It is time to file your income tax return (ITR) and, thankfully, the Income Tax Department has activated the e-filing facility for all categories of Income Tax Returns (ITRs) for the assessment year 2017-18.
You need to know that just paying your taxes on time is not enough, you should also file your income tax return every assessment year. Tax returns should be filed by every individual, companies, entities who readily pay their taxes on time every financial year. It is a must to file ITR and hence, you should avoid filing it late as you may end up paying heavy penalty charges.
You can either file it through online mode by visiting the income tax website or else you can download the form and fill it in offline mode. Moreover, you should also know that the below-mentioned details of the ITRs are applicable for AY2017-18 only, that is, it relates to income earned in the Financial Year 2016-17.
Here is how an individual can file one’s ITR form as per the mentioned category:
Filing of ITR form 1
This form is to be used by individuals whose total income for the assessment year 2017-18 includes the following:
Income from Salary or Pension
Income from One House Property (excluding cases where loss is brought forward from previous years)
Income from Other Sources (excluding winning from lottery and income from race horses, etc.)
However, this form cannot be used by individuals whose total income for the assessment year 2017-18 exceeds Rs 50 lakh.
Further, it is to be noted that where the income of another person like spouse, minor child, etc. is to be clubbed with the income of the assessee, then in such cases this return form can be used, but only if the income which is being clubbed falls into the mentioned income categories thereon.
Filing of ITR form 2
This ITR form is to be used by individuals or HUF’s (Hindu Undivided Family) who are not eligible to file Sahaj ITR-1 and also, whose income is chargeable to income-tax under the head – Profits or gains of business or profession is in the nature of interest, bonus, salary, commission or remuneration, due to, or received by them from a partnership firm.
However, one should know that this ITR should not be used by individuals whose total income for the assessment year 2017-18 includes Income from Business or Profession under any proprietorship.
Filing of ITR form 3
This ITR form is to be used by individuals or HUF’s (Hindu Undivided Family) who is carrying out a proprietary business or profession. The return can be filed with the I-T Department in any of the following ways:
By providing the return electronically under digital signature
By transmitting the data in the return electronically under electronic verification code
By transmitting the data in the return electronically and thereafter submitting the verification of the return in Return Form ITR-V
Filing of ITR form 4 (SUGAM)
This ITR form can be filed by either individuals or HUFs or any Partnership Firm whose total income for the A.Y 2017-18 includes
- Salary or Pension.
- Business income where such income is computed in accordance with special provisions referred to in sections 44AD and 44AE of the Act for computation of business income.
- Income from Profession where such income is computed in accordance with special provisions referred to in sections 44ADA.
- Income from One House Property (excluding cases where loss is brought forward from previous years).
- Income from Other Sources (excluding winning from lottery and income from race horses).
Filing of ITR form 5
This ITR form can be used by a person being a firm, LLPs, AOP, BOI, artificial juridical person, cooperative society, registered societies and local authority, etc. However, a person who is required to file the return of income under section 139(4A) or 139(4B) or 139(4C) or 139(4D) or 139(4F) shall not use this form.
Filing of ITR form 6
This ITR form can be used by a company, other than a company claiming exemption under section 11 of I-T Act. Taxpayers are also advised to match the taxes deducted or collected or paid by or on behalf of them with their Tax Credit Statement (Form 26AS).
Filing of ITR form 7
This ITR form can be used by persons, companies who are required to declare return under section 139(4A) or section 139(4B) or section 139(4C) or section 139(4D) or section 139(4E) or section 139(4F).
(With inputs from income tax India e-filing website)