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Is new business needed to be mentioned in ITR if no income and no transaction took place?

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asd asd

27 Points Posted on 16 May 2022

Or is it enough just to mention the current account details (as the IT department asks details for all bank accounts maintained by an individual)? All of my income is from PGBP so I file ITR-4 on presumptive basis every year. This new business is a sole proprietorship. I also obtained a GST number for this business during the FY (in case that makes any difference). Thanks!

Replies (4)

Quick Summary

This discussion clarifies whether a new sole proprietorship business needs to be mentioned in an Income Tax Return (ITR) if no income or transactions occurred during the financial year. The consensus is that if the business operates under the same PAN as your existing presumptive income (ITR-4), and there are no earnings, you don't need to declare it as a separate entity with income. Simply include the new bank account details and GST number in your existing ITR-4 filing.

sabyasachi mukherjee

Profession

19978 Points Posted on 16 May 2022

Since there is no income file returns stating minimum income
file itr 4

JJJ

Need help

436 Points Posted on 16 May 2022

If the PAN is the same as the one for your existing PGBP, then there's no impact in income tax. All the income (or lack of it) is related to the same entity, ie you. And it's all from a business / profession, so there's no new category of income to mention (even if it were more than zero).

Simply continue doing what you have been doing in the past and include the new bank account and the new GST registration number in your return. Since this new GST will have no income reported, there will not be a mismatch with the income tax returns either.