From Form ITR-1 To ITR-V: Eight Income Tax Forms You Need To Know

The Income Tax Department has prescribed eight different forms for assessees to file and verify their income tax return. According to income tax laws, different classes of taxpayers can file their income tax return (ITR) using these forms. For filing of income tax return, the Income Tax Department has provided seven forms - named ITR 1, ITR 2, ITR 3, ITR 4, ITR 5, ITR 6 and ITR 7, and one form - ITR-V - for verification, according to its website - incometaxindia.gov.in. These tax forms are applicable for assessment year 2018-19, which means they relate to income earned in financial year 2017-18, according to the taxman. Assessees must have thorough knowledge of the income tax form or ITR form applicable to them, say financial planners. Here's all you need to know about income tax return forms. (Also read: Key changes in new ITR forms for assessment year 2018-19).Who can use Form ITR 1?.Also known as 'Sahaj', the form ITR 1 is meant for resident individuals with income up to Rs 50 lakh from salary, one house properly or other sources. Income from other sources excludes income such as that earned from winning of a lottery and income through a horse race, according to the I-T department..Form ITR-1 or Sahaj is largely used by the salaried class of taxpayers with income up to Rs 50 lakh from salary, one house property only and additional income such as interest earned from fixed deposits and recurring deposits. .Who can use Form ITR 2? .This form is meant for the individuals and Hindu Undivided Families (HUFs) not having income from profits and gains of a business or profession. The form is meant for an individual or an HUF "who is not eligible to file Sahaj (ITR-1) and who is not having any income under the head 'Profits or gains of business or profession'," according to the Income Tax Department website. That means individuals whose total income for assessment year 2018-19 includes income earned from a business cannot use this form. Who can use Form ITR 3?.Also known as ITR 3, this form is meant for individuals and HUFs having income from profits and gains of business or profession. Such entities - individuals or HUFs - should not be eligible for the next ITR form, known as 'Sugam', to be able to use ITR 3, according to the Income Tax Department..Who can use ITR 4? Also known as 'Sugam', form ITR 4 is meant for those with presumptive income from a business or profession. This includes income from a business which is computed in accordance with special provisions referred to in Sections 44AD and 44AE of the Income Tax Act, income from a profession where it is computed in accordance with special provisions referred to in Section 44ADA of the Income Tax Act and income from salary or pension..Who can use ITR 5?.This form can be used by entities such as firm, limited liability partnership (LLP), association of persons (AOP), body of individuals (BOI), artificial juridical person and cooperative society and registered societies. Who can use ITR 6?.This form is meant for the companies other than those claiming exemption under Section 11 of the Income Tax Act. Exemption under Section 11 can be claimed by a charitable/religious trust, according to the taxman. Who can use ITR 7?.This form is meant for assessees including companies required to furnish return under Sections 139 (4A), 139 (4B), 139 (4C), 139 (4D), 139 (4E) or 139 (4F), according to the I-T department. These include trusts, political parties, institutions, colleges and investment funds..When to use ITR-V?.This is used for acknowledgement of filing the return of income. The Income Tax Department has mandated the public to also verify the income tax return after submitting it. Traditionally, income tax assessees used to get their ITR submission verified by way of sending a signed ITR-V form to the Centralized Processing Centre (CPC), Bengaluru. Other than that, the taxman supports other ways such as net banking, ATM and Aadhaar to verify an ITR once it is submitted.

From Form ITR-1 To ITR-V: Eight Income Tax Forms You Need To Know

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