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Should i modify my it return already filed?

Debashish (Consultant) (66 Points)

18 July 2017

Hi,

I have just filed IT returns online for my mother, who is 72 years old. She has never filed IT returns in the past but in the last financial year her income [through fixed deposit interest] exceeded Rs 3 lakhs. I used the Form 16A provided by the bank to obtain the TDS details on the fixed deposits.

However, I now realize I forgot to include the following while e-filing her returns:

- Income from dividend [ONGC shares in her name]

- Interest income from her savings bank account.

- Income on some FDs on which no tax was deducted.

Should any of the above have been included in the ITR? If yes, is there any way I can modify the IT return, which was already e-filed and e-verified earlier on the income tax web site? Please advise!

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13 Replies

neeraj gupta (1138 Points)
Replied 18 July 2017

Yes, they should have been included. You can just file a revised return. The process is similar. Only difference is that in PartA-General, where it is asked 'Original/Revised', you have to select revised and provide the info for original return.

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Debashish (Consultant) (66 Points)
Replied 18 July 2017

First off, thanks for the response. Just another query. Aren't the income from dividends and interest on savings account tax exempt...especially for senior citizens?

neeraj gupta (1138 Points)
Replied 18 July 2017

That is not the case. Nothing in particular for senior citizens here. Dividends are exempt for all till 10Lakh. In terms of interest, the TDS for senior citizens is NIL subjected to their total income for the year is less than max exempt from tax, which is true for a non senior citizen as well.

Please refer:

https://www.moneycontrol.com/news/business/personal-finance-business/know-all-tax-benefits-available-to-your-senior-citizen-parents-1024261.H T M L

Debashish (Consultant) (66 Points)
Replied 18 July 2017

I am kind of a dumbo here. So thanks a lot.:)

Just one more clarification. In the ITR form, are we supposed to include the income from ALL sources, even if it was not taxed....like PPF or dividends? Also, should the income from FD interest be considered as "income for the year" even if the FD is "on maturity" and the interest from the FD is not being credited to the savings account?

neeraj gupta (1138 Points)
Replied 18 July 2017

No worries :) we are all learning here. Yes it is always better to add, keeps you on the safer side. I believe more disclosures help you as wealth gets accounted without additional explanations. This is the policy I follow for myself. Yes FD interest is on accrual basis. Even though you might get the whole amount on maturity, but your FD account gets compounded annually or quarterly in normal scenario.

Debashish (Consultant) (66 Points)
Replied 18 July 2017

So if the total interest from all FDs is say Rs 4 lakhs for the year and all of it is "on maturity", the interest amount should still be declared as income for ITR purposes?

neeraj gupta (1138 Points)
Replied 18 July 2017

What is the duration of the FD in years? You should be able to notice in the FD statement, the yearly increase in the value and also your Bank should have deducted the TDS on the interest, if the yearly interest in 4L.

V.Raghunadh (Practicing Advocate and Corporate Consultant) (202 Points)
Replied 18 July 2017

In my opinion show it as income in your return in the year of receipt.

Debashish (Consultant) (66 Points)
Replied 18 July 2017

I have the quarterly Form 16A statements from the bank. And they specify the interest and the TDS for each FD in each quarter. So it's easy for me to calculate the total interest income from these FDs. But there are two FDs that do not show in the Form 16A as their interest is under Rs 10,000 and hence not taxable. So I need to add those interest amounts too, right? This is getting to be more complicated than I thought!

neeraj gupta (1138 Points)
Replied 18 July 2017

Yes you need to add those interest too. Don't worry once you get the hang of it, it will get better :)

Debashish (Consultant) (66 Points)
Replied 18 July 2017

Thanks once again:) The columns in the ITR form looked so confusing. So I used an online intermediary cleartax.in to file the return. It made the whole process quite simple. But as I said earlier, I forgot to include some income details. So I'll have to file a revised return now...again hopefully through cleartax.in

Debashish (Consultant) (66 Points)
Replied 19 July 2017

Hi,

I just e-filed a Revised IT Return with changes and then e-verfied it as well. But now when I look at the "e-Filed Returns" under the "My Account" tab on the income tax website, it shows both the Original and Revised returns separately, both tagged as "e-verified". I hope that's ok and the Income tax department will consider only the Revised form for processing.