Individuals to make additional disclosures
Assessees claiming exemption on large agricultural income, directors on the board of companies, individuals with foreign assets or bank accounts as well as those holding shares in unlisted companies will now have to provide more disclosures as per the new income tax return forms.
Who will file ITR-1
ITR-1 or the 'Sahaj' form will be filed by resident individuals with a total income of up to Rs 50 lakh from salary or pension, one residential property, other sources such as money earned as interest, and agricultural income up to Rs 5,000.
How to submit ITR-1
ITR-1 form is a single-page form which needs to be submitted online. However, the facility of filing return in paper form, i.e., offline will now be available only to individuals who are 80 years of age or above.
Details to be shared by salaried employees
Salaried individuals will need to share details of some of the allowances, such as house rent, leave travel, per diem, children's education and relocation.
What about allowances
While the tax authorities sought details of taxable allowances earlier, now there is a switch to exempt allowances.
How to treat income from agriculture
In case agricultural income exceeds Rs 5 lakh, additional information like district with pin code, where the land is owned, measurement of land and irrigation details will need to be provided.
What disclosure do people with overseas assets need to make
Assessees having overseas assets will need to provide details of foreign depository account, foreign custodian accounts, equity and debt interest and particulars of overseas cash value insurance contract or annuity contract.
Details to be provided by non-residents
Non-residents will need to provide details of residence in foreign countries, along with tax identification number, additional disclosure of assets held outside India, basis of determination of residential status in India and availability of tax residency certificate from foreign countries.
How will an assessee claim tax benefits for contributions and donations
If an assessee wants to claim tax benefits for contributions made under the PM Relief Fund or to an eligible blind school then he/she will need to provide a break-up of cash and non-cash donations made.
Last date to file returns
Individuals are required to file returns for financial year 2018-19 by July 31, unless the tax department extends it.
Who needs to file ITR 2, 3, 4
ITR-2 will be filed by individuals and HUFs not having income from profits and gains from business or profession, while ITR-3 will be filed by those with income from profits and gains from business and profession. ITR-4 Sugam is filed by individuals, HUFs and firms (other than LLP) having presumptive income from business and profession.
Who needs to file ITR 5, 6, 7
ITR-5 is filed by persons other than individual, HUF, company and person filing form ITR-7. ITR-6 is for companies other than those claiming exemption under section 11. ITR-7 is for persons including companies claiming exemption under section 11.