TRANSITION OF INCOME TAX RETURN FILING SITE

TRANSITION OF INCOME TAX RETURN FILING SITE FROM 

incometaxindiaefiling.gov.in

 to a all new e-filing site

 incometax.gov.in

New Income Tax Return Filing site has become functional from June 7, 2021 with e-filing 2.0 portal.

 

Giving the salient features of the "e-filing 2.0 portal", the I-T Department said there will be a "all new mobile app" and taxpayers will have a step-by-step guidance with user manuals and videos.

 

Besides, multiple options for on-portal tax payments like netbanking , credit / debitcard and UPI, multiple options for login like user-id or OTP, helpdesk support and chatbot are the features in the portal.

 

 

However, apart from the change in the e-filing site, some changes are also made in the ITR Forms for the Assessment Year (AY) 2021-22 in comparison to the last AY (2020-21) as well as in the process of filing your return of income over the last year

 

JSON Utility

The Income Tax Department has introduced a JSON utility for offline filing of Income Tax returns.

JSON Utility is enabled to import and pre-fill the data from the e-filing portal. It enables to fill in the balance data and also edit the profile data other than PAN details in the utility, After Off line filing of required data , one can upload the file to file income tax return , something like XML file of previous version.

 

You also have option to select filing under Old regime or New Tax regime , Auto calculation Tax payable will be based on this selection

 

 

Different Forms have been issued for different categories of Tax payers

 

ITR-1 has to be filed by individuals whose total income does not exceed Rs 50 lakh in a financial year. Those filing ITR1 can only have income from: salaries, one house property, other sources such as interest income etc. and agriculture income up to Rs 5,000.

ITR-1 cannot be used by an individual who is either a director in a company or has invested in unlisted equity shares or in cases where TDS has been deducted under section 194N of the Income-tax Act, 1961. TDS under section 194N is deducted for cash withdrawal exceeding Rs 1 crore in a financial year from a bank account by a Tax return filer or Rs. 20 Lakh by a Non Tax return filer.

Further, ITR-1 cannot be used by an individual for whom income tax is deferred on ESOPs.

In the new ITR 1 and 2 forms, an individual is required to select the option whether the ITR is filed under the new tax regime or old/existing one.

 

ITR-2 form has to be used by an individual having income/losses from capital gains, or having more than one house property. However, this form cannot be used by an individual who has income from profits and gains from business and profession.

 

ITR-3 Those individuals having income from business or profession can file ITR Form 3.

 

ITR-5   Persons other than the individual, HUF and companies i.e. partnership firm, LLP etc. can file ITR Form 5.

 

ITR-6  Companies can file ITR Form 6.

 

ITR-7 Trusts, political parties, charitable institutions etc. claiming exempt income under the Act can file ITR-7.

 

Tax payable on Dividend received (share, MF etc)

 

Earlier, the Company paid Dividend Distribution Tax (DDT) on Dividends and consequently, shareholders were taxed only in case of dividends exceeding the threshold limit of Rs. 10 lakhs. However, the Finance Act 2020 made an overhaul of the entire Dividend Tax regime by way of abolishing DDT and accordingly, Schedule OS (Other Sources) has been revised to provide for dividend taxable in the hands of the shareholders. Further, a quarterly breakup of dividend income would be required to be provided in all the ITR forms which would further enable computation of interest liability under section 234C. Correspondingly, Schedule EI (Exempt Income) which provided for exemption of dividend income up to Rs 10 lakh has been correspondingly revised.

 

 Additional reporting requirement of nature of security

 

Schedule 112A and Schedule 115AD require reporting of various details in respect of long term capital gains arising on transfer of securities, being equity shares, units of equity-oriented mutual fund or units of business trust, provided transfer of such capital asset is chargeable to Securities Transaction Tax (STT). Now, a new column has been added under both the schedules for reporting the nature of security i.e. whether it is a share or unit. Further, since the gains in such a case is grandfathered till 31 January 2018, the relevant details pertaining to Sale price, FMV as on 31 January 2018, etc. in accordance with Section 55 of the IT Act would be required to be reported in the ITR.