The Central Board of Direct Taxes (CBDT) has notified income tax return (ITR) forms applicable to Assessment Year 2018-19. These ITR forms will be applicable to filing of income tax return in respect of income earned from April 1, 2017 to March 31, 2018. The new forms incorporate the changes made by the Finance Act, 2017 in the Income tax Act, 1961.
It is apparent that the new ITR forms have shifted the entire onus on the taxpayers to prove their claim for deductions, expenses or exemptions. This year, the ITR forms seek a lot of new information from taxpayers who opted for the presumptive taxation scheme, in respect of capital gains from unlisted shares, transactions with registered and unregistered suppliers under GST, so on and so forth.
We have done a thorough analysis of new ITR Forms and highlighted all key changes and new requirements in current ITR forms vis-a-vis last year's ITR forms. These changes are explained below:
1) ITR Forms Applicable to Assessment Year 2018-19
| Individual and HUF | ||||
| Nature of income | ITR 1* (Sahaj) | ITR 2 | ITR 3 | ITR 4 |
| Income from salary/pension (for ordinarily resident person) | Yes | Yes | Yes | Yes |
| Income from salary/pension (for not ordinarily resident and non-resident person) | Yes | Yes | Yes | |
| Income or loss from one house property (excluding brought forward and carried forward losses) | Yes | Yes | Yes | Yes |
| Income or loss from more than one house property | Yes | Yes | ||
| Agricultural income exceeding Rs. 5,000 | Yes | Yes | ||
| Total income exceeding Rs. 50 lakhs | Yes | Yes | Yes | |
| Dividend income exceeding Rs. 10 lakhs taxable under Section 115BBDA | Yes | Yes | ||
| Unexplained credit or unexplained investment taxable at 60% under Sections 68, 69, 69A, etc. | Yes | Yes | ||
| Income from other sources (other than winnings from lottery and race horses or losses under this head) | Yes | Yes | Yes | Yes |
| Income from other sources (including winnings from lottery and race horses or losses under this head) | Yes | Yes | Yes | |
| Capital gains/loss on sale of investments/property | Yes | Yes | ||
| Interest, salary, bonus, commission or share of profit received by a partner from a partnership firm. | Yes | |||
| Income from business or profession | Yes | |||
| Income from presumptive business | Yes | |||
| Income from foreign sources or Foreign assets or having Signing authority in any account outside India | Yes | Yes | ||
| Income to be apportioned in accordance with Section 5A | Yes | Yes | Yes | |
| Claiming relief of tax under sections 90, 90A or 91 | Yes | Yes | ||
| *Only an Individual, who is an ordinarily resident in India, can file income tax return in Form ITR-1 | ||||
| Other Assessees | ||||
| Status of Assessee | ITR 4 | ITR 5 | ITR 6 | ITR 7 |
| Firm (excluding LLPs) opting for presumptive taxation scheme | Yes | |||
| Firm (including LLPs) | Yes | |||
| Association of Persons (AOP) | Yes | |||
| Body of Individuals (BOI) | Yes | |||
| Local Authority | Yes | |||
| Artificial Juridical Person | Yes | |||
| Companies other than companies claiming exemption under Sec. 11 | Yes | |||
| Persons including companies required to furnish return under: | Yes | |||
| A. Section 139(4A); | ||||
| B. Section 139(4B); | ||||
| C. Section 139(4C); | ||||
| D. Section 139(4D); | ||||
| E. Section 139(4E); and | ||||
| F. Section 139(4F) | ||||
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