Know your income tax form ITR-1

WHAT IS ITR 1?

ITR-1 form is the simplest one-page form which should be filed by individuals having an income up to Rs. 50 lakhs. This income can be from the following sources:

• Income from salary or pension
• Income from one house property
• Income from other sources (Interest etc.)

DETAILS REQUIRED IN ITR-1 FORM

• General Information
• Deductions and Gross/Taxable total income
• Detail of Advance tax and Self-Assessment Tax payments if any
• Detail of TDS/TCS if any
• Computation of Tax Payable
• Other Information
• Submit the return
• Verify return online or send it to Centralized Processing Centre, Bangalore

WHAT ARE THE DIFFERENT MODE OF FILING ITR-1

• Online
• Offline

ITR-1 APPLICABLE FOR:

• Income from Salary/Pension
• Income from One House Property (excluding cases where loss is brought forward from previous years)
• Income from Other Sources (excluding winning from Lottery and Income from Race Horses)

WHO IS NOT ELIGIBLE TO FILE ITR 1 FORM:

• If income more than Rs. 50 lakhs
• Income from winnings from lottery or income from race horses
• Income from more than one house property
• Income from Business or Profession
• Income under the head ‘Capital Gains’
• Agricultural income exceeding Rs 5,000
• Loss under the head ‘Income from other sources’
• Life insurance adviser ( Commission income)

CHANGES W.E.F. 1ST APRIL, 2018 (ITR 1 FY 2017-18)

• More details of income from salary and house property
• Tax rebate is reduced to Rs.2500 from Rs.5000 per year for taxpayers with income up to Rs.3,50,000 (earlier Rs.5,00,000).
• There is a standard deduction of Rs. 40,000 in lieu of transport allowance and medical reimbursement.
• Late fee if IT Return not filled on time.
• It is mandatory to disclose the Aadhar number while filing IT Return
• Cess levied on your tax liability has been hiked by 1 percent from the current 3 percent to 4 percent.
• Tax Exemption limit is Rs.2,50,000/- After that, up to 5 Lakh, Tax rate is 5% (earlier it was 10%)

PENALTY ON LATE FILING OF ITR 
Starting from April 1, if you file your ITR post the deadline of July 31, 2018 (unless the tax department extends it), you will be liable to pay a maximum penalty of Rs.10K. 

W.e.f. assessment year 2018-19, if assessee failed to furnish return of income within due date as prescribed under section 139(1) then as per section 234F, he will be required to penalty of:

• Rs. 5000 if return is furnished on or before 31 December of assessment year.
• Rs.10,000 in any other case.
• Total income of the person does not exceeds Rs. 5 lakh then Rs. 1000.
• If Income is not taxable then NIL (Not required to pay penalty as per income tax provisions)

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