Income Tax Return Filing- Online ITR filing for the FY 2020-21 (AY 2021-22)

The government has notified the ITR (income tax return filing) online forms for the FY 2020-21 via a notification dated March 31, 2021. Amid the on going pandemic, the government has not made any changes to facilitate the taxpayers, no significant change have been made to the ITR Forms in comparison to the last year’s ITR Forms.

New elements in ITR filing online forms for FY 2020-21 (as per the notification)

• Form ITR-1 for FY 2020-21, can not be used by an individual whose income tax is differed on ESOPs.
• It would be mandatory to mention DIN, if the Income Tax Return for FY 2020-21 is to be filed in response of any tax notice.
• Also, for FY 2020-21, the Income Tax filer shall have to specify the tax regime i.e. new or old regime which he or she wished to opt for.

Income Tax Return filing (ITR filing) online forms for FY 2020-21

Form ITR 1 (Form SAHAJ)

• Form ITR 1 for FY 2020-21 has been notified by the IT department.
• Individuals whose total income is up to 50 lakhs in a financial year needs to file form ITR-1.
• Form ITR-1 can be filed for the income from salaries, house property and income from other sources such as interest and agriculture income up to Rs. 5000/-.
• However, an individual who is a director in a company or has invested in unlisted equity shares or where u/s 194N of Income Tax Act, 1961 TDS has been deducted, in such cases, ITR 1 can not be used.
• Further, an individual for whom income tax is deferred on ESOPs can not use ITR 1.

Form ITR 2

• An individual having income/losses from capital gains, or having more than one house property shall file ITR-2 form.
• If the ITR 2 is to be filed in response to the tax notice received from Income Tax Department, then DIN number needs to be specified in form ITR 2 including the date of such notice for FY 2020-21.

Form ITR 3

• Form ITR 3 can be filed by the individuals having income from business or profession.

Form ITR 4

• Form ITR 4 for FY 2020-21 has been notified by the IT department.
• Form ITR-4 can be used to file Income Tax Returns by resident individuals, HUF (Hindu Undivided Family) and firms (other than LLP), provided the income is up to Rs 50 lakh from business and profession.

Form ITR 5

• ITR Form 5 shall be filed by the persons other than the individuals, Hindu Undivided Families and Companies including partnership firms and LLPs.

Form ITR 6

• Form ITR 6 shall be filed by the companies including Private Limited Companies, One Person Companies and Public Limited Companies.

Form ITR 7

• Form ITR 7 needs to be filed by the Trusts, political parties, charitable institutions etc. claiming exempt income under the Act.

Suggested Read: Documents required for online ITR filing for FY 2020-21

Note 1: For Income Tax filing for the FY 2020-21 online, in the new ITR 1 and 2 forms, an individual is required to select the option whether the ITR shall be filed under the new tax regime or old/existing one.

Note 2: For financial year 2020-21, the Income Tax department has notified 2 forms namely ITR 1 and ITR 4 till now.

Note 3: Also, as notified by the Income Tax Department, there has been no changes made in the provisions and filing formats of these Income tax Return filing forms for fY 2020-21 to ease of the struggles of the taxpayers due to COVID 19.