The tax department is has introduce technology and automation based reforms to make tax return filing easier. Taxpayers could soon get PAN cards in just four hours and file their income tax returns using pre-filled forms, according to a senior tax official.
The tax department will start issuing electronic Permanent Account Number (e-PAN), which will bring the time required for getting the tax identification number down to just four hours.The tax department is planning to introduce pre-filled tax return forms based on the information already available with it, the daily reported.
The move is meant to encourage people who shy away from paying taxes due to the complexity of filling tax returns, and cut down on the discretionary power given to tax officials.
Every individual, who has a source of income, regular or irregular, is legally required to file their income tax return.
Even if your income is below the taxable bracket, you should file your income tax returns. There are prescribed forms through which the income earned by a person and the income tax paid thereon are informed to the Income Tax Authority. The following table shows different forms prescribed for different classes of taxpayers.
|ITR Form 1||Any person who receives regular salary or pension or has an income from residential property or other sources.|
|ITR Form 2||This form is for those who are come under the category of Hindu Undivided Families and have income from any sources other than Profits gained from business and profession.|
|ITR Form 3||This form is for the Hindu Undivided Families whose income fall under the head of Profits and Gains of Business or Profession.|
|ITR Form 4S||This form, also known as SUGAM, is applicable to HUFs(Hindu Undivided Families) and individuals opting for SUGAM taxation scheme as per section 44 AD/ AE.|
|ITR Form 4||This form is applicable to Hindu Undivided Families and individuals who are professionals or proprietors.|
|ITR Form 5||This form is applicable for LLPs, Firms, BOIs, AOPs, artificial judiciary persons and local authorities.|
|ITR Form 6||This form is applicable to companies that claim no exemptions as per section 11 of the Income tax Act.|
|ITR Form 7||This form is applicable to the persons who are required to file returns as per Sections 139(4A), 139 (4D), 139 (4C), 139(4B).|
|ITR Form V||ITR V is provided to acknowledge that the Income Tax return has been filed.|