Central Board of Direct Taxes has notified the new ITR Forms AY 2017-18 (for FY 2016-17). In order to make Income Tax Return filing easy, quite a few changes in ITR Forms have been implemented.
The new ITR forms in PDF format have been made available, while the excel utilities (or) Java Utilities for AY 2017-18 will soon be made available on incometaxindia e-filing website.
What is AY & FY?
Financial year (FY) is the year in which you have earned the income. If you are filing a return this year, the financial year will be 2016-17.
For example, if you have had an income between 1st April 2016 and 31 March 2017, then 2016-17 will be referred to as FY. Assessment Year (AY) is the year in which you file returns i.e., 2017-18. The last date to file returns for the financial year 2016-2017 is July 31st 2017 (as of now).
Income Tax Slabs & Rates for FY 2016-17 (AY 2017-18)
The below table gives you clear idea about Income tax slabs / rates for all Tax payer categories. (For general category, Senior Citizens & Very Senior Citizens).
Income Tax Returns Filing & New ITR Forms AY 2017-18 | Which ITR Form should you file?
Below are the main details about new ITR forms. You can download the ITR Forms which are in PDF format.
- The number of ITR Forms have been reduced from the existing nine to seven forms.
- Kindly note that it is now mandatory to quote your Aadhar number / Aadhar Enrollment ID and also disclose Cash deposits of more than Rs 2 lakh made during demonetisation period (between 9-Nov-2016 & 30-Dec-2016). (Quoting of Aadhaar number in ITR forms is not mandatory for NRIs / individuals who are not citizens of India / who are above 80 years of age / who are residing in States of Jammu & Kashmir, Meghalaya & Assam.)
- The existing ITR Forms ITR-2, ITR-2A and ITR-3 have been rationalized and a single ITR-2 has been notified in place of these three forms.
- The existing ITR 4 has been re-numbered as ITR 3.
- ITR 4S (Sugam) is now ITR 4 (Sugam).
- All ITR forms have to be filed electronically. The only exception being ; in the case of individuals of the age of 80 years or more, whose income does not exceed Rs 5 lakh and who has not claimed any refund in the return of income, have an option to file return in paper form.
New ITR 1 (Sahaj) Form For Assessment Year 2017-18 :
- The existing multiple pages ITR 1 form has now been simplified into a single page ITR Form.
- ITR 1 Form (Sahaj) can be filed by an individual having income of up to Rs 50 lakh from salary, one house property and interest income.
- In this ITR form, important tax deductions like Section 80C, 80D, 80G & 80TTA have only been provided. For other tax deductions, you can just mention the section and amount details.
- If you have LTCG of Rs 2.5 Lakh or more, It is mandatory to e-file tax returns, even if your total taxable income may be below Rs 2.5 lakh.
- A separate provision has been provided to disclose Long Term Capital Gains (LTCG) as Exempt income under section 10 (38).
- A separate provision has been provided to disclose Dividend income received from an Indian company as Exempt income under section 10 (34).
- Click here to download new simplified ITR 1 Form for AY 2017-18.
New ITR 2 Form for Assessment year 2017-18 :
- ITR2 form can be filed by an Individual or Hindu Undivided Family (HUF). This form can be used if you have;
- Salary or Pension Income
- Income under the head ‘Capital Gains’
- Income from multiple houses
- No business / professional income under any proprietorship
- An asset in foreign country or income from a source outside India
- Agricultural income of more than Rs 5,000
- Income from lottery or horse racing
- If your income is more than Rs 50 Lakh, ITR 2 has a Schedule AL requiring assessees to declare their assets and liabilities at the end of the fiscal.
- Click here to download new ITR 2 Form.
New ITR 3 for AY 2017-18 Income tax filing
- The existing ITR 4 is now re-numbered as ITR 3 form.
- New ITR 3 form is for individuals and HUFs having income from a proprietary business or profession (or having income as a partner in a Partnership firm).
- This ITR covers all kind of businesses and professions irrespective of any income limit. Assesse can also report his income from salary, multiple house properties, lottery winnings, capital gains, speculative income i.e. horse race in ITR3 together with the Business Income.
- Click here to download new ITR 3 Form.
New ITR 4S (Sugam) form for AY 2017-18
- This form can be used by individuals who have;
- Presumptive income from Business or Profession.
- No Capital Gains
- Agricultural Income which is less than Rs 5k
- No asset in foreign country or no income from a source outside India
- Income from one house property
- Income from other sources
- Click here to download new ITR 4S form.
Latest Update (31-July-2017) : Income Tax Return filing deadline for AY 2017-18 has been extended till 5th August, 2017. (Source : ET)
Continue reading :
(Image courtesy of Stuart Miles at FreeDigitalPhotos.net) ( (Post first published on 31-March-2017) (This post will be updated with more information after going through the latest ITR forms in detail..)
This post was last modified on July 11, 2023 6:25 pm
View Comments
While filing online when my entered my 28-digit Aadhaar Enrollment ID was rejected as not valid. But it is!
My income chargeable under the head salaries is just crossing 50 lacs, while the total taxable income is just below 50 lacs (49,5 lacs)? Should I file ITR1 or ITR2 ?
Dear Suresh .. I believe that you may have to file ITR 2 form.
Hi,
I am an NRI staying in USA. I paid tax in US on the bonus I received from my company in India. Which ITR I need to file and what details I need to submit to avoid double taxation.
Thanks,
Sarath
Dear Sarath ..You may kindly go through this article..
Hi sreekanth,
My father was a government employee of AP. Now he is retired. Do i need to select government or Not applicable in Employer category in ITR 1 in PART A General Information. He gets pension every month.
Dear Lakshmi.. He can select Govt as the option..
Thank you Sreekanth. I will write as Govt. He is getting the pension from Govt and no TDS is deducted. He was a state Govt employee
IN A.Y 2017-16, I HAVE INCOME FROM SALARY, OTHER SOURCES & SHORT TERM CAPITAL GAIN (INCL SET OFF FOR B/F SHORT TERM LOSS). WHILE FILING & UPLOADING ONLINE RETURN IN INCOME TAX E-FILING WEBSITE, I AM GIVEN OPTION OF ITR-1 & 4 ONLY. PLEASE SUGGEST WHICH FORM SHOULD I FILE.
Dear SHRUTI ..You can file ITR 2 form.
BUT I CAN'T FIND THIS ITR IN THE OPTION AVAILABLE WHILE FILING ONLINE RETURN IN THE INCOME TAX E-FILING WEBSITE.
Dear SHRUTI,
You need to download excel utility of ITR 2 form, complete it, generate XML file and upload it. You may then e-verify it.
The excel utilities are available on e-Filing website, under Downloads link (home page).
the excel utilites are for 15-16..can we use the same?
Dear Sreekanth,
Tax audit requirement on intraday trading(speculative business) is confusing. Can you please clarify on this, I have speculative loss of 1k on turnover(total value of profit/loss) of 12k. Should I get an audit done on this speculative business? Or is it fine just to mention losses in ITR-3 to carry forward.
Dear Kishore ..I dont think tax audit is required in this case..
Thanks Sreekanth, for clarify.
I bought a under-construction flat and making payment with 1% TDS cut. Yesterday I checked my 26AS , it shows one wrong entry (immovable property for seller). That wrong entry is visible in immovable property for buyer which is correct one. To whom I should contract for removing that entry in 26AS. Was it due to same PAN,TAN number for me or some-thing else
Dear Hari..You may kindly go through this article..can be useful to you.
Dear Sreekanth,
My mother is 74 yrs old, and has the following incomes:
1. FD income from bank
2. PPF interest income
3. LIC annuity income
4. Interest from 54 EC bonds
5. Dividend income (duration of equities is more than 1 year)
6. Sale of debt funds (duration of funds is less than 1 year)
1. She received an interest free loan from her son-in-law for Rs 5 Lakhs. Please advise this should be reflected in which section?
2. Sum total of all exempt incomes is 7L and taxable income is 5L (both of these amounts do not include the 5L loan). Please advise if ITR-2 should be used.
3. Additionally, she made a charitable donation of Rs 51 thousand to a temple, for which she does not have the PAN number of the receiver. In which section of the ITR can this be shown?
Dear James,
1 - Not required to be shown in ITR.
2 - She can file ITR 2 form.
PPF interest income & dividend income are tax-exempted. Interest income on FD & annuity income can be shown under the head 'income from other sources'.
Kindly read : MF taxation rules.
3 - Donations can be claimed under Section 80G. Kindly go through this article..
Thank you.
Dear Sir,
I have income from salary,interest , dividend,long term gain .Also buy back of listed equity(delisted in 2016) STT paid at purchase but STT not paid at buyback as shares transferred directly to company.I have traded in commodity future and made loss.
Which ITR form shall be filled.
Thanks & Regards,
Shridhar
Dear Shridhar ..I believe that you may have to file ITR 3 form.
For salaried employees, whose income exceeds 50L, should they fill ITR-4 or ITR-2. No capital gain though. Generating XML for ITR-1 fails if income more than 50L
Dear Hari ..ITR 2 form can be filed.
Hi Sreekanth
I have income from Salary, FD interest, savings account interest.
I have exempt income from Mutual fund dividends, PPF interest.
There are no capital gains to declare from MFs as i have not sold any for the FY.
Can I use ITR1 ?
If yes, whereI declare PPF Interest in "Others" column in EI ?
And do MF dividends go under Section 10(34)?
Dear Harsha,
Yes, you can file ITR 1 form.
You can disclose the PPF interest income under 'Others' column and Dividend income u/s 10(34)...of Exempt Income section.
Hi Sreekanth
A follow-up query.
Till last year, we were supposed to use ITR2 if exempt income (MF dividends, PPF Interest) crossed Rs5000. This year, have the rules been changed that we can report this in ITR1 itself ? I dont have any agricultural income or any Capital Gains
Dear Harsha,
I believe that rule for exempt income more than Rs 5k has been removed.
I have seen tax assessees filing ITR-1 with high value Exempt income, as of now no issues..
If you do not have Agri income then I think you can file ITR 1 form.
Thanks a lot Sreekanth for the prompt reply !