Changes in the Income Tax Returns for AY 2020-21 – CBDT

In the recent announcement by the Finance minister, the due date for filing the Income tax Returns -AY 2020-21 for individuals has been extended to 30^th November 2020.

The Income tax department has come with a set of additional information to be disclosed in the Forms. Here are the key additions : 

ITR – 1 – For resident Individuals (other than Not Ordinarily Resident) having Gross Income up to Rs.50 lakhs, having Income from Salaries, One House Property, Other Sources and Agricultural Income up to Rs.5 thousand.

1. New Check box to confirm whether the person has deposited more than Rs 1 crore in current bank account or have incurred Rs 2 lakh on foreign travel or Rs 1 lakh on electricity.(Applicability of Seventh Proviso to Section 139(1)) (For all forms)
2. New Schedule DI (Details of Investments). (For all forms)
3. Chapter VI A Deductions made during the period (Apr`20 to Jul`20). (For all forms)
4. Option to select more than one bank Account for Claiming refund. (For all forms)
   
   ITR – 2 – For Individuals and HUFs not having income from profits and gains of business or profession.

Changes in the Form.

1. Where the Assessee declares the details of his Directorship, one new column inserted for Type of Company. (Domestic/Foreign) (For all forms except ITR 1)
2. Tool 112A has been renamed as Schedule 112A – From sale of equity share in a company or unit of equity-oriented fund or unit of a business trust on which STT is paid under section 112A.
3. In Schedule CFL – carry forward of losses, now there is a requirement of bifurcation of loss details in two columns mainly Normal loss and Pass Through Income (PTI). This specification is required for House Property, Short Term Capital Gains and Long-Term Capital Gains. (For all forms except ITR 1)
4. In Schedule PTI – Pass through Income e details from business trust or investment fund as per section 115UA & 115UB, following additions are made.
5. Investment entity covered by section 115UA/115U
6. Bifurcation of Amount as per following 3 ways:

Current year income

Share of current year loss distributed by Investment fund

Net Income/ Loss (For all forms except ITR 1)

• Non- Resident who are claiming income-tax refund and not having bank account in India. following details are to be disclosed:
• SWIFT CODE
• Name of the Bank
• Country (For all forms except ITR 1)
• IBAN
  
  ITR – 3 For individuals and HUFs having income from profits and gains of business or profession.
  
  Changes in the Form.
  In Part A- OI, point 11 – Any amount debited to profit and loss account of the previous year but disallowable under section 43B, following sub point is added.
  Sub Point (da) – Any sum payable by the assessee as interest on any loan or borrowing from a deposit taking non-banking financial company or systemically important non-deposit taking nonbanking financial company, in accordance with the terms and conditions of the agreement governing such loan or borrowing

• Under Depreciation on Plant and Machinery New rate option of 45% is added.
• New Schedule – TPSA introduced – Details of Tax on secondary adjustments as per section 92CE(2A)
• New Schedule 115AD(1)(b)(iii) proviso – For NON-RESIDENTS – From sale of equity share in a company or unit of equity-oriented fund or unit of a business trust on which STT is paid under section 112A.

Prepared by

Prabhakaran M
Audit Executive – R V K S And Associates

Vijay Bharadwaj K
Audit Executive – R V K S And Associates