| Q 1. What are the modes of filing return of income? Return of income can be filed in paper mode or in e-filing mode. If return of income is filed through electronic mode, then the assessee has following three options: | (1) | | E-filing using a Digital Signature | | (2) | | E-filing without a Digital Signature | | (3) | | E-filing under electronic verification code |
If return of income is filed using a digital signature or under electronic verification code, then there is no requirement of sending the signed copy, ITR V (i.e., acknowledgement of return filed electronically) to Bangalore CPC. However, if the return is filed without using digital signature or without electronic verification code, the assessee shall send the signed copy of ITR V on the following address within 120 days of uploading the return either by ordinary post or by speed post only: Income Tax Department – CPC, Post Bag No.-1, Electronic City Post Office, Bangalore -560100, Karnataka Q 2. When is it mandatory to file return of income? It is mandatory for a company and a firm to file its return on income. However, for an individual, HUF, association of persons and body of individuals it is mandatory to file return of income if his/its gross total income (without giving effect to provisions of section 10(38) section 10A or section 10B or section 10BA or Chapter VI-A deduction) exceeds the maximum exemption limit. The maximum exemption limit and the slab rates for Assessment Year 2016-17 are given in the following table: | Class of persons | Tax slab (Amount) | Tax rate | | Resident senior citizen (aged 60 years and above but less than 80 years) | Up to Rs. 3,00,000 | Nil | | Rs. 3,00,000 to Rs. 5,00,000 | 10% | | Rs. 5,00,000 to Rs. 10,00,000 | 20% | | Above Rs. 10,00,000 | 30% | | Resident super senior citizen (aged 80 years or above) | Up to Rs. 5,00,000 | Nil | | Rs. 5,00,000 to Rs. 10,00,000 | 20% | | Above Rs. 10,00,000 | 30% | | Any other individual or HUF (i.e., other than above) | Up to Rs. 2,50,000 | Nil | | Rs. 2,50,000 to Rs. 5,00,000 | 10% | | Rs. 5,00,000 to Rs. 10,00,000 | 20% | | Above Rs. 10,00,000 | 30% |
Q 3. Is it mandatory to file return of income if I have a PAN? No, it is not mandatory to file return of income if your income is less than maximum exemption limit, irrespective of the fact that you have been allotted a PAN. Q 4. I am an Individual and resident of India. Do I need to file return if my income is below taxable limit but I am having an account in a foreign bank? Yes, it is mandatory for you to file the income-tax return. In view of newly inserted proviso to section 139(1), it is mandatory to file income-tax return, if following conditions are satisfied: | (a) | | The assessee is resident and ordinarily resident in India; | | (b) | | He has any of following: |
| (i) | | Signing authority in any account located abroad; | | (ii) | | Any asset located abroad; or | | (iii) | | Financial interest in any entity located abroad. |
The assessee is required to provide requisite details of such account, assets or financial interest in the return of income. The individual shall furnish details about the foreign assets and income from any source outside India in the income-tax return. If an individual (not being a citizen of India) is in India on a business, employment or on student visa and he acquires any asset outside India during the previous year in which he was a non-resident, such an asset shall not be required to be reported in return if no income has been derived from that asset during the current previous year.
Q 5. Which form should I opt to file my income-tax return for the assessment year 2016-17? | Individual and HUF | Forms | | Nature of income | ITR 1 (Sahaj) | ITR 2 | ITR 2A | ITR 3 | ITR 4 | ITR 4S (Sugam) | | Income from salary/pension | ✓ | ✓ | ✓ | ✓ | ✓ | ✓ | | Income from one house property (excluding losses) | ✓ | ✓ | ✓ | ✓ | ✓ | ✓ | | Income or losses from more than one house property | | ✓ | ✓ | ✓ | ✓ | | | Agricultural income exceeding Rs. 5,000 | | ✓ | ✓ | ✓ | ✓ | | | Income from other sources (other than winnings from lottery and race horses or losses under this head) | ✓ | ✓ | ✓ | ✓ | ✓ | ✓ | | Income from other sources (including winnings from lottery and race horses) | | ✓ | ✓ | ✓ | ✓ | | | Capital gains/loss on sale of investments/property | | ✓ | | ✓ | ✓ | | | Share of profit of partner from a partnership firm | | | | ✓ | ✓ | | | Income from business or profession | | | | | ✓ | | | Income from presumptive business | | | | | ✓ | ✓ | | Income from foreign sources or Foreign assets or having Signing authority in any account outside India | | ✓ | | ✓ | ✓ | | | Claiming relief of tax under sections 90, 90A or 91 | | ✓ | | ✓ | ✓ | |
| Other Assessees | ITR 5 | ITR 6 | ITR 7 | | Firm (including limited liability partnership firm) | ✓ | | | | Association of Persons (AOP) | ✓ | | | | Body of Individuals (BOI) | ✓ | | | | Companies other than companies claiming exemption under Sec. 11 | | ✓ |
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