Income Tax Returns 2023-24: CBDT notifies ITR-2 and ITR-3; key details taxpayers will have to now provide | India Business News – Times of India

by The Technical Blogs



Income Tax Return (ITR) Filing Forms 2023-24: The Central Board of Direct Taxes (CBDT) has officially released the Income Tax Return (ITR) forms, namely ITR-2 and ITR-3, for the financial year 2023-24. These forms are applicable for the assessment year 2024-25, and it is important for specific taxpayers to be aware of the details associated with filing using these forms.
The deadline for submitting ITR-2 and ITR-3 is July 31, 2024. However, taxpayers obligated to conduct income tax audits with business income must file ITR-3 by October 31, 2024, states an ET report.
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ITR-2 filing requirements
Individuals or Hindu Undivided Families (HUFs) falling under the following categories are mandated to file ITR-2:

  1. Not eligible to file ITR-1.
  2. Individuals or HUFs without income from the profit and gains of business or profession, and no income in the nature of interest, salary, bonus, commission, or remuneration from a partnership firm.
  3. Those having income from another person, like a spouse or minor child, to be clubbed with their own income.

Changes in ITR-2 for FY 2023-24
Mihir Tanna, Associate Director at S.K Patodia and Associates, was quoted as saying that the following additions have been made to ITR-2:

  1. Inclusion of Legal Entity Identifier (LEI) details.
  2. Details of contributions made to political parties if claimed, including date, mode of payment, and transaction details.
  3. Details of deductions for the maintenance, including medical treatment, of a dependent with a disability (Type of dependent, PAN, Form 10IA details).
  4. Individuals or HUFs required to undergo tax audits can now verify ITR with EVC, which was previously possible only through DSC (Digital Signature Certificate).

An LEI (Legal Entity Identifier) is a unique 20-symbol code used for identification in the global financial system. It is mandatory for crediting refunds exceeding Rs 50 crore.
Documents required for filing ITR-2
To successfully file ITR-2, the following documents are required:

  • Form 16 for salaried individuals.
  • Form 16A or TDS certificate for individuals earning interest on fixed deposits or savings accounts.
  • Form 26AS for verification of TDS on salary and other incomes.
  • Rent receipts for individuals living in rented accommodation.
  • Summary of annual profit/loss statement for capital gains from shares or securities.
  • Details of tenant/local tax payment/interest on borrowed capital for those receiving rent from a property.
  • Relevant documents demonstrating incurred losses during the current year or previous years.
  • Also, collect supporting documents (e.g., insurance, donation, rent, tuition fee receipts) for tax deductions under sections 80C, 80D, 80G, 80GG, especially if they weren’t considered in your Form 16.

ITR-3 filing requirements
According to FAQs published by the Income Tax Department, ITR-3 is to be used by entities, including individuals or HUFs, having income under the head “profits or gains of business or profession” and are ineligible to file Form ITR-1, ITR-2, or ITR-4.





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