Common ITR Form: The Central Board of Direct Taxes has introduced a draft of a common ITR form, making changes in the ITR form.
Common ITR Form: There is big news for those filing income tax returns. The Central Board of Direct Taxes (CBDT) has released the draft Common ITR Form. Common ITR form will make tax filing easier for taxpayers. CBDT has sought opinion on the Common ITR Draft by December 15.
According to CBDT, this common ITR form will make tax filing easier for the people. CBDT has sought opinion on the Common ITR Draft by December 15. The Central Board of Direct Taxes has said that in the proposed common ITR form, all types of taxpayers except trusts and non-profit organizations will be able to file returns.
A lot of information to be filled in advance: There are currently seven types of ITR forms in circulation for different categories of taxpayers. According to the CBDT, there will be a common form for tax filing from ITR-1 to ITR-6, only ITR-7 will be different. ITR-1, ITR-4 will also continue. With the introduction of common ITR, it will be easier for people to file taxes. There will be no need to look for schedules that are not applicable to them. In the new form, a lot of information will be prefilled i.e. already filled.
Return Filing Easier: According to CBDT, a common ITR form will be brought for taxpayers other than trusts and NGOs, i.e. all other than ITR-7 form will be merged into one. Although ITR-1 and ITR-4 will continue, taxpayers will also have the option to choose a common ITR form. CBDT says that the objective of introducing common ITR form is to simplify return filing and save time. In the new form, taxpayers will not have to look at any such schedules, which are not of their use, so their convenience will increase.
The purpose of draft ITR is to bring ease in filing returns and significantly reduce the time taken by taxpayers to file ITR. Currently, taxpayers are required to file their IT returns in ITR-1 to ITR-7 depending on the type of person and source of income. The CBDT said that this Common ITR prepared on the basis of suggestions received from all the stakeholders will be notified and the Income Tax Department will also inform about its online usage.
