Return of deceased person filed by legal heir

Dear Chandresh,

According to me

1. Single return for the whole year is to be filed. Returns are always for the whole previous year. you cant break up the preiod.

2. So given the above ans, you should account for the entire interest recd and can take the claim of the entire TDS deducted. There is no need of birfurcation

3. For 1 year only 1 return - original can be filed. therefore only 1 return for the whole year should be filed

Legal heir will verify the itr of the deceased. It means return of the deceased will be filed in the name of deceased and would be signed by legal heir. For that he has to first update the details on the income tax website of legal heir by logging into his account and updating himself as a legal heir. The return will be for the entire year. And both returns are to be treated separately, ie deceased return will be filed by legal heir independently and legal heir will disclose his income earned for the year individually. They are not supposed to be a combined return.

Wrt tds, tds returns are made quarterly and so will be deducted on a quarterly basis and not monthly / datewise. And need to have tds certificates of the tds deducted. Merely from form 26as, you will not get tds certificate nos, which is required to be filled in itr. It is preferable to disclose the interest income in similar manner as form 26 As discloses., so that accounts tally. However form 26As will disclose only those incomes on which tds is deducted. So there may be some incomes on which tds may not be deducted, even the same has to be disclosed if they belong to the given fy. 

Only 1 return of the deceased can be filed. However if any revision or any defect, then the same can be done. But here I mean no different itrs or for different periods, is the return to be filed. It has to be filed for full ay in the same itr

Dear rinkel... I thought that income till the date is to be accounted as deceased income till date of death. Further period of income on deceased Invt. Or assets income to be added to the income of respective legal heirs on the recd proportion I.e after the date till the close of the financial year as it is their deemed proportionate income. Could u enlighten me sir

No that is not the income of the legal heir. Unless and until the investment are not distributed and disbursed completely, till then they are assets of the deceased and income generated is deceased income and hence will be taxed in the hands of deceased. Once the assets are disbursed completely then they are to be taxed in individual and deceased accounts stands closed.

Thanks for details. If the deceased have only fds and the deposits are transferred to legal heirs immediately say a month..shall we treat income as that of legal heirs for the prorata period .I.e after demise. Tks again

Transferred meaning as distributed by will then in that case the said income will be income of the legal heir and not of the deceased person. And there would not be any case of prorata distribution. Because once the asset is distributed on account of will, it no more remains an asset of the deceased. 

Before distribution, it will be asset and income of the deceased and after distribution asset and income will be assets and income of the person to whom the assets are described in the will. It may or may not be the legal heir. If legal heir is part of a will then it will his income

Hope you get this

Now I understand. Thanks rinkel