The Central Board of Direct Taxes (CBDT) recently notified the Income Tax Return (ITR) forms 1 to 7 for the assessment year (AY) 2020-21.
However, the ITR filing can presently be availed only by those who want to file ITR 1 and ITR 4 for AY 2020-21. The income tax department has informed that ITR 1 and ITR 4 for AY 2020-21 are accessible for e-filing.
The forms can be filed online either by downloading excel or Java utility whereas, other ITR forms will be made available soon.
ITR 1 form or Sahaj is mostly used by salaried individuals to file their returns. The form is for individuals being a resident (other than not ordinarily resident) with total income up to Rs 50 lakh, having income from salary, one house property or single ownership, other sources (interest, etc), and agricultural income of up to Rs 5,000.
ITR 4 form or Sugam can be used to file returns by resident individuals, Hindu Undivided Families (HUFs) and firms (other than LLPs) that have a total income of up to Rs 50 lakh from business and profession, which is computed under sections 44AD, 44ADA or 44AE of the Income Tax Act, 1961.
An individual taxpayer cannot file ITR either in form 1 (Sahaj) or form 4 (Sugam) if he/she is a joint-owner of a house property, is either a director of a company or has invested in unlisted equity shares.
Closing date for ITR filing
Finance Minister Nirmala Sitharaman in one of her media briefings has already announced that the last date for ITR filing for AY 2020-21 has been extended to November 30, 2020, from July 31 (2020).
The government has also extended the payment date of advance tax for FY20 to June 30, 2020, furthermore, the Centre has deferred the last date for the issue of Form 16 from June 10, 2020 deadline, to June 30, 2020.
Form 16 is a certificate provided by the employer to the employee showing the amount of tax deducted from the salary income.
Those unable to complete their tax-saving exercise for FY20 by March 31, 2020, due to coronavirus-induced lockdown can do so by June 30, 2020.
Schedule DI of ITRs notified for FY20
The latest ITR forms notified for FY20 comprise a 'Schedule DI' which seeks details of taxpayers' investments, expenditures, deposits, and payments related to tax savings made during the extended period till June 30, 2020, for claiming deductions under Chapter VI-A or for rollover of investment in FY20.
Schedule DI is contained in ITR form 1 that has now been reissued after being notified in January 2020.
The reissued (ITR) form 1 contains information on investments made between April 1 and June 30, 2020, and is captured in Schedule DI.