ITR Filing: ITR 1& ITR 4 Forms for AY 2020-21 has been released.
ITR Filing for AY 2020-21:
The CBDT (Central Board of Direct Taxes) had recently notified the Income Tax Return (ITR) Form 1 to 7 for the assessment year (AY) 2020-21. However, the income tax return filing is currently available only for those who wants to file ITR 1 and ITR 4 for AY 2020-21. The income tax (IT) department has informed that The ITR forms 1 and 4 for AY 2020-21 can be filed online, either by downloading excel or Java utility whereas, other ITR forms will be available soon.
Deadline for ITR Filing:
In one of her press conferences, the Finance Minister Nirmala Sitharaman had already announced that the last date for ITR filing for AY 2020-21 has been extended to November 30, 2020. The Central government has also extended the advance tax payment date for FY 2019-20 to June 30, 2020. The last date for the issue of Form 16 was also extended to June 30, 2020 from the deadline of June 10.
And, for those who were not able to complete their tax-saving exercise by March 31, 2020, because of the COVID-19 led lockdown across the country, the government had extended the date till July 31, 2020. Please note that there is no change in the financial year and only the extension has been made to complete tax savings for FY 2019-20.
Schedule DI –Investment Details
It’s to be noted that ITR 1 was notified by the government in January 2020; however, the forms have been reissued now. The Reissued ITR 1 form carries information on investments made between April 1, 2020 and July 31, 2020. These details are to be filled in Schedule DI – Details of Investment wherein the taxpayer has to furnish details about tax savings investments made between 1.04.2020 till 31.07.2020.
The new ITR forms also require taxpayers to furnish details of tax saving investments/ donations made during 01st April 2020 to 31st July 2020 for the FY 2019-20 separately, in terms of relaxation granted by Government due to COVID-19 and subsequent lockdown.
A big relief for the taxpayers is that certain information is not required to be furnished now. “The ITR 1 issued in January sought detailed information with respect to salary income as well as house property income such as TAN, Name of employer and address, tenant details like name Pan or Aadhaar. These details are no longer being sought as per the current ITR,” says Saraswathi Kasturirangan, Partner, Deloitte India.
New information in ITR 1 Form
“The ITR 1 also now captures information on whether the taxpayer has cash deposits exceeding Rs 1 crore, expenditure on foreign travel exceeding Rs 2 lakhs or electricity expenses exceeding Rs 1 lakh since these trigger tax filing requirements even where the taxpayer does not have taxable income,” says Kasturirangan, Partner, Deloitte India.
Though there is time till November 30 to file the ITR for AY 2020-21, one need to be careful while filing. “The ITR forms are modified in line with new disclosure requirements made in the Income tax Act for AY 2020-21. Taxpayers would need to be careful of these new requirements, before filing their ITR and to select an appropriate ITR form,” cautions Nangia.