You have to give some more information in the ITR forms of AY 2019-20. The government now want more details about your professional and residential status. By seeking more information the government is trying to minimize the tax evasion.
1. Interest in a Firm Requires More Details
Any director of a firm can’t use the simpler ITR-1 or ITR-4 Form. It means the the directors of a company would have to give much more details. As you may know the ITR-2 and ITR-3 are detailed income tax return forms.
If you own shares of an unlisted company, you can’t use the ITR-1 and ITR-4. You must note that this applies if the company is not listed in the Indian share market. In the ITR-2 and ITR-3, you have to give the details of your share holding.
If you have also received the ESOPs from an unlisted company, you can’t use the ITR-1 and ITR-4. The listing in abroad does not matter in this case.
2. More Information About Residential Status and Foreign Assets
Now you have to give more details about your residential status. If you have been lived abroad, yuu have to give the details of the residential status. For example you have to tell the number of days spent in India and abroad. Earlier you can simple tell your residential status.
Now you have to also give more details about your foreign bank account and foreign assets, if any.
3. More Details of Agriculture Income
Now The government has focused on the big agriculture income. Agriculture income is exempt from the income tax but now it requires more information.
You have to give details about your land and location in case the agriculture income exceeds ₹5 lakh in a year. The farmers who earned more than ₹5 lakh in FY 2018-19 would have to give the following details. Note these details would be given separately for each of the land parcels.
Name of district along with pin code in which agricultural land is located
Measurement of agricultural land in Acre
Whether the agricultural land is owned or held on lease
Whether the agricultural land is irrigated or rain-fed
If you have the agriculture income of more than₹5000, you have to give details of receipts and expenditure, both. So that system itself can calculate the profit. These details were required in previous years as well.
The income tax department is asking these details to stop the tax evasion in the name of agriculture income.
4. Details of The Property Buyer
Now you have to give more details of the property sold by you. If you have earned any capital gains by selling your house or plot, you must give detailed information about that. Now you have to give the following information about the property transaction.
Name of buyer(s)
PAN of buyer(s)
Address of property
5. Physical Form is Only For Super Senior Citizens
The income tax return filing through the physical ITR forms is only available to the super senior citizens. It means if your age is less than 80 years, you have to efile income tax return. Earlier taxpayer with income of less than ₹2.5 lakh could also use the physical form.
Also, The physical form can be filed if it is simpler ITR-1 and ITR-4. Other two detailed forms i. e. ITR-2 and ITR-3 can be only filed through the efiling portal.
How to Use the ITR Forms
You can download these forms from the income tax efiling portal. The forms are available in the form of XLS file and java application. You may be more acquainted to the XLS but Java application is easier to fill. So, you must give it a try.
You can also fill the ITR-1 and ITR-4 online at the efiling portal. It does not require the download and upload of the form. But you must keep saving the draft while filing the ITR form.
To use the income tax return form, you must log in to the efiling portal. Without the login, you can’t access the ITR forms. After the login, you would be able to download the prefilled XLS file. Your personal information would be prefilled in that form.