAMSTERS ARE SENDING   FRAUDAULANT MESSAGES ABOUT YOUR IT REFUND VIA SMS  AND ASKING YOU  TO GIVE DETAILS OF YOUR AADHAAR , BANK ACCOUNT  , PAN   ETC AND PASSWORDS BY CLICKING ON THE LINK PROVIDED BY THEM . IT IS ONLY THEIR ATTEMPT TO STEAL DATA AND MONEY FROM YOUR BANK ACCOUNTS . DON'T  FALL PREY .  YOU NEED NOT SUBMIT  ANY OF YOUR PERSONAL DATA  ON THE WEBSITE EXCEPT PAN NUMBER 

---

PENALTY FOR LATE FILING INOCOME TAX RETURNS

NOW YOU HAVE  TO SUBMIT IT RERURNS FOR FY 2019-20 WITH  FOLLOWING PENALTY   IN  NON-AUDIT CASES : 

Dated 13.01.2021 :  The Due  date for submission Non-audit  IT  returns  fixed   for the  Financial Year 2019-  20   is over  on  10.01.2021 . However now  also you can file such returns with a  penalty  of Rs 10,000 if your total income exceeds   Rs 5 .00 lakh  and in other cases , fine is just Rs 1,000  only  , for filing of returns up to 31.03.2021 .  However  IT returns backed by audit reports can be submitted up to 15.02.2021  without any penalty . 

 If  you have to submit the IT RETURN and you fail to submit the return altogether  , then income tax department can prosecute   and  for a term of 3 months to 2 years with fines  . 

 HOW TO RECTIFY   ITR DATA  ON -LINE FOR ITR FILED ? 

 Dated 12.02.2021 :  Now you can file data rectification on Income tax e-filing website   itself  in the following way : 

1. GO  TO INCOME TAX E-FILING WEBSITE   

2.  LOGIN  USING YOUR PAN NUMBER AND PASSWORD  AND ALSO ENTER CAPTCHA 

3. GO TO DASH BOARD  AND CLICK ON " e-File    " 

4. In the next screen , select  income tax   and assessment year in the dropdown menu 2020- 21  

5 . Then select   " Return data Correction "  .   

 Following  points you may note down : 

1. Only one rectification is allowed  as per CPC Order . 
2.  Gross total income shown and deductions claimed cannot be altered . 
3. You may withdraw the rectification on the same day   of submitting it 

  IT Department is shortly going to introduce  Tax credit mismatch correction   facility on its e-filing website . 
​

FINANCE MINISTRY  EXTENDS  DEADLINES  FOR  IT  RETURNS

Dated  31.12.2020 :    Ministry of Finance , by way of a   press release   , has advised  extension of various deadlines with regard  to  submission of  IT Returns for FY 2019-20 ( AY 2020-21 ) 

a. The due date for furnishing of Income Tax Returns for the Assessment Year 2020·21 for the taxpayers (including their partners) who are required to get their accounts audited and  companies [for whom the due date, as per the provisions of section 139(1) of the Income-tax
Act,1961, was 31st October, 2020 and which was extended to 30th November, 2020 and then to 31st January, 2021 ) has been further extended to 15th February, 2021 .

b. The due date for furnishing of Income Tax Returns for the Assessment Year 2020·21 for the taxpayers who are required to furnish report in respect of international  specified domestic   transactions [for whom the due date, as per the provisions of section 139(1) of the Income·
tax Act,1961 , was 30th November, 2020 and which was extended to 31st January, 2021J has  been further extended to 15th February, 2021 .

c. The due date for furnishing of Income Tax Returns for the Assessment Year 2020·21 for the other taxpayers [for whom the due date, as per the provisions of section 139(1) of the Income· tax Act, 1961 , was 31st July, 2020 and which was extended to 30th November, 2020 and   then to 31st December, 2020) has been further extended to 10th January, 2021 .

​To go through the Press Release of IT Department dated 30.12.2020  , CLICK HERE 

HOW TO USE JAVA UTILITIES TO FILE ITR FORMS ?

 USING INCOME TAX DEPARTMENT'S E-FILING WEBSITE  : 

Dated 14.12.2020 :      Income Tax Department's e-filing website  can be used by any tax payer  for uploading IT Returns  ( ITR1 , ITR2 , ITR3 , ITR4 , ITR5 , ITR6 &  ITR7   )  free of cost  .  

  Now IT Department has noted that The Tax payers who are using Microsoft excel 2007 and below version are facing difficulties for preparing the Income Tax Return using Department’s  ITR Excel utility   . Hence IT Department  has  requested   them  to use the Java utilities published in the e-filing portal to generate of XMLs.  

For preparing XML FORMS afresh   , Go to  INCOMETAX RETURN UTILITIES   

A. Select the Assessment Year 2020-21 
B.  Download either excel or Java utility. The utility by default will get downloaded in your system 'download' folder in a compressed mode (ZIP file)  
C. Extract (un-compress) the zip file containing the utilities. The folder will be extracted in the same location where the compressed utility was downloaded. Open the utility and start filling. 
D. System Requirements
Excel Utilities:  Macro enabled MS-Office Excel version 2010/2013/2016 on Microsoft Windows 7 / 8 /10 with .Net Framework (3.5 & above)
Java Utilities :  Microsoft Windows 7/8/10, Linux and Mac OS 10.x with JRE (Java Runtime Environment) Version 8 with latest updates.
JRE can be downloaded from https://java.com/en/download/
 
 After downloading and filling the form , you may upload XML File to continue .

To go through complete guidelines published by IT Department , CLICK HERE 


FOR STEP BY STEP GUIDE TO FILE  ITR1  SAHAJ   , CLICK HERE    

FOR STEP BY STEP GUIDE TO FILE  ITR2   , CLICK HERE    ​

ITR FILING DEADLINE NOW 31ST, DEC 2020 FOR FY 2020-21

  DEADLINES  EXTENDED  FOR FILING   IT  RETURNS

Dated  24.10.2020 :    Ministry of Finance , by way of a notification  , notified extension of  deadlines for filing IT Returns for fy 2019-20   .  Earlier  Due date of all income-tax returns , which did not require audit  for FY 2019-20 were  be extended from 31st July, 2020 & 31st October, 2020 to 30th November, 2020  and now it is further  extended  up to  31st, December  ,2020  . If  Returns require audit  ,  the deadline is now extended up to 31st , January 2021 . Further returns  which contain international transactions and  special  transactions   can also be submitted till 31.01.2021 .  The due  date for furnishing   audit reports for such  international transactions  is also extended to 31st , December 2020 

 NO SCRIP-WISE REPORTING OF SHARES FOR SHORT TERM GAINS : 

​27.09.2020 : Income Tax Department  has given clarification yesterday , by way of a press release , that  One need not give  details of    share-wise   purchase , sale and  profits earned in Income tax returns by  the tax payers  . It will be sufficient to furnish total  short term capital gain earned   in the returns  . 

However  for the long term capital gains made in the investments in shares  where grandfathering is required to assess the taxable  gain or loss , one has to provide scrip-wise  details of such transactions .  

 With the above clarification ,  returns filing will be easier for those who have earned  income by trading in stocks during the FY 2019-20  . 

SHORT TERM CAPITAL GAIN :   In respect of  assets like shares (equity or preference) which are listed in a recognised stock exchange in India (listing of shares is not mandatory if transfer of such shares took place on or before July 10, 2014), units of equity oriented mutual funds, listed securities like debentures and Government securities, Units of UTI and Zero Coupon Bonds, the period of holding to be considered is 12 months for short term capital gain  . 

LONG TERM CAPITAL GAIN :    In respect of above transactions , assets held for more than  12 months is considered for  Long term Capital Gain .     

What  is Grandfathering ? 

The concept of grandfathering was  introduced in the budget of 2018-19    . 

Long Term Capital Gain Tax on sale of equity shares and equity oriented mutual funds was introduced at 10 % , in the budget , for gains more than Rs 100,000 in the financial year . Further no indexation was allowed for calculating the gain  . However  gains earned up to January 31, 2018  was  allowed to grandfathered . Grandfathering is allowing of existing benefits  for the previous period .   Hence  Long Term Profits earned after February 1,  2018  will only be  taxed    if profits are booked in the financial  year 2018-19  i.e from 01.04.2018 to 31.03.2019 .  The higher of the  purchase price of share or mutual fund   or the  price as on 31st Jan , 2018  for equity  and NAV  as on 31st  , Jan 2018  will be taken as investment cost  for arriving the long term gain .  The concept has continued in the budget of Fy 2019-20 & Fy 2020-21 also .   

WHY SCRIP-WISE  REPORTING IS REQUIRED  FOR LONG TERM CAPITAL GAINS ? 

Without this reporting requirement, there may be situations where taxpayer may not claim or wrongly claim the benefit of grandfathering due to lack of understanding of the provisions. Also, if the  calculation is not made scrip wise and taxpayer is allowed to enter the total figures only, there will be no way for the income tax authorities to check the correctness of the claim and therefore many returns will require to be audited, which may lead to unnecessary grievances/rectifications at a later stage. If scrip wise long-term gain is available, it can be cross verified by the Department electronically with stock exchange, brokerage companies, etc and there will be no need to subject these income tax returns to further audits or scrutiny

 To read the Press Release dated 26.09.2020 , CLICK HERE 

                                                             OUR ARTICLE
                                TAX PLANNING FOR FY 2019-20 
                        IS ALREADY READ BY MORE THAN 10,000 PEOPLE 
​                                           HAVE YOU READ ?    

 FOR ARTICLE " TAX PLANNING FOR FY 20-21" , CLICK HERE

FREE PORTALS FOR FILING IT RETURNS

 There are   various   portals  services of which you can use and file  IT Returns without paying any fees  .
1.  https://portal.incometaxindiaefiling.gov.in/   :   ​The first and foremost   website of  income tax department of government of India  . The website is authentic  , official  and absolutely free  of charge     . We have  below  explained how to  submit IT Retirns ITR1, ITR2, ITR3  & ITR4  on-line .  Website also   supplies pre-filled forms  which can be used for  filing the returns 
2.  https://cleartax.in/   : The website  facilitates    submission of ITRs  without  any charges   for its basic usage .  Here  you can upload Form 16 and Form 26AS  and submit ITR1 only . The website   has both  free and paid services  and you may have to use their paid services if you have    other sources of Income other than salary or pension 
​3.  https://www.taxsmile.com/  :     Basic submission  / DIY  is free and assisted services are available on payment of a fee  . Fee starts with Rs 499 + tax  . 

4. https://myitreturn.com/  :  The   assisted services  for  Income tax return filing starts   with of fee rs 175 + tax onward .    The portal also has mobile app which can be downloaded free  and used for  submitting IT Returns . 

5. https://eztax.in/   :     Self service   on the website is free  and assisted services start from Rs  599 + tax 

6 . https://www.taxspanner.com/   :   The fee starts from Rs 99 onward . 

7. https://tax2win.in/   :  Self  filing on the website is free and assisted filing starts with  a  price of Rs 549 + tax 
​
We have not independently verified     the quality ,   efficiency  and data security of such   private websites  . 
​

 VARIOUS   MODES OF SUBMISSION OF IT RETURNS 
​
Tax payers can also utilise the service of  Tax Return  Preparers ( TRPS )  authorised by Income  Tax Department ., if they are  not confident of using the on -line services themselves .TRPS  are trained to help Income Tax payers and certified by the department. The service is available now at around 400 cities across India. .Home visit request  can also be made to get the preparation done at home .To locate the nearest TRP  ,one can call  Toll free Telephone number  1800-10-23738 between Monday to Saturday from 9.00 am to 6.00 pm . Details of the scheme including the nearest TRP can be got on their website   www.trpscheme.com 

TRPs will receive 3 % of the tax paid on the returns prepared & filed for every assessee in the first year  ( subject to a maximum of Rs 1,000 ) , 2 % in the second year and 1 % in the third year and Rs 250 for the returns prepared & filed for the old assessees . 

FOR STEP BY STEP GUIDE TO FILE  ITR1  SAHAJ   , CLICK HERE    

FOR STEP BY STEP GUIDE TO FILE  ITR2   , CLICK HERE    

ITR1 , ITR2 , ITR3 & ITR4 CAN BE FILED ON-LINE NOW

Dated  31.07 .2020 :    ITR-3   ,  Income Tax     Return  form  for FY 2019-20 (  AY 2020-21   )   can also  be filed   now on line in the Income TAX Department' e-filing website    .   With this addition now , forms ITR1 , ITR2  , ITR3 & ITR4  can be filed on-line now  . While ITR1 & ITR4  can now be prepared on line and submitted  as well through uploading  XML file  , ITR2 & ITR 3  can only be filed by uploading  XML file   . 

WHO CAN FILE ITR-1 SAHAJ ?

ITR 1- SAHAJ  is meant for  individuals being a resident (other than not ordinarily resident) having total income upto Rs.50 lakh, having Income from Salaries, one house property, other sources (Interest etc.), and agricultural income upto Rs.5 ,000]
[Not for an individual who is either Director in a company or has invested in unlisted equity shares ]    

WHO CAN FILE ITR-2?

 ITR2 : For Individuals and HUFs not having income from profits and gains of  business or profession  
WHO CAN FILE ITR-3?

ITR3 :  For individuals and HUFs having income from profits and gains of business or
profession . 

WHO CAN FILE ITR-4?

 ​ITR4- SUGAM :   The form is for Individuals, HUFs and Firms (other than LLP) being a resident having total income up to Rs.50 lakh and having income from business and profession which is computed under  sections 44AD, 44ADA or 44AE​  [Not for an individual who is either Director in a company or has invested in unlisted equity shares​ ]


HOW TO FILE  ON LINE  ON INCOME TAX E-FILING WEBSITE ?   

1. GO  TO INCOME TAX E-FILING WEBSITE   

2.  LOGIN  USING YOUR PAN NUMBER AND PASSWORD  AND ALSO ENTER CAPTCHA 

3. GO TO DASH BOARD  AND CLICK ON " FILING OF  INCOME TAX RETURN '  

4. In the next screen , select assessment year in the dropdown menu 2020- 21

5 . Then select ITR FORM  appropriate for you . 

6 . For  ITR1 & ITR 4   , You can submit either by preparing on on-line or upload XML file . Then  enter submission mode  .  Presently only " UPLOAD XML " Option is only available for  ITR2 & ITR 3 . 

You can either    download pre-filled XML  file   from the menu   of your logged in account or prepare  afresh  XML file using    Income tax Return Utilities    . 
After filling all the details , you may upload XML File ​

Now to download  Prefilled XML File 

Go to MY ACCOUNT and click on Download Prefilled XML 

In the new screen , choose the Assessment year as 2020-21    and choose  appropriate form .
 
You will get the pre-filled XML file which you can download . The screen  will also show the details in the  pre-filled forms are collected  from which sources and what are the additional details you have to fill up . 

Note :  Unless your 26AS is updated  with all your income /  TDS paid , pre-filled forms will be incomplete in many aspects  . Your employers / banks have time till  15th , August  2020  to update  and hence you may have to wait  . 

You can alter the pre-filled forms with correct figures before uploading again 

 For preparing XML FORMS afresh   , Go to  INCOMETAX RETURN UTILITIES   

A. Select the Assessment Year 2020-21 
B.  Download either excel or Java utility. The utility by default will get downloaded in your system 'download' folder in a compressed mode (ZIP file)  
C. Extract (un-compress) the zip file containing the utilities. The folder will be extracted in the same location where the compressed utility was downloaded. Open the utility and start filling. 
D. System Requirements
Excel Utilities:  Macro enabled MS-Office Excel version 2010/2013/2016 on Microsoft Windows 7 / 8 /10 with .Net Framework (3.5 & above)
Java Utilities :  Microsoft Windows 7/8/10, Linux and Mac OS 10.x with JRE (Java Runtime Environment) Version 8 with latest updates.
JRE can be downloaded from https://java.com/en/download/
 
 After downloading and filling the form , you may upload XML File to continue .
​

HOW TO E-VERIFY YOUR IT RETURN - CLICK HERE 

DOCUMENTS REQUIRED TO FILE ITR FORMS FOR SALARIED PERSONS / PENSIONERS

NECESSARY DOCUMENTS TO BE OBTAINED BEFORE FILING IT RETURNS 

Due  Date for filing IT Returns for individuals for FY 2019-20 is  now extended  up to  31st , December  2020  for  IT payers   who need not be audited .  If there  is audit requirement , due date extended up to 31st , January , 2021.
a. You require following documents before  starting to fill up IT Returns  . As some time is required to collect from the relevant issuers  ,  you may contact them  at the earliest  if you have not obtained so far . If you don't have AADHAR , APPLY NOW AND OBTAIN ENROLLMENT ID OF AADHAR APPLICATION 

1. Your AADHAR NUMBER / CARD 
2.Salary certificate / Form 16 issued by employer  in the new format ,
 3.Interest certificates issued  by your banks for the deposits  / education loans and housing loans   etc 
4. Life Insurance premium certificates , health Insurance premium  paid certificates , 
5. Bank account statements  for housing loans and savings bank accounts etc 
6. TDS Certificates  from employers / Deposit holders 
7. Form 26 AS   which shows the tax  amount already credited to your account
8. Capital gain certificates / statements from your stock brokers  
9. Copy of last year return submitted  .
10. Your bank name , account number  and IFSC code of the bank branch 
11 . Any other relevant documents if you have any other income 

b. Link your Aadhar number to  income tax e-filing website 

C. Verify  Taxes paid  already   in Form 26AS    and confirm that all tax deducted     for you  by  your employer /  bank as given   in   Form 16 or Salary receipt   is credited to your account with income tax department .   You can view   26 AS   ( Tax  Credit )   in the income tax department's website   by logging in  . 

​ ​d.  Tax returns are made simple now . If you are eligible to file IT Returns  ITR 1  (SAHAJ ) , you can now prepare and submit on line itself on the income tax e-filing website  You may yourself file on line or use or utilise the service of  Tax Return  Preparers ( TRPS )  authorised by Income  Tax Department ., if you are  not  confident of using the on -line services .   Otherwise you may use your chartered accounts for the job . 

You  should keep following  details handy  for yourself / your employer and your tenant 

Your Details 
1. Aadhara Number 
2. Mobile Number 
3. E-mail address  
4. Residential Address
5. Passport Number  ( If you have passport )     

Other Details : 
A. Have  you deposited more than Rs 1.00 crore in bank accounts  ? 
B. Have you incurred more than  Rs 2.00 lakhs for Foreign Travel ? 
C. Have you spent more than Rs 1.00 lakh on electricity consumption 
(All the limits  of outgo for the entire year ) For persons with salary income  : 

6.  Details of your  Employer   
​ a. TAN Number of the Employer 
b. Name of the Employer 
c. Nature of Employer 
d. Address of the Employer      

7. Details  of  all bank accounts held any time during the year  
a. IFSC Code of the bank 
b.Name of the bank 
c. Account number 

7. If you have let out a property 
a. Address of the property 
b Details of the tenant 
1.  Name of the Tenant 
2. Tenant's Aadhaar Number 
3.  Tenant's PAN  Number     

The benefits of filing  tax returns early is 
1. You will have sufficient time to collect relevant documents ,  prepare , cross check and then submit . You can reduce errors . 
2. As the income tax servers would be relatively free , last minute slowdown of computers   due to heavy rush for submissions . 
3. Processing of your returns by IT department would be faster and you will get refunds faster . 
4. You will   be avoiding penalties , interest etc levied on belated submission .

So take steps now to  have advantages of filing IT Returns early  

MATCHING OF FORM 26AS  WITH YOUR IT RETURNS 

15.06.2020 :   It is important to match the information in Form 26AS with  the information  you provide  in  the Income tax returns  as any mismatch may attract lengthy / unwanted correspondence with the income Tax department later . 

In this context , some of our readers  are pointed out the the 26AS  for  FY  2019-20  is not reflecting all the transactions   in their accounts  like salary payment / pensions  / interest payments especially done in the last quarter  of the year  . Hence they are unable to match  the  returns like ITR1   with their 26AS . 

As  the employers / bankers have time to file  the returns to be submitted by them till 30.06.2020  , many would have not  yet filed them .  Hence   26AS may not yet reflect  all  your transactions  at present . So  one may wait till   the employers /  bankers   file  their returns  till 30th, June 2020 , verify and match and then  file their returns .As  Last  date for filing ITR Returns  is 30.11 2020  , you will have plenty of time to file your returns  .

WHO HAS TO FILE IT RETURNS ?

Every individual or Hindu Undivided Family ( HUF )  is obliged to submit Income Tax returns if they meet following criterion  . 

1. Income exceeding Rs 2,50,000 in case of individuals below 60 years 
2. Income exceeding Rs 3,00,000 in case of individuals  above 60 years and below 80 years 
3. Income exceeding Rs 5,00,000 in case of individuals above 80 years  

Note : Income means  total income in the financial year 2019-20 before allowing deductions under chapter VI -A of Income tax act .   

Further you have to  submit your IT Return   if you   have 

1. expended more than Rs. 2 lakh on foreign travel or
2. paid more than Rs. 1 lakh on electricity consumption in a year 
3. deposited more than Rs. 1 crore  in a current account in a year,  
even if your  income is less than the threshold limit  .   

 HOW TO E-PAY INCOME TAX ? 
Dated 14.07.2019 : Some of our readers wanted guidance on e-payment of tax, as they wanted to pay self assessment tax before filing the returns  .  

Procedure for e-payment of Income Tax    : 

Step-1
To pay taxes online, login to NSDL WEBSITE : 

Step-2
Select the relevant challan i.e. ITNS 280  and proceed 

Step-3
Enter PAN / TAN (as applicable) and other mandatory challan details like accounting head under which payment is made, address of the tax payer and the bank through which payment is to be made etc.

Step-4
On submission of data entered, a confirmation screen will be displayed. If PAN / TAN is valid as per the ITD PAN / TAN master, then the full name of the taxpayer as per the master will be displayed on the confirmation screen.

Step-5
On confirmation of the data so entered, the taxpayer will be directed to the net-banking site of the bank.

Step-6
The taxpayer has to login to the net-banking site with the user id / password provided by the bank for net-banking purpose and enter payment details at the bank site.

Step-7
On successful payment a challange counterfoil will be displayed containing CIN, payment details and bank name through which e-payment has been made. This counterfoil is proof of payment being made.

IT RETURN FORMS  FOR FY 2019-20 (  AY 2020-21 ) NOTIFIED 

Dated 31.05.2020 :    Income Tax    Return  forms   for FY 2019-20 (  AY 2020-21   )  ,   ITR-1  , ITR2 , ITR3 , ITR4 ,ITR5  , ITR6  & ITR7    are   since notified  by the income tax Department .    ITR1  & ITR4 were  released by the Income tax Department   in January  itself   and  are revised now . 

ITR 1- SAHAJ  : For  individuals being a resident (other than not ordinarily resident) having total income upto Rs.50 lakh, having Income from Salaries, one house property, other sources (Interest etc.), and agricultural income upto Rs.5 ,000]
[Not for an individual who is either Director in a company or has invested in unlisted equity shares ]

Click on the Form number  below to download the relevant form for you 

ITR 1- SAHAJ :For individuals being a resident (other than not ordinarily resident) having total income upto Rs.50 lakh, having Income from Salaries, one house property, other sources (Interest etc.), and agricultural income upto Rs.5 ,000]
[Not for an individual who is either Director in a company or has invested in unlisted equity shares ]

ITR2 : For Individuals and HUFs not having income from profits and gains of  business or profession]

ITR3 :  For individuals and HUFs having income from profits and gains of business or
profession 

ITR4- SUGAM :   For Individuals, HUFs and Firms (other than LLP) being a resident having total income upto Rs.50 lakh and having income from business and profession which is computed under  sections 44AD, 44ADA or 44AE​

ITR 5   :  For persons other than- (i) individual, (ii) HUF, (iii) company   and (iv) person filing Form ITR-7

​ITR 6  : For Companies other than companies claiming exemption  under section 11  

​ITR 7 :  For persons including companies required to furnish return under sections
139(4A) or 139(4B) or 139(4C) or 139(4D) only   

Form No.:ITR-V  : Where the data of the Return of Income in Form ITR-1 (SAHAJ), ITR-2, ITR-3, ITR-4(SUGAM), ITR-5, ITR-7 filed but NOT verified electronically  

Form No.:Acknowledgement    Where the data of the Return of Income in Form ITR-1 (SAHAJ), ITR-2, ITR-3, ITR4(SUGAM), ITR-5, ITR-6, ITR-7 filed and verified  

The last date for submission of the returns for the individual   IT payers is now  31.12.2020 
  .   

For Income tax Department notification  , CLICK HERE 

             SUBMISSION DEADLINE FOR IT RETURNS   EXTENDED 

Dated 13.05.2020 :  Deadline for  submission  of  Income Tax    Return  forms   for FY 2019-20 (  AY 2020-21   )   has been extended up to 30.11.2020   against the  earlier stipulated July  31st, 2020  , as per FM's announcement today .  

Dated 28.02.2020 :Income Tax Department has  released formats of ITR 1-SAHAJ & ITR-4 SUGAM only.We shall notify on this site whenever IT Department publishes  other forms and notifies the formalities required to file IT Returns 

 ADDITIONAL DETAILS  TO BE PROVIDED IN  IT RETURNS ITR 1   / ITR 2 

( Revised     on 01.06.2020   as  per New Revised Form )

Dated 14.01.2020 : Income Tax Department  has released  ITR Return Forms ITR 1 SAHAJ and ITR 4 SUGAM for the financial year 2019-20 (AY 20-21)  . 

The form ITR1 SAHAJ ( ITR 2 also ) &  requires the following additional information,apart from Income details from you along with your PAN Number & Date of Birth  . . 

1. Aadhaar Number 
2. Mobile Number 
3. E-mail address  
4. Residential Address
5. Passport Number  ( If you have passport )  

For salaried persons : 

6.  Details of your  Employer   
​ a. TAN Number of the Employer 
b. Name of the Employer 
c. Nature of Employer 
d. Address of the Employer      

7. Details of all bank accounts held any time during the year  
a. IFSC Code of the bank 
b.Name of the bank 
c. Account number 

7. If you have let out a property 
a. Address of the property 
b Details of the tenant 
1.  Name of the Tenant 
2. Tenant's Aadhaar Number 
3.  Tenant's PAN  Number    

You have to answer the following questions also   : 

  1. Have you deposited amount or aggregate of amounts exceeding Rs. 1 Crore in one or more current account during  the previous year?              (Yes/No)   
 Amount (Rs) (If Yes)  

2. Have you incurred expenditure of an amount or aggregate of amount exceeding Rs. 2 lakhs for travel to a foreign country for yourself or for any other person? (Yes/ No)    &   Amount (Rs) (If Yes) 

3. Have you incurred expenditure of amount or aggregate of amount exceeding Rs. 1 lakh on consumption of  electricity during the previous year? (       Yes/No)
Amount (Rs) (If Yes)

4. Whether, you have made any investment/ deposit/ payments between 01.04.2020 to 30.06.2020 for the purpose of claiming any deduction under Part B of    Chapter VIA? [Yes/No]      (If yes, please fill schedule DI)

( To be filled up if you have invested  any amount  under section 80C, 80D , 80G etc   during April 2020 to June 2020   to be adjusted towards FY 2019-20 .  ) 
​

Hence be ready with details of yourself, your employer and your tenant for filing IT Returns ​

NEW IT RETURN FORMS RELEASED FOR FY 2019-20 (  AY 2020-21 ) 

Dated 11.01.2020 :Normally Income Tax Department  releases fo IT Return forms for the financial year after completion of te financial year.However this year ,for a pleasant surprise.IT has released ITR Return Forms ITR 1 SAHAJ  and ITR 4  SUGAM for the financial year 2019-20 ( ay 20-21 )  in January  itself  . 


Earlier on 03.01.2010 ,  IT Department had issued  a  notification , by which  owners  of jointly owned property  or any other persons who had to submit IT Returns  on account  of section 139 ( 1 )  were made ineligible to submit either ITR-1 &  ITR 4 . 
However IT Department,videos notification dated 10.01.2010 , has  taken back the order and the conditions for submitting the forms continue to be as per earlier year's eligibility .(  CLICK HERE FOR NOTIFICATION ) 

Previously FM had announced making availability of Pre-Filled forms to ease the process of filling and submitting the forms.We hope the department will implement the scheme and provide the forms on completion of the financial year 
​

  DUE DATE FOR FILING RETURNS FOR FY 2019-20 ( AY 2020-21 ) IS      NOW                                                     31. 12 .2020   

FOR TAX PLANNING FOR   FY  2018-19   , CLICK HERE 

To know how to  link your Aadhar with PAN ,CLICK HERE 

Submission of IT Return is not complete without verifying the same .For various ways of verification ,CLICK HERE 

INCOME TAX DEPARTMENT WARNS SALARIED PERSONS AGAINST  WRONG DECLARATIONS WHILE FILING OF IT RETURNS   : 

As per amended  section 270A  of Income Tax act , mis-reporting of income may be fined 50 % of tax payable and it can go up to 200%  if it is judged as concealment of income .   

For 270A  section of IT Act , CLICK HERE   and fill 270A  in section column 

FOR READING ARTICLE  TAX ON RETIREMENT BENEFITS , CLICK HERE 

PRECAUTIONS TO BE TAKEN WHILE INVESTING STOCK MARKETS , CLICK HERE 

FINANCIAL PLANNING FOR YOUNG  , CLICK HERE ​ HOW TO LINK AADHAR WITH PAN ?  CLICK HERE 

FOR LATEST INCOME TAX NEWS  ,CLICK HERE 

MAadhar : Mobile Application of UIDAI
for Smart Phone ( ANDROID ) Users
BETA VERSION RELEASED BY UIDAI FOR CARRYING AADHAR IN YOUR MOBILE
For  Details and  DOWNLOAD , CLICK HERE 

MOBILE APPLICATION :AAYKAR SETHU 
WHICH  YOU CAN USE FOR PAYING TAX AND FILE IT RETURN 

Dated 14.07.2017 : Earlier one has to go to two different websites  for Paying Income Tax  and Filing IT Returns . Now with the launch of a new Android based mobile application called AAYKAR SETHU  ,one can use a single mobile application to do all  Income Tax  related jobs ,including  calculating and paying Income tax , viewing tax credit statement , submit IT Returns . file rectification of tax credit mismatch  among other uses . It can be also used to locate a TRP at your place . 

How to get   AAYKAR SETHU APPLICATION ? 
You can obtain the application by making a missed call to number  7306525252  and you will receive  a message giving you the link address for the application .Clicking on the link ,you will go to Google Play where you can download the application .

You can  also download by clicking the link : https://tinyurl.com/y9zq72ej 

TO FILE IT RETURNS ? 

 In AAYKAR SETHU application , you may  click on the icon  " Return Preparation Made  Easy "  where  you will receive a question on your  Return Filing status . 

If you have not yet filed the return , you may  calculate tax , pay tax , download forms  and file Income tax return . You can also check your Form 26AS . 

If you have already filed  the IT Returns , you can e- verify the Returns , check  ITR-V  Receipt status , view your e-filed returns and file revised returns , if needed . 

The Application has got many other utilities like valuation of perquisite values of medical facility , rent free accommodation , Transport allowance , children education and hostel allowance , house rent allowance . TDS Calculator etc . The application  can also be used  to link PAN with Aadhar and to verify PAN  .   
​

IMPORTANCE OF FILING RETURNS  WITHIN DUE  DATE 

The Due date for submission of above returns  fixed  for the  Financial Year 2019-20  is  now 31.12.2020 . However ,it is advisable to file as early as possible to avoid last moment scramble to get  relevant  papers / details  for filing the same .  
Delay in filing the return of income may attract certain adverse consequences. Following  are the consequences of delay in filing the return of income:

1 .  Loss (other than loss under the head “Income from house property”) cannot be  carried forward.
2.  Levy of interest under section 234A.
3 . Levy of fee under section 234F*
4.  Exemptions/deductions under sections 10A, 10B, 80-IA, 80-IAB, 80-IB, 80-IC, 80-ID and 80-IE are not available. 

​W.e.f. assessment year 2018-19, if assessee failed to furnish return of income within due  date as prescribed in section 139(1) then he is required to pay:-
a) Rs. 5000 if return is furnished on or before 31 December of assessment year.  ( It is not applicable for this year  AS DUE DATE IS EXTENDED  )
b) Rs. 10,000 in any other case.
However, if total income of the person does not exceeds Rs. 5 lakh then fee payable shall   be Rs. 1000.

E-VERIFICATION  OF   RETURNS FILED THROUGH E -FILING

  Submission of IT Return is not complete without verifying the same . For various ways of verification  , CLICK HERE 

FOR READING ARTICLE  TAX ON RETIREMENT BENEFITS , CLICK HERE 

PRECAUTIONS TO BE TAKEN WHILE INVESTING STOCK MARKETS , CLICK HERE 

FINANCIAL PLANNING FOR YOUNG, CLICK HERE 

Intimation under section 143(1) of Income Tax Act 1961

INTIMATION U/S 143(1) OF THE INCOME TAX ACT will be received by you if you file the IT Return online directly or through your Tax Consultant. Under Section 143 ( 1) , the income tax department  completes the assessment  , based on returns filed by you ,without requiring your presence .The department checks , through its computers ,  for the arithmetical   inaccuracies and or any incorrect claims made . You  will receive the INTIMATION U/S 143(1) OF THE INCOME TAX ACT by  emails to the email addresses  provided by you. The intimation  will have two columns viz  tax determined as per return filed by you and  secondly tax determined by  the department after making necessary corrections . The intimation   may have  NET AMOUNT DEMAND/ NET AMOUNT REFUNDABLE .On receiving the intimation , if there are any discrepancies  , one may file rectification  of the return submitted after paying any tax demanded . If one is not satisfied with the claim made by the department , one can go on line to the portal of the department and file  Response to the intimation received . The department will send the notification within one year from the date of filing return . However , now a days ,the notifications are received  much faster , some times within  a week due to computerisation of system in the department . Normally notification  received  is treated  as completion of assessment  by the department.

Income Tax Department (ITD) has launched a new initiative e-Sahyog with a view to reduce compliance cost, especially for small taxpayers. Traditionally, when Income Tax Department (ITD) found mismatch in information shown in the Income Tax Return with the information submitted from third parties in the form of Annual Information Return (AIR), TDS Statement etc., the cases were selected for scrutiny. E-sahyog is a Pilot Project to provide an online mechanism to resolve mismatches in income Tax return without requiring taxpayers to attend the Income Tax Office.  Under the scheme  an  assessee can submit on line response to demand made by the department , instead of visiting  Office of the department and submit a manual   reply . An assessee can login to e-filing portal ,view pending action where outstanding demands are given and can give a response to the demand if he is not satisfied with the demand made .  For step by step guide  for filing the response , click here 

We  value your opinions , comments  and  suggestions. We shall be happy to your feedback on the contents of the   Article . For  Feedback form , CLICK HERE

THIS ARTICLE CARRIES INFORMATION ON VARIOUS TAX  PROVISIONS  WHICH ARE GENERALLY  USEFUL .YET IT DOES NOT CARRY ALL THE PROVISIONS  AND HENCE YOU ARE  ADVISED TO GO THROUGH INCOME TAX DEPARTMENT WEBSITES  FOR AUTHENTIC COMPLETE INFORMATION . ESPECIALLY  THOSE WHO HAVE GOT MULTIPLE STREAMS OF INCOME OR COMPLEX INVESTMENTS  MAY  CONSULT A QUALIFIED TAX CONSULTANT / CHARTERED  ACCOUNTANT  FOR ANY CLARIFICATION.  READERS ARE ALSO WELCOME TO SEND FEEDBACK  . YOU CAN  DOWNLOAD THE FORM HERE . WE  ARE OPEN FOR CORRECTION  IF  NEEDED 
 . 

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