After the income tax department has released the e-filing of income tax return Form 1, 2, and 4 for the assessment year 2019-20, recently the income tax authority has also notified another update about ITR filing. Now, ITR 2 and 3 Form is also available on the Government official portal or website for the financial year 2018-19. Thereby, the taxation consultant also informed about others ITRs to be available shortly.
The ITR-2 form is basically filed by the citizens of India, as well as Non-residents. Besides this, a person or HUFs whose total income for the financial year 2018-19 includes income from Salary/ Pension, or income from house property or other sources, Income from foreign assets/Income, Income from business or profession and other sources including lottery, racehorses, legal gambling are eligible to file Form ITR-2.
Who cannot file ITR 2 for AY 2018-19?
The taxpayers who do not need to file ITR-2 form are as follows: –
- Any individual or HUF having income from Business or Profession
- Individuals who are eligible to fill out the ITR-1 Form
How to file ITR – 2 Form?
Taxpayers who are gearing up to file an income tax return can submit ITR-2 form either online or offline. If you are using online method then individuals who are of the age of 80 years or more or individual whose income is less than Rs 5 lakhs per year and who do not have to claim refund can file Income Tax Return offline.
Whereas, if you are using online or electronically medium you need to submit your ITR-2 Form electronically under digital signature, after which, the acknowledgement will be sent to your registered email id. You can also choose to download it manually from the income tax website.
What is the ITR-3 Form?
On the contrary, the ITR-3 Form is applicable to those individuals or a Hindu Undivided Family who is earning income from business or a profession and a person who have income from Profits or gains of business or profession.
Meanwhile, the taxation department has introduced some significant changes in ITR Forms which include disclosing of Name & PAN of partnership firms in which the person or taxpayer was a partner during the year.
Along with this, the new form ITR-3 bifurcates the existing profit and loss account into a trading account, manufacturing account and profit and loss account which will be applicable for taxpayers who have income from business or profession, etc. The form also seeks details of the annual value of outward supplies as per the goods and services tax (GST) returns filed.
How to file ITR 3?
Before you are preparing to file ITR-3 form, you should aware of a certain set of method that can be used while filing an income tax return:
- Filing ITR-3 form using a digital signature certificate.
- By transmitting the data in ITR-3 form electronically under electronic verification code (EVC).
- By transmitting the data in ITR-3 form electronically and then mailing (By post) the return in Return Form ITR-V to the Income Tax Office.
Who should not file ITR-3 Form?
If an Individual/HUF is having income as a partner of a partnership firm that is carrying out business/profession, he is not eligible to file ITR-3.