WHAT IS AN INCOME TAX RETURN?

An income tax return is proof of a person about income earned during the financial year. ITR is filed in various types of forms applicable at the persons to the income tax department.

TYPES OF FORMS FOR ITR:

ITR-1:

The following category of individuals will file ITR-1

• Salary/pension income
• Income earned from other sources
• Agriculture income less than RS 5000.

If a person's annual income is more than RS 50 lakh or owns Foreign Assets, or has an Agriculture income of more than RS 5000, or if income from a business or profession, then that person will not file ITR-1,

ITR-2 :-

The following category of individuals will file ITR-2

• Income more than RS 50 Lakh
• Agriculture income of more than RS 5000
• A person already a director in the company
• Income earned from salary/pension/house property/lottery/horserace/capital gain/foreign income.

ITR-3 :-

The following category of individual/HUF will file ITR-3

• Income earned from business or profession
• An individual already a director in the company
• Income earned from partnership firm
• Income from house property/salary/pension/other sources.

ITR-4 :-

ITR-4 is also known as a presumptive income scheme.

Following category of individual/HUF/partnership firm will file ITR-4

• If the assessee chooses a presumptive income scheme under 44AD, 44ADA, or 44AE.
• If income pertains to business and profession
• If turnover is not more than Rs. 2 crore

ITR-5:-

The following category of persons will file ITR-5

• Body of individual
• Firm
• Co-operative society
• LLP
• AOP
• Local Authorities
• Artificial judicial persons
• Investment fund
• Business trust.

ITR-6 : -

This form can only be filed by the company (except those companies who claim benefit under section 11)

Under Section-11:  those companies whose income only pertains to charitable and religious purposes.

ITR-7: -

If a person falls in the following section under the income tax act, then that person will file ITR-7.

• Section 139(4A):- individuals who hold the property for religious or charitable purposes.
• Section 139(4B) :- any political party
• Section 139(4C):- associations or institutions falls under sec. 10(23A) and 10(23B) News agencies, educational institutions, medical institutions, and scientific research agencies.
• Section 139(4D):- other institutions, colleges, and universities that are not required to file a return of income under any other provision of this section.

Due Dates For Filing Of ITR

• Individuals whose accounts are not required to be audited = 31st July 2023
• Individuals whose accounts are required tax audited = 30th September 2023
• In case of independent audit = 31st Oct. 2023
• (whose accounts are audited under any other act)

Penalty for non-filing ITR

• In case of taxpayers where total income is below Rs 5 lakh, then late fees will be under section 234F RS 1000,
• For taxpayers with more than Rs 5 lakh, late fees will be under section 234F RS 5000 up to 31st December 2023, and after 31st December, late fees will be RS 10000.
• 1% interest also pay for the month or part of the month under section 234A.