Income Tax Rules Chap 3

PART III

ASSESSMENT PROCEDURE

Return of income and return of fringe benefits.

12. (1) The return of income required to be furnished under sub-section (1) or sub-section (3) or sub-section (4A) or sub-section (4B) or sub-section (4C) or sub-section (4D) or sub-section (4E) or sub-section (4F) of section 139 or clause (i) of sub-section (1) of section 142 or sub-section (1) of section 148 or section 153A relating to the assessment year commencing on the 1st day of April, ¹2018 shall,—

(a) in the case of a person being ²an individual who is a resident other than not ordinarily resident and where the total income includes income chargeable to income tax, under the head,-

(i) “Salaries” or income in the nature of family pension as defined in the Explanation to clause (iia) of section 57; or

(ii) “Income from house property”, where assessee does not own more than one house property and does not have any brought forward loss ³or loss to be carried forward under the head; or(iii) “Income from other sources”, except winnings from lottery or income from race horses and does not have any loss under the head, be in Form SAHAJ (ITR – 1) and be verified in the manner indicated therein;

“Provided that the provisions of this clause shall not apply to a person who

(I)is a resident, other than not ordinarily resident in India within the meaning of sub-section (6) of section 6 and has,—

⁴(I) has assets (including financial interest in any entity) located outside India; or

(IA) has signing authority in any account located outside India; or

(IB) has income from any source outside India;or

(IC) has income to be apportioned in accordance with provisions of section 5A; 

(II) has claimed any relief of tax under sections 90 or 90A or deduction of tax under section 91; 

(III) “has  agricultural  income,  exceeding  five  thousand rupees;”    

(IV) has total income, exceeding fifty lakh rupees;

(V) has income taxable under section 115BBDA; or

(VI) has income of the nature referred to in section 115BBE;

(c) in the case of a person being an individual [not being an individual to whom clause (a) applies] or a Hindu undivided family where the total income does not include income ⁵under the head business or profession, be in Form No.ITR-2 and be verified in the manner indicated therein;

(ca) in the case of a person being an individual or a Hindu undivided family or a firm, other than a limited liability partnership firm, deriving Profits or gains of business or profession” and such income is computed in accordance with special provisions referred to in section 44AD, section 44ADA and section 44AE of the Act for computation of such income, be in Form SUGAM (ITR-4) and be verified in the manner indicated therein;

“Provided that the provisions of this clause shall not apply to a person who,-

(I)  is a resident, other than not ordinarily resident in India within the meaning of sub-section (6) of section 6 and has,—

(i)  assets (including financial interest in any entity) located outside India; or

(ii) signing authority in any account located outside India; or

(iii)  income from any source outside India;

(II) has claimed any relief of tax under sections 90 or 90A or deduction of tax under section 91; 

(III) “has agricultural income, exceeding five thousand rupees;”

 (IV) has income taxable under section 115BBDA; or

(V) has income of the nature referred to in section 115BBE;

(d) in the case of a person being an individual or a Hindu undivided family other than the individual or Hindu undivided family referred to in clause (a) or clause (c)  or clause (ca) and ⁶having income under the head business or profession, be in Form No. ITR-3 and be verified in the manner indicated therein;

(e) in the case of a person not being an individual or a Hindu undivided family or a company or a person to which clause (g) applies, be in Form No. ITR-5 and be verified in the manner indicated therein;

(f) in the case of a company not being a company to which clause (g) applies, be in Form No. ITR-6 and be verified in the manner indicated therein;

(g) in the case of a person including a company whether or not registered under section 25 of the Companies Act, 1956 (1 of 1956), required to file a return under sub-section (4A) or sub-section (4B) or sub-section (4C) or sub-section (4D) or sub-section (4E) or sub-section (4F) of section 139, be in Form No. ITR-7 and be verified in the manner indicated therein;

(h)****

(2) The return of income required to be furnished in Form SAHAJ (ITR-1) or Form No. ITR-2 or Form No. ITR-3 or Form SUGAM (ITR-4) or Form No. ITR-5 or Form No. ITR-6 or Form No. ITR-7 shall not be accompanied by a statement showing the computation of the tax payable on the basis of the return, or proof of the tax, if any, claimed to have been deducted or collected at source or the advance tax or tax on self-assessment, if any, claimed to have been paid or any document or copy of any account or form or report of audit required to be attached with the return of income under any of the provisions of the Act.

“Provided that where an assessee is required to furnish a report of audit specified under sub-clauses (iv), (v), (vi) or (via) of clause (23C) of section 10, section 10A, section 10AA, clause (b) of sub-section (1) of section 12A, section 44AB, section 44DA, section 50B, section 80-IA, section 80-IB, section 80-IC, section 80-ID, section 80JJAA, section 80LA, section 92E or section 115JB, section 115JC or section 115VW or to give a notice under a clause (a) of sub-section (2) of section 11 of the Act, he shall furnish the same electronically.”

(3) The return of income referred to in sub-rule (1) shall be furnished by a person mentioned in column (ii) of the Table below to whom the conditions specified in column (iii) apply, in the manner specified in column (iv) thereof:-

                                                                                                              Table

Explanation.- For the purposes of this sub-rule “electronic verification code” means a code generated for the purpose of electronic verification of the person furnishing the return of income as per the data structure and standards specified by Principal Director General of Income-tax (Systems) or Director General of Income-tax (Systems).

(4) The Principal Director-General of Income-tax (Systems) or Director-General of Income-tax (Systems) shall specify the procedures, formats and standards for ensuring secure capture and transmission of data and shall also be responsible for evolving and implementing appropriate security, archival and retrieval policies in relation to furnishing the returns “in the manners(other  than  the  paper  form) specified in column (iv) of the Table in sub-rule (3)” and the report of audit or notice in the manner specified in proviso to sub-rule (2).

(5) Where a return of income, relates to the assessment year commencing on the 1st day of April, ⁷2017 or any earlier assessment year, it shall be furnished in the appropriate form as applicable in that assessment year.

Statement under sub-section (2) of section 115U.

12C. (1) The statement of income paid or credited shall be furnished by the 30th November of the Financial year following the previous year during which such income is paid or credited, to the Chief Commissioner or Commissioner of Income-tax, within whose jurisdiction, the principal office of theVenture Capital Company or the venture Capital Fund, as the case may be, is situated.

(2) The statement of income paid or credited which is to be furnished under sub-section (2) of section 115U by the Venture Capital Company or the Venture Capital Fund, as the case may be, shall be in Form No.64, duly verified by an accountant in the manner indicated therein and shall be furnished electronically under digital signature.

(3) The Director General of Income-tax (Systems) shall specify the procedure for filing of Form No.64 and shall also be responsible for evolving and implementing appropriate security, archival and retrieval policies in relation to the statements so furnished.”