Income Tax returns: Govt notifies forms for filing returns for FY22-23

The Income Tax Department has issued Income Tax return forms for filing returns by individuals, Hindu Undivided Families, businesses, and others for the 2022-23 fiscal year. The Central Board of Direct Taxes (CBDT) issued a notification on February 10 that ITR forms 1-6, ITR-V (verification form), and ITR acknowledgment form have been issued for the FY2022-23. Last year, such forms were notified in the first week of April. 

Taxpayers can download the ITR Offline Utility through the “Downloads” Menu option, and fill and file the ITR through the same.  
Last year, the CBDT replaced the Excel and Java versions of ITR utilities with JSON for ITR-1 and ITR-4. 

AMRG & Associates Senior Partner Rajat Mohan said CBDT has notified the income tax return forms for Assessment Year 2023-24 (for income earned in 2022-23) quite early, which would help taxpayers prepare their income returns early this year.  

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Mohan added: “Early notification of ITR forms would give ample time to all the stakeholders, including the e-filing portal, third-party software companies, taxpayers, and tax professionals. This year, software vendors can use this extra time for an early implementation of excel utility and third-party software for filing ITRs.”  

There are seven types of ITR forms, ranging from ITR 1 (Sahaj), ITR 2, ITR 3, ITR 4, ITR 5, ITR 6, and ITR 7, for different individuals, businesses, and companies. 

It is very important to choose the correct ITR form while filing their tax return. If the wrong ITR form is used for filing the I-T return, then the filing will be a defective return, and the tax department will send a notice to refill the return. 

The I-T return form should be selected on the sources of income during a particular financial year. ITR-1 and ITR-4 are simpler forms that cater to a large number of small and medium taxpayers. 

ITR-1 can be filed by an individual having income up to Rs 50 lakh and who receives income from salary, one house property, and other sources (interest, etc). It is also fit for those who have agricultural income up to Rs 5,000. 

The ITR-2 form is filed by people who earn from their residential property.

ITR-3 is to be used by an individual or a Hindu Undivided Family who is having income under the head “profits or gains of business or profession” and who is not eligible to file Form ITR-1 (Sahaj), ITR-2 or ITR-4 (Sugam). 

ITR-4 can be filed by individuals, Hindu Undivided Families (HUFs), and firms with total income up to Rs 50 lakh and having income from business and profession. 

Firms and companies can use ITR-5, ITR-6, and ITR-7 to file their income tax return. ITR-5 and ITR-6 are filed by Limited liability partnerships (LLPs) and businesses. 

(With agency inputs)

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