List of documents required to file ITR for Trading Income

Author
By Sakshi Shah on February 22, 2020

To file the Income Tax Return accurately, it is important to report all the information. The Income Tax Return comprises of – taxpayer details, Salary Income, House Property Income, Business and Profession Income, Income from Capital Gains, Income from Other Sources, Deductions under chapter VI-A, Foreign Income and Foreign Assets, TDS & TCS details, details of Advance Tax and Self-Assessment Tax etc. The taxpayer should be ready with all the documents such as income proofs, investment proofs, identity proofs etc before starting the process to file the Income Tax Return (ITR).

Need to file ITR? Take help of an expert! View Plan

Below is the list of documents required to file Income Tax Return in case of a taxpayer having income from trading.

Basic Documents

  1. PAN or Details as per PAN – PAN Number, Name, Date of Birth and Father’s Name
  2. Aadhar or Details as per Aadhar – Aadhar Number, Address with PIN code
  3. Form 26AS – It is the Tax Credit Statement with details of TDS, TCS, self-assessment tax, income tax refund, high value transactions, purchase and sale of immovable property etc. You can download it from your account on income tax e-filing website – Guide to download Form 26AS
  4. Bank Statements for the Financial Year
  5. Trading Statements from all brokerage houses (eg: Tax P&L Report from Broker or Consolidated Investment Portfolio). They comprise of details of trading transactions for different segments like Equity, Currency, Commodity, Mutual Funds etc
  6. ITR Form (not ITR-V) of previous Financial Year. It reflects the details of carry forward losses in previous financial year. You can download it from your account on income tax e-filing website – Guide to download ITR Form

Salary Income

  1. Form 16 received from all employers for the relevant assessment year
  2. Pension Statements in case of pension income

House Property Income

  1. Address of the property
  2. Name and PAN of Tenant
  3. Co-owner details in case the property is co-owned
  4. In case of property loan – Interest Certificate and Repayment Certificate from bank
  5. Challan of Municipal taxes paid on the property if any
  6. Rent receipts in case the house property is rented out

Capital Gains

  1. Sale of Land or Building – sale deed, stamp duty valuation, details of improvement costs
  2. Sale of Securities – trading statement, holding statement as on 31st March and FMV (Fair Market Value) as on 31st January 2018
  3. Sale of other capital assets – cost of purchase, cost of improvement & sales receipts
  4. Details of expenses incurred on transfer of Capital Assets
  5. Capital gains deposit account details if any

Business & Profession Income

  1. Business Income
    • Nature of business or profession
    • Details & proofs of business expenses
  2. Presumptive Income

Other Incomes

  1. Savings Account Bank Statement
  2. Savings Interest Certificate
  3. FD Interest Certificate
  4. Interest on Income Tax Refund
  5. Interest certificates for deposits / bonds /NSC / PPF
  6. Dividend warrants or counterfoils
  7. Dividend received from foreign companies
  8. Rent agreement in case of let out machinery
  9. Details about receipts of any other incomes

Foreign Income & Assets

  1. Details of foreign income and taxes deducted on the same
  2. Details of Assets held outside India including the foreign Bank Accounts

Deductions

  1. PPF account statement
  2. Fixed deposit certificates/statements
  3. Mutual fund NAV statements
  4. ELSS / ULIP / NSC investment details
  5. Life insurance premium receipts
  6. Medical insurance premium receipts
  7. Preventive health checkup details
  8. Medical expenditure receipts in case of Senior Citizens
  9. Pension fund / National pension scheme statement
  10. House property loan interest certificate & repayment statement
  11. Education loan interest certificate & repayment statement
  12. Tuition fees paid
  13. Donation receipts
  14. Certificate from specified medical authorities in case of disability
  15. Proofs of any other tax saving investment or contributions

FAQs

1. Do I need to submit the income proofs, investment proofs and other documents when I file Income Tax Return on the Income Tax E-filing Portal?

No. There is no need to submit any proofs or supporting documents to the income tax department while e-filing income tax return. No document is required to be attached to ITR-V when you send it to CPC, Bangalore. However, you should not report any incorrect information in the Income Tax Return. You may have to submit the proofs and documents if your ITR is selected for scrutiny and the Assessing Officer asks for it.

2. For how many years should I save the ITR related documents and proofs?

The Income Tax Act does not specifically mention the time period for which documents must be kept by the taxpayer. However, it does specify the time limit within which the income tax department can issue a notice i.e. 7 years from the end of the financial year. Thus, the taxpayer should keep the financial documents and proofs for 7 years after filing the ITR.