Taxation

(1) What is E-Filing?

The process of electronically filing Income tax returns through the internet is known as e-filing. It is mandatory for companies and Firms requiring statutory audit u/s 44AB to submit the Income tax returns electronically for AY 2007-08 onwards.

E-filing is possible with or without digital signature.

Relevant Notifications, Circulars & Instructions 2006-07 & 2007-08 New forms ITR1 to ITR 8 for AY 2007-2008 notified on 14th May07. Circular no. 3/2007 issued on 25th May07 regarding acceptance of paper returns for companies and firms covered by 44AB under certain circumstances. Circular no 9/2006 - Exhaustive explanation of the entire scheme of e-Filing for Public. Circular No 12/ 2006 E-filing not mandatory for Representative Assessee. Instruction no. 7 dt 10/10/2006 - Exhaustive explanation & other guidelines for department of the entire scheme of e-Filing for Public. Vide Notification

No. 128/2006, dated 1-62006 S.O. 848 (E), Form 2F was notified &Vide NOTIFICATION NO. 189/2006, dated 24-7-2006 Forms 1, 2, 3, 3B were notified. Relevant Notifications, Circulars & Instructions Historical Perspective Vide Notification

No. 253 of 2004, dated 30th Sep., 2004 S.O.1073(E), Electronic Furnishing of Return of Income Scheme,

2004 was notified for e-Filing of returns: An eligible person may, at his option, furnish his return of income which he is required to furnish under sub-section (1) of section 139 of the Act for the assessment year 2004-05 and any subsequent assessment year, to an e-Return intermediary. Digital signature, e-return, e-return intermediary were defined in this scheme

(2) Types of E-Filing

There are three ways to file returns electronically. Option 1: Use digital signature, in which case no further action is required. Option 2: File without digital signature, in which case the duly signed ITR-V form is to be submitted to CPC Bengaluru using Ordinary Post or Speed Post within 120 days of transmitting the data electronically. This completes the Return filing process for non-digitally signed returns.

Option 3: File

through an e-return intermediary who would do eFiling and also assist the Assessee file the ITR -V Form. (3) Types of EFiling (4) E filing process : This is explained below with the help of a flow chart.

(5) Change in the procedure of e- filing for 2008-09

Type For digitally signed returns Paper Returns -Two step Procedure Paper Returns - through e-intermediaries

Change No Change After uploading data -instead of filing paper return assessee to file verification form called ITR-V (Combination of Acknowledgement of e-return and verification

(6) e-Filing Process At a glance

Select appropriate type of Return Form . Download Return Preparation Software for selected Return Form. Fill your return offline and generate a XML file. Register and create a user id/password . Login and click on relevant form on left panel and select "Submit Return". Browse to select XML file and click on "Upload" button . On successful upload acknowledgement details would be displayed. Click on "Print" to generate printout of acknowledgement/ITR-V Form.

Incase the return is digitally signed , on generation of "Acknowledgement" the Return Filing process gets completed. Assessee may take a printout of the Acknowledgement for his record.

Incase the return is not digitally signed , on successful uploading of e-Return, the ITR-V Form would be generated which needs to be printed by the tax payers. This is an acknowledgement cum verification form. The tax payer has to fill-up the verification part and verify the same. A duly verified ITR-V form should be submitted to CPC Benagaluru using Ordinary Post or Speed Post within 120 days of transmitting the data electronically. This completes the Return filing process for non-digitally signed Returns.

Individuals, HUF

Filing of Income Tax returns is a legal obligation of every Individual/HUF whose total income for the previous year has exceeded the maximum amount that is not chargeable for income tax under the provisions of the I.T Act, 1961. Income Tax Department has introduced a convenient way to file these returns online using the Internet. Every new user has to register at this website in order to avail the e-Filing facility. After completing the registration process and logging in, the user may download the software tools from the download section. Based on all the relevant information the required ITR Form should be filled using the software provided. The software would generate the XML format of the return which should be uploaded on this website. On successful transmission of the return a receipt will be generated in the form of a provisional acknowledgement.

Which Form is Applicable

For Individual S.No Source of Income ITR-1 (SAHAJ)

Individual, HUF ITR-4S (SUGAM)

ITR-2

ITR-3

ITR-4

Income from Salary/Pension Income from Other Sources (only Interest Income or Family Pension) Income/Loss from Other Sources Income/Loss from House Property Capital Gains/Loss on sale of investments/property Partner in a Partnership Firm Income from Proprietary Business/Profession Income from Presumptive Business

3 4

Download Return Preparation Software

1.0) Excel 4 ITR-4 Utility(Version 1.0) Excel Utility(Version 4 ITR-4S (SUGAM) 1.0) PDF Utility(Version 1.0) New Release Adobe Reader New Release MS Excel New Release MS Excel

Checklist of documents and pre-requisites

Adobe Reader A copy of last year's tax return Bank Statement TDS certificates Savings certificates/Deductions Interest statement showing interest paid to you throughout the year.

Firms/AoPs/BoI

Filing of Income Tax returns is a legal obligation of every Firm/AoP/BoI whose total income for the previous year has exceeded the maximum amount that is not chargeable for income tax under the provisions of the I.T Act, 1961. Income Tax Department has introduced a convenient way to file these returns online using the Internet. Every new user has to register at this website in order to avail the e-Filing facility. After completing the registration process and logging in, the user may download the software tools from the download section. Based on all the relevant information the required ITR Form should be filled using the software provided. The software would generate the XML format of the return which should be uploaded on this website. On successful transmission of the return a receipt will be generated in the form of a provisional acknowledgement.

Which Form is Applicable

ITR-5

For firms, AOPs and BOIs

Download Return Preparation Software

Sl. No. Form Name 1 ITR-5

Return Preparation Software Excel Utility(Version 1.0)

Remarks New Release

MS Excel

Checklist of documents

A copy of last year's tax return Bank Statement TDS certificates Interest statement showing interest paid to you throughout the year.

Companies

Filing of Income Tax returns is a legal obligation of every Company whose total income for the previous year has exceeded the maximum amount that is not chargeable for income tax under the provisions of the I.T Act, 1961. Every new user has to register at this website in order to avail the e-Filing facility. After completing the registration process and logging in, the user may download the software tools from the download section. Based on all the relevant information the required ITR Form should be filled using the software provided. The software would generate the XML format of the return which should be uploaded on this website. On successful transmission of the return a receipt will be generated in the form of a provisional acknowledgement.
Which Form is Applicable

ITR-6

For Companies other than companies claiming exemption under section 11

Download Return Preparation Software

Software

Requirements/ User Guides

ITR-6

Excel Utility >(Version New Release 1.0)

MS Excel

Checklist of documents

A copy of last year's tax return Bank Statement TDS certificates Interest statement showing interest paid to you throughout the year Profit and Loss Account Balance Sheet

Trusts Filing of Income Tax returns is a legal obligation of every Trust whose total income for the previous year has exceeded the maximum amount that is not chargeable for income tax under the provisions of the I.T Act, 1961. Income Tax Department has introduced a convenient way to file these returns online using the Internet. Every new user has to register at this website in order to avail the e-Filing facility. After completing the registration process and logging in, the user may download the software tools from the download section. Based on all the relevant information the required ITR Form should be filled using the software provided. The software would generate the XML format of the return which should be uploaded on this website. On successful transmission of the return a receipt will be generated in the form of a provisional acknowledgement.

Which Form is Applicable 1 ITR-7 For persons including companies required to furnish return under section 139(4A) or section 139(4B) or section 139(4C) or section 139(4D) Checklist of documents

A copy of last year's tax return Bank Statement TDS certificates

Interest statement showing interest paid to you throughout the year

Change in Procedure of e-Filing Type Change

For Digitally signed Returns

No change

Paper Returns Two step Procedure After uploading data Assessee need to submit verification Form Called ITR-V to CPC Bengaluru. Paper Returns through intermediaries e-

e-Filing Process At a glance Select appropriate type of Return Form Download Return Preparation Software for selected Return Form. Fill your return offline and generate a XML file. Register and create a user id/password Login and click on relevant form on left panel and select "Submit Return" Browse to select XML file and click on "Upload" button On successful upload acknowledgement details would be displayed. Click on "Print" to generate printout of acknowledgement/ITR-V Form. Incase the return is digitally signed, on generation of "Acknowledgement" the Return Filing process gets completed. You may take a printout of the Acknowledgement for your record. Incase the return is not digitally signed, on successful uploading of e-Return, the ITR-V Form would be generated which needs to be printed by the tax payers. This is an acknowledgement cum verification form (ITR-V). A duly signed ITR-V form should be submitted to CPC using Ordinary Post or Speed Post within 120 days of transmitting the data electronically. This completes the Return filing process for non-digitally signed Returns.