New ITR Forms: No more 'Sahaj' but Income Tax Return filers to enjoy this benefit in AY 2019-20
Income Tax Department has introduced some changes to the seven categories of ITR forms. ITR Form-1 is also included in this change. Earlier, the employees only used to show their salary break-up in ITR but now he/she will have to provide details of total income in different parts.
New ITR Forms AY 2019-20: Income Tax Department has introduced some changes to the seven categories of ITR forms. ITR Form-1 is also included in this change. Earlier, the employees only used to show their salary break-up in ITR but now he/she will have to provide details of total income in different parts. As per experts, the new form 1 will not be easy and an employee might not be able to fill ITR own his/her own. However, the inclusion of more details will ease the processing of ITR, resulting in quick refunds. The refunds will be processed within 24 hrs.
For the assessment year 2019-20, the new Income Tax Return (ITR) forms were notified recently. Now as per the new forms, the taxpayer will have to provide additional details like days of residency in India, holdings in unlisted shares and details of the buyer of property (in case of capital gains) earned by a seller on the sale of immovable property.
Income Tax forms' details
ITR-1 form is applicable to resident individuals, except for the director of a company or the shareholders of unlisted equity shares. For ITR form-1 filers, the total income must not exceed Rs 50 lakh. Now an additional row has been provided in which the taxpayer can claim a standard deduction of Rs 40,000 for FY 2018-19.
The taxpayer is also required to provide income-wise details like interest income from a savings account, bank deposits, income tax refund, family pension income and others, under 'Income from other sources' head of new ITR form-1. If there are allowances, exempted from, then the amount should be mentioned in ITR-1, separately.
Any individual and Hindu Undivided Families (HUFs) with no income from profits and gains from business or profession, can file their returns via ITR form-2.
As per the newly notified ITR-2 form, taxpayers will be required to enter their residential status of the FY 2018-19. An individual can be considered as a resident, ordinary resident or non-resident in the financial year for income tax filling a purpose. The detailed information regarding days present in India must be included in the form to satisfy residential status.
Additionally, in the column for 80G the amount must be included differently into cash and other modes of contribution.
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Taxpayers with a total income of up to Rs 50 lakh and those who are residents, or ordinarily resident of India can file via ITR-4 form. Directors or those who hold unlisted equity shares during the financial year 2018-19 can no longer file returns with ITR-4 form. Now they have to file ITR 3 form.
The taxpayers having a business such as plying, hiring and leasing goods carriages and have opted for presumptive taxation scheme, under Section 44AE, will now have to provide details like registration no. of goods carriage, whether owned or leased or hired, the capacity of goods carriage in new ITR-4.
Taxpayers with age of 80 years and more, who are filing ITR-1 or ITR-4 are eligible for paper filing facility. Other taxpayers must mandatorily file their returns online on official I-T website. Also, if the taxpayers with income up to Rs 5 lakh, seek a refund are not allowed to file their ITR in the paper format starting returns for FY 2018-19.