Income Tax Department issues guidelines for filing income tax returns

 

The Income Tax Department has issued a lengthy instruction manual running into hundreds of pages for filling up the tax returns for assessment year 2020-21.

The Income Tax Department has issued a detailed step by step reckoner for filing tax returns to be submitted under different heads.

These instructions are guidelines to help the taxpayers for filling the particulars in Income-tax Return Form-1 for the Assessment Year 2020-21 relating to the Financial Year 2019-2020.

This Return Form is to be used by an individual who is a resident other than not ordinarily resident, whose total income for the Assessment Year 2020-21 does not exceed Rs 50 lakh and who has income under the following heads: (a) Income from Salary/ Pension; or (b) Income from One House Property; or (c)  Interest income and/ or family pension taxable under other sources.

Further, in a case where the income of another person like spouse, minor child, etc. is to be clubbed with the income of the assessee, this Return Form can be used only if the income being clubbed falls into the above income categories.

This Return Form should not be used by an individual who -- (a) is a Director in a company; (b) has held any unlisted equity shares at any time during the previous year; (c) has any asset (including financial interest in any entity) located outside India; (d) has signing authority in any account located outside India; or (e) has income from any source outside India.

This return form also cannot be used by an individual who has any income of the following nature during the previous year:- (a) Profits and gains from business and professions; (b) Capital gains; (c) Income from more than one house property.