New Income Tax Return Forms Released by CBDT for AY 2017-18

CBDT notifies new Income Tax Return Forms for AY 2017-18: Introduces one page simplified ITR Form-1 (Sahaj) [CBDT Press Release dated 31-03-2017]

The Central Board of Direct Taxes has notified Income-tax Return Forms (ITR Forms) for the Assessment Year 2017-18. One of the major reforms made in the notified ITR Forms is the designing of a one page simplified ITR Form-1 (Sahaj). This ITR Form-1(Sahaj) can be filed by an individual having income upto Rs.50 lakh and who is receiving income from salary one house property / other income (interest etc.).

Various parts of ITR Form-1 (Sahaj) viz. parts relating to tax computation and deductions have been rationalised and simplified for easy compliance. This will reduce the compliance burden to a significant extent on the individual tax payer. This initiative will benefit more than two crore tax-payers who will be eligible to file their return of income in this simplified Form. Simultaneously, the number of ITR Forms have been reduced from the existing nine to seven forms. The existing ITR Forms ITR-2, ITR-2A and ITR-3 have been rationalized and a single ITR-2 has been notified in place of these three forms. Consequently, ITR-4 and ITR-4S (Sugam) have been renumbered as ITR-3 and ITR-4 (Sugam) respectively.

The notified ITR Forms are available on the department’s official website www.incometaxindia.gov.in.
There is no change in the manner of filing of ITR Forms as compared to last year. All these ITR Forms are to be filed electronically. However, where return is furnished in ITR-1 (Sahaj) or ITR-4 (Sugam), the following persons have an option to file return in paper form:- (i) an individual of the age of 80 years or more at any time during the previous year; or (ii) an individual or HUF whose income does not exceed five lakh rupees and who has not claimed any refund in the return of income.

CBDT NOTIFICATION NO. 21/2017, Dated: March 30, 2017

S.O.1006(E).– In exercise of the powers conferred by section 139 read with section 295 of the Income-tax Act, 1961 (43 of 1961), the Central Board of Direct Taxes hereby makes the following rules further to amend the Income-tax Rules, 1962, namely:-

1. (1) These rules may be called the Income-tax (Fourth Amendment) Rules, 2017.

(2) They shall come into force with effect from the 1st day of April, 2017.

2. In the Income-tax rules, 1962 (hereinafter referred to as the principal rules), in rule 12,−

(a) in sub-rule (1),-

(I) in the opening portion, for the figures “2016”, the figures “2017” shall be substituted;

(II) in clause (a), in the proviso,-

(i) in sub-clause (II), the word “or” coming at the end shall be omitted;

(ii) after sub-clause (III), the following sub-clauses shall be inserted, namely:-

“(IV) has total income, exceeding fifty lakh rupees;

(V) has income taxable under section 115BBDA; or

(VI) has income of the nature referred to in section 115BBE;”;

(III) clause (b) and clause (ba) shall be omitted;

(IV) for clause (c), the following clause shall be substituted, namely:-

“(c) in the case of a person being an individual [not being an individual to whom clause (a) applies] or a Hindu undivided family where the total income does not include income derived from a proprietory business or profession, be in Form No.ITR-2 and be verified in the manner indicated therein;”;

(V) in clause (ca),-

(i) in the opening portion, for the words, figures and letters “business income and such income is computed in accordance with special provisions referred to in section 44AD and section 44AE of the Act for computation of business income, be in Form SUGAM (ITR-4S)”, the words, figures and letters ‘income under the head “Profits or gains of business or profession” and such income is computed in accordance with special provisions referred to in section 44AD, section 44ADA and section 44AE of the Act for computation of such income, be in Form SUGAM (ITR-4)’ shall be substituted;

(ii) in the proviso,-

(A) in sub-clause (II), the word “or” coming at the end shall be omitted;

(B) after sub-clause (III), the following sub-clause shall be inserted, namely:-

“(IV) has income taxable under section 115BBDA; or

(V) has income of the nature referred to in section 115BBE;”;

(VI) in clause (d),-

(i) the words, brackets and letter “clause (b)” shall be omitted;

(ii) for the words, letters and number “Form No. ITR-4” the words, letters and number “Form No. ITR-3” shall be substituted;

(b) in sub-rule (2), for the words, letters, brackets and number “Form SUGAM (ITR-4S) or Form No. ITR-4” the words, letters, brackets and number “Form SUGAM (ITR-4)” shall be substituted;

(c) in sub-rule (3), in the Table,-

(A) for serial number 1 and entries relating thereto, the following serial number and entries thereto shall be substituted, namely:-

(d) in sub-rule (5), for the figures “2015”, the figures “2016” shall be substituted.

3. In the principal rules, in Appendix II,-

(a) for “Form Sahaj (ITR-1)”, the following Form shall be substituted, namely:- “Sahaj (ITR-1)”;

(b) for “Form ITR-2”, the following Form shall be substituted, namely:- “ITR-2”;

(c) “Form ITR-2A” shall be omitted;

(d) for “Form ITR-3” the following Form shall be substituted, namely:- “ITR-3”;

(e) for “Form ITR-4S”, the following Form shall be substituted, namely:- “Sugam (ITR-4)”;

(f) “Form ITR-4” shall be omitted;

(g) for “Form ITR-5”, the following Form shall be substituted, namely:- “ITR-5”;

(h) for “Form ITR-6”, the following Form shall be substituted, namely:- “ITR-6”;

(i) for “Form ITR-7”, the following Form shall be substituted, namely:- “ITR-7”;

(j) for “Form ITR-V”, the following Form shall be substituted, namely:- “ITR-V”.

F.No.370142/5/2017-TPL

(Dr. T S Mapwal)
Under Secretary to the Government of India

Note.- The principal rules were published in the Gazette of India, Extraordinary, Part-II, Section 3, Sub-section (ii) vide notification number S.O.969(E), dated the 26th March, 1962 and last amended by the Income-tax (Third Amendment) Rules, 2017, vide notification number S.O. No. 283(E), dated 23rd March, 2017.