Manager - Finance & Accounts
58394 Points
Joined June 2010
Hey Krithi! The issue you’re facing is quite common while filing ITR-7 — especially regarding how income taxable at normal rates is shown in Part-B1.
What’s going on?
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ITR-7 is mainly for trusts, political parties, institutions, etc.
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Part-B1 focuses on income taxable at special rates like under Section 115BBI (30%).
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There is no separate row or field for “income taxable at normal rates” in the Part-B or Part-B1 section.
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So if you have income taxable at normal rates along with income under 115BBI, the form might expect you to only report tax on income under 115BBI here.
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This can cause an error or confusion during filing if you try to disclose normal rate income in the wrong section.
How to handle it?
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Income taxable at normal rates should be shown in the Part-A section of the ITR (Income and Deductions) properly.
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The tax calculation for that income is generally done automatically in the main summary/tax computation.
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For income under 115BBI (30%), it has its dedicated row in Part-B1 for the tax.
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You should not mix income taxable at normal rates with income taxable under 115BBI in the same row.
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If the form raises an error because it expects the tax on normal income elsewhere, ensure your total income and tax computation in the earlier sections is correctly filled.
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Sometimes, using the latest version of the ITR utility or filing online via the portal can fix such form inconsistencies.
Summary:
Issue |
Solution |
No provision to disclose normal taxable income in Part-B1 |
Disclose normal taxable income in Part-A properly |
Include tax on income under 115BBI separately |
Use dedicated 115BBI row only for that income |
Error in filing due to mix-up |
Separate income heads as per form guidelines |