Up to FY 2018-19 (AY 2019-20), it was not mandatory to file Income Tax Return if the total income was less than the basic exemption limit. However, Budget 2019 inserted the seventh proviso to Section 139(1). As per this new provision, if a taxpayer has entered into high-value transactions, it is mandatory to file the ITR even if the total income does not exceed the basic exemption limit. The high-value transactions can be either of the following:
If the taxpayer has deposited more than INR 1 Cr in a current account
If the taxpayer has incurred foreign travel expense of more than INR 2 lacs
Or, if the taxpayer has incurred electricity expense of more than INR 1 lac
No. NRI can file any other ITR form depending upon the source of income earned by them in India. ITR 1 can only be filed by an Ordinary Resident of India.
Do I need to submit supporting documents along with ITR 1?
It is an annexure less form. Hence no need to send any supporting documents to the IT Department.
Can I file ITR 1 if I have multiple Form 16?
Yes. Any resident individual who has earned income from salary during the financial year can file ITR 1. Change in employment does not affect the ITR form type.
Can I file ITR 1 without Form 16?
Yes. A taxpayer can file ITR 1 without Form 16. However, he needs to calculate his taxable salary income for a financial year while filing ITR.
Is it mandatory to provide bank account details in Income Tax Return?
Yes. It is mandatory to provide active bank account details. You are also required to select one account as your primary account. Since your refund will be directly issued to your Bank Account vis ECS.
Can I file a return after the Due Date?
Yes. You can file a ‘Belated Return’ after the due date. You can file a belated return before the end of Assessment Year or before the completion of the assessment whichever is earlier. Late filing fees as per section 234F will also be levied.
Can I file exempt income in ITR-1?
Yes, you can file exempt income in ITR 1. However, if agriculture income exceeds INR 5000 then you will have to file ITR 2.
Do we have to report exempt LTCG in ITR 1?
Yes, you need to report exempt LTCG in ITR 1 provided it is exempt u/s 10(38). In case you have any taxable LTCG, you can use the other income tax return forms that are applicable. Additionally, it is necessary to e file tax returns if LTCG exceeds INR 2.5L even if your income is below taxable limit.
Is it necessary to add dividend income from mutual funds?
Yes. Dividend income from mutual funds is exempt u/s 10(35). It is shown in the Part D under the head Exempt Income (others).
I have no due refund. Do I still have to enter my account details in the return?
Yes, it is mandatory to fill in your bank account details, whether you have refund due or not. This is because it has been noticed that many taxpayers end up paying more than their required tax liability. In such cases, it is important for the Income Tax Department to send refunds within a certain amount of time.
How many returns can I file using the same mobile number and e-Mail address?
You can only file 10 returns using the same e-Mail ID and mobile number.