Schedule OA – General Information on Business or Profession AY 2026-27

Schedule OA – General Information on Business or Profession AY 2026-27

‘Schedule OA’ in ITR-7 collects general information from assessees who have income under the head “Profits and Gains from Business or Profession.”

This Schedule requires the assessee to indicate the nature of business or profession, the number of branches, and the method of accounting followed (either mercantile or cash basis), If there is a change in the accounting method also disclose the impact on profits due to such change, especially any deviation from the accounting standards prescribed under section 145A, the method of valuation of closing stock for both raw materials and finished goods, using codes to denote whether it’s at cost, market rate, or the lower of the two. In case there is any change in the method of stock valuation, its effect on the profit or loss must also be reported.

Section 145A of Income-tax Act, 1961

There are two methods i.e. mercantile system of Accounting or Cash system of accounting. Assessee having income taxable under the head ‘Profit & gains of business or profession’ has option to follow either cash system or mercantile system.

This schedule applies to ITR-7.