Income Tax Department has notified new Income Tax Return forms for the AY 2015-16. ITR Form 2 and 2A shall not have more than 3 pages. With the changes, IT Department tries to put an end to all grievances related to filing of Income Tax Return filing.
In addition to major changes, IT Department intends that all income tax refunds shall be directly deposited in assess bank accounts. The modification incorporated in ITR Forms includes:
- ITR-2A – At present individuals and HUFs having income from more than one house property or capital gains were required to file Form ITR 2. It was observed that majority of taxpayers who file Form ITR 2 do not have capital gains. With a view to provide a simplified version of this form for such individuals and HUFs, a new Form ITR 2A is notified.
- ITR-2A to be filled by those individuals and HUFs who do not have capital gains, income from business/profession or foreign asset/foreign income.
- Furnishing of Passport Number: Not mandatory to furnish details of foreign trips in new Form ITR 2. Only passport number of the tax-filer shall be mentioned, “if available”. There would be no requirement to provide details of foreign trips/expenditure.
- Details of bank accounts â€“ Details of all bank accounts held by assesses during the previous year shall be disclosed. The balance in accounts will not be required to be furnished. Details of dormant accounts which have not been operational during the last three years are not required to be furnished. Now only the IFSC Code, account numbers of all current/savings accounts which are held at any time during the previous year shall be furnished.
- ITR 1 for Individuals earning exempt income – Individuals having exempt income without any ceiling (other than agricultural income exceeding Rs. 5,000) can file ITR 1. In case taxpayer has agricultural income ITR 2 or ITR 2A, as the case may be shall be filed.
- Non- reporting of foreign assets – An individual, who is not an Indian citizen and is in India for business, employment or on student visa, will not mandatory be required to report the foreign assets acquired by him during the prior years in which he was non-resident, if no income is derived from such assets during the relevant financial year.
Please feel free to write to us at email@example.com for any assistance on filing of income tax returns.