Round 23,000 taxpayers have already filed earnings tax returns within the first three days of Evaluation 12 months 2024-25 (Monetary 12 months 2023-24). This has come after the Earnings Tax Division for the primary time launched the return submitting utilities on its portal from the primary day of the evaluation yr, that’s, April 1, 2024.
Final yr, though the returns had been notified early, they grew to become accessible for submitting on the earnings tax portal in Could (for Evaluation 12 months 2023-24 or Monetary 12 months 2022-23).
The submitting functionalities have been accessible from Could 20, 2023 for salaried people (ITR-1) and people, HUFs, and partnership corporations producing an earnings from a enterprise or occupation (ITR-4), whereas the submitting utility for people and HUFs having earnings apart from earnings from earnings and positive aspects from enterprise or occupation was accessible from Could 30 (ITR-2).
What has the Earnings Tax Division mentioned for submitting returns this yr?
The Earnings Tax Division beneath the Central Board of Direct Taxes (CBDT) has operationalised the submitting functionalities for the generally used segments ITR-1, ITR-2 and ITR-4. The earnings tax returns may be filed on https://eportal.incometax.gov.in/iec/foservices/#/login.
“The ITR functionalities i.e. ITR-1, ITR-2 and ITR-4, generally utilized by taxpayers, can be found on the e-filing portal from 1st April, 2024 onwards for taxpayers to file their Returns. Firms may also be capable to file their ITRs by ITR-6 from April 1 onwards,” the division mentioned in an announcement on Thursday, including that the ability to file ITRs 3, 5 and seven shall be made accessible shortly.
The Division mentioned that is for the primary time in current occasions that it has enabled taxpayers to file their returns on the primary day of the brand new monetary yr. “That is one other big step in the direction of ease of compliance and seamless taxpayer companies,” it mentioned.
What has been the submitting response and what are the issues?
As per the tax division’s knowledge, 22,599 returns have been filed for AY 2024-25 (as on April 3). Out of this, 20,868 returns have been verified for AY 2024-25 and a couple of,907 verified ITRs have been processed.
Tax consultants, nonetheless, flagged issues that the Annual Info Assertion (AIS) and Type 26AS will not be up to date until March 31, 2024. They mentioned it is likely to be higher for taxpayers to attend for the era of the AIS and Type 26AS earlier than finalising their tax returns to keep away from discrepancies in filings later.
The Annual Info Assertion is a abstract of a taxpayer’s monetary transactions given in Type 26AS which reveals particulars of Tax Deducted or Collected at Supply (TDS/TCS) together with different particulars relating to curiosity, dividend, inventory market and mutual fund transactions. Whereas submitting the earnings tax return, the detailed abstract by AIS and Type 26AS reveals as much as the taxpayer, who can settle for if it’s right or present suggestions if there are discrepancies.
Since AIS consists of particulars of monetary transactions from reporting entities, the data shall be accessible solely after it will get up to date from reporting entities akin to banks and monetary establishments. Equally, Type 26AS will get up to date after the earnings tax division processes the TDS returns. The final date for submitting TDS returns for the January-March quarter is Could 31 and so, the up to date info is obtainable within the first week of June. Thus, consultants have raised issues that submitting returns with out verifying AIS/Type 26AS might lead to errors and result in notices for incorrect reporting of earnings.
