In a move which will link direct taxes data with indirect taxes, the income tax department has asked for businesses to provide their Goods and Services Tax (GST) identification number and turnover in the newly notified Income Tax Return forms for the assessment year 2018-19. The salaried class will now have to provide details of allowances that are not exempt, value of perquisites, profit in lieu of salary and deductions claimed under section 16 of Income-tax Act.

The Central Board of Direct Taxes has, however, done away with the requirement of providing details about cash deposits after demonetisation.

Taxpayers opting for presumptive taxation scheme are now required to to give details of business such as amount of secured/unsecured loans, advances, fixed assets, capital account. Earlier, they were required to file only four financial particulars of the business: total creditors, total debtors, total stock-in-trade and cash balance in ITR-4.
A new schedule has been inserted in ITR 6 which requires every company, who is not required to get its accounts audited under Section 44AB, to provide details about transactions in exempt goods or services, transactions with composite suppliers, transaction with a registered or unregistered supplier under GST during the year.

All the seven ITRs are to be filed electronically except for some category of taxpayers. The most basic ITR-1 or Sahaj is to be filled by the salaried individual who “is resident other than not ordinarily resident and having income of up to Rs 50 lakh and who is receiving income from salary, one house property or other interest income”.
The ITR-2 has been rationalised for individuals and HUFs (Hindu Undivided Families) having income under any head other than business or profession. “The individuals and HUFs having income under the head business or profession shall file either ITR-3 or ITR-4 in presumptive income cases,” a CBDT statement said.

In case of non-resident taxpayers, the requirement of furnishing details of any one foreign bank account has been continued like the last time for the purpose of credit of refund, it said. Space has also been provided in forms to either mention the 12-digit Aadhaar number or the 28-digit enrolment Aadhaar ID, as was the case in last years’ forms.

Tax experts said that the new ITR forms are focused on seeking more information from unlisted companies. Naveen Wadhwa, Deputy General Manager, Taxmann said, “There are more than 25 key changes in current year ITR forms in comparison to last year. Some of these changes clearly suggest that the focus of new ITR forms is to get more information from unlisted companies, trusts and taxpayers who have opted for presumptive taxation scheme. Further, the ITR forms also require the business entities to report the GST transaction which would help the department to independently reconcile the transactions reported by them in income-tax return and GST returns.”