The year 2020, called as the pandemic year is unpredictable. The pandemic Covid-19 has put the economy, business and other activities out of gear. Even the government had to change certain aspects and norms for filing many of its mandatory and legal documents, including the Income tax returns due to Covid-19.
To ease the pressure of the people, government has made certain guidelines on ITR filing for the year 2020–21. The IT department has informed that ITR1 and ITR 4 for AY 2020–21 is available for e-filing while other forms will be also be made available shortly.
The professional ITR filing expert will be able to provide good guidance and help on various guidelines and amendments made by the government because of Covid-19. The CBDT has notified the ITR Form 1 to Form 7 for the assessment year 2020–21. The income tax return filing is currently available only for those; who are willing to file ITR 1 and ITR 4 for AY 2020–21.
It is being informed by the income department that ITR 1 and ITR 4 for 2020–21 are made available for e-filing. This can be obtained either by downloading either excel or Java utility. The department also notified that other ITRs will also be made available shortly.
ITR 1 form or Sahaj is largely used by the salaried individuals. It is for resident individuals having a total income up to Rs. 50 lakh, having income salary, one house property with single ownership, interest income and agricultural income up to Rs. 5000. The Sahaj form is not for the individual; who is either a director in the company or has invested in unlisted equity shares.
The government is very well aware of the unprecedented situation caused because of the dreadful virus. The havoc caused by the pandemic which has put many business organizations got out gear is clear and out. So to ease the pressure of the tax payers, the finance minister had announced that the last date for filing ITR for 2020–21 has been extended to November 30, 2020; which was earlier July 31, 2020.
Also, the last date for the issue of Form 16 was also extended from the deadline of June10, 2020 to June 30, 2020. Certain reliefs are also granted to the tax payers, considering the Covid-19 situation. Certain information; are not required to be furnished now. ITR 1 issued in the January sought complete detail information in terms of salary income as well as house property income like TAN, employer’s name along with address, details of tenants like PAN and Aadhar card. However, now these details are no longer being sought as per the current ITR.
However, some new information has already being made part of ITR Form 1 in January 2020. According to this; if the tax payer has cash deposits exceeding 1 crore, foreign travel expenses exceeding 2 lakhs or electricity expenses more than 1 lakh are to be included in the ITR form 1.
Even though the tax payers are having time till November 30 for filing ITR for 2020–21, it is -imperative for them to be careful and cautious as the ITR forms are modified in tune with new disclosure needs made in Income tax act AY 2020–21. It is therefore advisable to take the help and guidance of experienced and professional ITR filing expert before filing their ITR.