Tag: Precautions

Income Tax

Filing Income tax returns (Precautions)-Part IV

Income tax Return form 5 

This post is in continuation of our earlier post on precautions while filing ITR for Asst Year 2018-19 . Please refer to them if you wish to read them for filing Income tax Forms ITR 1 ,ITR2, or ITR 3

Post Link
Filing Income Tax Returns (Precautions) -I  Filing Income Tax Returns (Precautions) -I
Filing Income tax returns (Precautions)- Part II Filing Income tax returns (Precautions)- Part II
 Filing Income tax returns (Precautions)- Part III  Filing Income tax returns (Precautions)-Part III

ITR 1 ,ITR 2 and ITR 3 and ITR 4 have already been explained in our earlier posts referred to above.In this post  we will take from ITR5  

For a ready reference ITR 5 is reproduced below

ITR 5 is applicable to following Assessee’s

Firm, LLP, AOP, BOI, artificial juridical person referred to in section 2(31)(vii), cooperative society and local authority but it cannot be filed by 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(4E) or 139(4F) (i.e., trusts, political parties, institutions, colleges, investment fund etc.).

A brief explantory guide is also given hereunder

 

How to get the maximum from this guide:

Please check which heads are applicable

Also note that following assessee can not file ITR 5

i)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(4E) or 139(4F)

ii)A person not being an individual or a Hindu undivided family or a company

It’s important that you get your Balance Sheet and Other schedules ready before filling the return

Keep the details of deductions under chapter VI proofs handy.

The guide presented here is freely downloadable .Do whatever you wish to do with this but please note that with the advent of technology everything has changed.Gone are the days when one earns income and forget to declare in the return either intentionally or unintentionally and the income was seldom discovered by the department.

Now it happens that the department gets information from almost all over the world and to add to it the data mining softwares are analysing the information and also applying all permutations and combinations so be aware and follow the guidelines given in the guide above and sleep a peaceful night and contribute in our nation’s progress.

In next post we will take remaining returns except ITR 6 which requires a separate post so happy reading

 

 

Income Tax

Filing Income tax returns (Precautions)-Part III

Income tax Return form 4 (SUGAM)

This post is in continuation of our earlier post on precautions while filing ITR for Asst Year 2018-19 . Please refer to them if you wish to read them for filing Income tax Forms ITR 1 ,ITR2, or ITR 3

Post Link
Filing Income Tax Returns (Precautions) -I  Filing Income Tax Returns (Precautions) -I
Filing Income tax returns (Precautions)- Part II Filing Income tax returns (Precautions)- Part II

ITR 1 ,ITR 2 and ITR 3 have already been explained in our earlier posts referred to above.In this post  we will take from ITR4 more popularly called as Sugam

For a ready reference ITR 4 is reproduced below

As one can see that ITR 4 is for those who have presumptive business income and any other income but no income from capital gains 

A brief explantory guide is also given hereunder

 

How to get the maximum from this guide:

Please check which heads are applicable

Also note that following assessee can not file ITR 4

Assessee having 

 (a) Income from more than one house property; or

(b) Income from Winnings from lottery or income from Race horses; or

(c) Income under the head “Capital Gains”, e.g. Short-term capital gains or long-term capital gains from sale of house, plot, shares etc.; or

(d) Income taxable under section 115BBDA; or

(e) Income of the nature referred to in section 115BBE; or

(f) Agricultural income in excess of ₹5,000; or

(g) Income from Speculative Business and other special incomes; or

(h) Income from an agency business or income in the nature of commission or brokerage; or

(i) Person claiming relief of foreign tax paid under section 90, 90A or 91; or

(j) Any resident having any asset (including financial interest in any entity) located outside India or signing authority in any account located outside India; or

(k) Any resident having income from any source outside India.

Its important that you get your Balance Sheet and Other schedules ready before filling the return

Also get the receipts bifurcated into receipts from bank and receipts other than from bank as seperate rates are applicable on each one

Keep the details of deductions under chapter VI proofs handy.

The guide presented here is freely downloadable .Do whatever you wish to do with this but please note that with the advent of technology everything has changed.Gone are the days when one earns income and forget to declare in the return either intentionally or unintentionally and the income was seldom discovered by the department.

Now it happens that the department gets information from almost all over the world and to add to it the data mining softwares are analysing the information and also applying all permutations and combinations so be aware and follow the guidelines given in the guide above and sleep a peaceful night and contribute in our nation’s progress.

In next post we will take remaining returns except ITR 7 which requires a separate post so happy reading

 

 

Income tax return filing in Kanpur Uttar Pradesh
Income Tax

Filing Income Tax Returns (Precautions) -I

Filing of Income Tax Returns

As you know from our earlier post

New Income tax forms Released and their usage

that the ITR 1 is for salaried assessee who other than salary income can have income from House property (maximum one property) and total income should be less than or equal to Rs 50.00 lacs.Some other precautions required while filing ITR 1 are as under

ParticularsExplanation required if anyDifference as compared to earlier year
Total Income from all sources shall be less than or equal to Rs 50.00 lacsNo difference
Only income from one house property can be shown under this formNo difference
File the return after confirming from the deductors that they have filed your details as final in all respect .If possible do the calculations yourselfFor eg in case of salary you can cross check the enties from your bank .Similarly in case of bank interest you can always calculate the interest dueThis is an inbuilt check which was not earlier
obtain all form 16/16A as in case the 26AS is revised by the deductor you can always claim that the difference reported was due to deductor's faultsame as above
Salary Income should contain all details of allowances whether exempt or taxable including perquisitesThe details should match with 26AS and more specifically with the form 16 issued This was not required earlier and the system was also not checking this

Precautions Before Filing Income tax return by the Salaried Class:

As is clear that many new inbuilt checks are there from this year hence one needs to be more cautious while filing the ITR 1 .

Please note that the details to be filled in the return should match with the form 16 issued by your employer .

Also please check beforehand that any allowance you claim exempt should be backed with proper proofs as the department has issued a warning that any wrong exemption allowance or any other allowance if found false the assessee will be heavily penalised.Some of the allowances claimed are as under.Same goes true with the claims of deduction under chapter VIA

  1. HRA
  2. Conveyance Allowance
  3. Telephone Allowance
  4. Medical Reimbursement
  5. Rent Paid
  6. Education Allowance
  7. Deduction for LIC,NSC,NPS,Donation etc

Actually in past many instances have been found where the assessee were claiming allowance/deduction which when verified they were found to be false and the assessee has claimed refund on these accounts so from this year the claims will be verified to a larger extent so please take care.

We will be covering ITR 3 to ITR 7 in next post so keep reading.