Income Tax Department has made return filing very easy. You can file ITR online. Choosing the right ITI form is very important for filing returns
If you have not filed income return then file it soon. July 31, 2022 is its last date. If you file income tax return after this date, you will have to pay interest on penalty and tax. Income Tax Department has made return filing very easy. You can file ITR online. Choosing the right ITI form is very important for filing returns.
A total of 7 types of forms have been issued by the Income Tax Department for return filing. Of these, forms from number one to number four are for individual taxpayers. We will talk about these later. We will tell you which form is for which taxpayers. But, let us first know what happens if you have unknowingly filed the return in the wrong ITR form.
Tax experts say that taxpayers can face problems due to filing of return in wrong form. The tax officer can declare such return as defective under section 139(9) of the Income Tax Act.
The tax officer can inform the taxpayer about this defect. For this he will send a notice to the taxpayer. He will have to rectify the defect within 15 days from the date of receipt of the notice. This means he has to file the revised return in the correct ITR form.
If the taxpayer does not file the revised return in the correct ITIr form within 15 days despite the notice, then his ITR return will be treated as ‘invalid’. Thereafter, the taxpayer may have to pay a penalty for not filing ITR.
Deepak Jain, chief executive, taxmanager.in, said, “If you choose the wrong form, you will not be able to provide information about the source of certain types of income.” If this happens, the Income Tax Department will consider your form as defective. A notice will then be sent to the taxpayer to file the revised return within 15 days. Jain said that even after this, if you do not file the revised return, then your return will be considered invalid.
Let us now know what types of taxpayers from ITR Form 1 to ITIr Form 4 are for:
Let us know about them in detail:
ITR-1
If you are employed and your total income in the financial year 2021-22 was up to Rs 50 lakh, then you have to use this form. People getting pension will also have to use the same form. You have to choose this form even if you get interest from bank deposits, income from house in the form of rent. If your agriculture income is Rs 5000 then you have to use ITR-1.
ITR-2
If you have income from sources other than salary income, then you have to use ITI-2. Other sources include income from capital gains, income from more than one house property, foreign income, foreign assets, income on becoming director in the company and income from unlisted shares.
ITR-3
This form is for those people who have income from any business or profession along with getting income from the sources specified in Form-2. Even if you are a partner in a firm, you have to use ITR-3.
ITR-4
This form is for Resident Individuals, HUF and Firms (Except LLP) having total income up to Rs 50 lakh and also having income from business and profession.
