Tax Filing: With ITR forms notification, can you file for AY 2022-23 now?

After late notification of Income Tax Return Forms (ITR) of past years due to various reasons, Central Direct Tax Commission (CBDT) made timely notification of ITR-1 to ITR-6 for l tax year (AY) 2022-23.

So, with the ITR forms notified for AY 2022-23, can assessees start filing their tax returns now?

“The notification of the ITR forms does not allow the assessed person to file their tax return. It is necessary for the Income Tax Department to provide a technical mechanism for filing the return either by direct filing on the Income Tax website or through the utility income tax,” said Dr. Suresh Surana, Founder of RSM India.

On the Income Tax Portal – a new version of which was launched last year – the online filing option for ITR-1 and ITR-2 is only available under the select drop-down option of the ITR form to file tax returns for AY 2022-23.

The ITR-1 applies to a resident person (other than a non-ordinary resident) with a total income of up to Rs 50 lakh in the financial year (FY) 2021-22 with income from salary or pension, ownership of a house, other sources (such as interest, family pension, dividend, etc.) and/or agricultural income up to Rs 5,000.

However, even after meeting the above criteria, ITR-1 cannot be filed by a person who – (i) is a director of a company; (ii) held unlisted shares at any time during the preceding year; (iii) has an asset (including a financial interest in an entity) located outside India; (iv) has signing authority over any account located outside India; (v) has income from any source outside India; (vi) is a person in whose case tax has been deducted u/s 194N; (vii) is a person in respect of whom the payment or deduction of tax has been deferred on the ESOP and/or (viii) who has a deferred loss or a loss to be deferred under any head of revenue.

On the other hand, ITR-4 applies to an individual or a Hindu undivided family (HUF), which is a resident other than an ordinary non-resident or a company (other than LLP) which is a resident with total income up to at Rs 50 lakh and who fulfills all the other eligibility conditions provided for in RIR-1.

Thus, assessees are eligible to file ITR-1 and ITR-4 now, provided they have all the information needed to file their tax return in the absence of Form 16 / Form 16A, etc.

“Currently, only utilities for ITR 1 and ITR 4 Sugam are available for filing tax returns for AY 2022-23. Thus, the ratings would be able to provide ITR 1 and ITR 4 for AY 2022-23. However, it is pertinent to note that since the due date for providing TDS returns for fiscal year 2021-22 (AY 2022-23) has not yet expired by deductors (such as employers/other payers deducting taxes on interest/rent/commissions/professional fees, contract payments, etc.), TDS credit (if applicable) may not be available to the taxpayer or assessee if they choose to provide their tax returns before the deductive provides their TDS statements,” Dr. Surana said.

Although Form 26AS, Annual Information Statement (AIS) and Taxpayer Information Summary (TIS) are available on the Income Tax Portal for AY 2022-23 (Fiscal Year 2021-22) , they may not yet be fully filled.

So, if you want to file your tax return (ITR-1 or ITR-4 depending on your eligibility), you need to be doubly sure that you have collected all the necessary information that you need to disclose in your ITR.