The Central Board of Direct Taxes (CBDT) has released Income-tax Return Forms (ITR Forms) for the Assessment Year 2023-24. These forms will come into effect from 1st April, 2023, and are being notified well in advance to enable taxpayers to file their returns from the beginning of the Assessment Year.
The ITR Forms have undergone only bare minimum changes necessitated due to amendments in the Income-tax Act, 1961. This has been done to facilitate taxpayers and improve the ease of filing. The ITR Forms have been designed to cater to different categories of taxpayers. For example, ITR Form 1 (Sahaj) is for a resident individual having income up to Rs. 50 lakh, and who receives income from salary, one house property, other sources (interest, etc.), and agricultural income up to Rs. 5 thousand. ITR Form 4 (Sugam) is for individuals, Hindu Undivided Families (HUFs), and firms (other than Limited Liability Partnerships (LLPs)) being a resident having total income up to Rs. 50 lakh and income from business and profession computed under sections 44AD, 44ADA, or 44AE.
Other ITR Forms cater to different types of taxpayers. For example, individuals and HUFs not having income from business or profession (and not eligible for filing Sahaj) can file ITR Form 2, while those having income from business or profession can file ITR Form 3. Persons other than individuals, HUFs, and companies, such as partnership firms, LLPs, etc., can file ITR Form 5. Companies other than companies claiming exemption under section 11 can file ITR Form 6. Trusts, political parties, charitable institutions, etc. claiming exempt income under the Act can file ITR Form 7.
The CBDT has streamlined the ITR filing process by notifying all ITR Forms well in time this year, and by keeping the manner of filing of ITR Forms unchanged as compared to last year.
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