CBDT Notifies Income Tax Return Forms for Assessment Year 2024-25

The Central Board of Direct Taxes (CBDT) has proactively notified Income Tax Return (ITR) forms for the Assessment Year 2024-25, well ahead of time. The latest notification includes ITR Forms 2, 3, 5, and 6, ensuring taxpayers have ample time to prepare and file their returns effectively.

Earlier announcements dated December 22, 2023, had already notified the availability of ITR-1 (SAHAJ) and ITR-4 for the same assessment year. With the subsequent notification covering all forms from 1 to 6, taxpayers can expect seamless compliance processes come April 1, 2024.

Here’s a brief overview of the various ITR forms and their eligibility criteria:

ITR-1 (SAHAJ): Reserved for resident individuals with total income up to Rs. 50 lakh, deriving income from salaries, one house property, and other sources.

ITR-2 & 3: Designed for individuals and Hindu Undivided Families (HUFs) without income from business or profession. ITR-2 is for those ineligible for ITR-1, while ITR-3 caters to individuals with income from business or profession.

ITR-4 (SUGAM): Targeted at resident individuals, HUFs, and firms (excluding LLPs) with total income up to Rs. 50 lakh, deriving income from business or profession under sections 44AD, 44ADA, or 44AE. Notably, a new field for reporting cash receipts has been introduced in Schedule ‘BP,’ facilitating better disclosure of gross turnover details.

ITR-5: Applicable to entities other than individuals, HUFs, and companies, such as partnership firms and LLPs.

ITR-6: Intended for companies not eligible for exemption under section 11 of the Income-tax Act, 1961.

The updated forms incorporate changes aligned with recent amendments to the Income-tax Act, 1961, introduced via the Finance Act, 2023. These adjustments aim to enhance the filing experience and streamline compliance processes for taxpayers.

It’s crucial for taxpayers to familiarize themselves with the specific requirements of each form to ensure accurate and timely filing. The complete notifications of the ITR forms are accessible on the Income Tax Department’s official website, providing comprehensive guidance for taxpayers.

In conclusion, the timely notification of ITR forms for the Assessment Year 2024-25 reflects the CBDT’s commitment to facilitating taxpayer compliance and improving the ease of filing.