Income Tax

Filing Form ITR 1 on the Income Tax Portal

The Income Tax Act 1961 lays down rules concerning payment of income tax in India. Therefore those coming under the ambit of taxable bracket should pay taxes within the due date. They should also file income tax return by selecting the appropriate ITR form. Submission of wrong form will mean that you will have to re-file. In this article, we shall discuss about filing form ITR 1 on the income tax portal. 

What is Form ITR 1?

ITR 1 has to be filed by those whose taxable income is up to 50 lakh rupees. The source of such income can be from:

• Salary/pension;
• One house property; or
• Other sources.

Form ITR 1 is a return form that is filed by majority of salaried professionals in India. In case you have capital gains or have more than one property in India, then you will not be eligible to file this form. Further, in case where your spouse or minor child income is clubbed with yours, then you can file ITR 1 if the clubbed income falls under 50 lakh rupees.

It may be noted that no document should be attached to this form. Moreover, the assessee should file just one copy of the form, and if it was filed physically then, ITR V should also be filed.

Who is not eligible for filing Form ITR 1?

The following person cannot use this form:

1. A person who is a director in any company or a firm having any unlisted equity shares at any time during financial year;
2. Residents not ordinarily resident and non-residents can’t file returns through this form;
3. Any person with an income of more than 50 lakh rupees;
4. Individuals earning income through the following means also cannot file this form:
   • More than one house property;
   • Gambling, lottery, racehorses etc.;
   • Agricultural income more than 5000 rupees;
   • Taxable capital gains;
   • Business and profession;
   • An individual who is a resident and has assets outside India or signing authority in any account outside India;
   • Individual claiming relief of foreign tax paid/double taxation relief u/s 90/90A/91.

Structure of Form ITR 1

Form ITR 1 has the following parts:

• Part-A

General Information such as PAN, Date of birth, Name, Contact number, e-mail address etc.

• Part-B

Details of gross total income such as salary, deductions, standard deductions, income from house property and other sources.

• Part-C

Deductions such as Government pension schemes, medical treatment, health insurance, donations to charitable trusts etc.

• Part-D

Computation of Tax payable.

• Part-E

Other information such as details of bank account of the assessee.

Filing Form ITR 1: Procedure

The procedure to file this form is as follows:

• Log in to the IT department’s official portal^[1] with your credentials;
• Go to e-file >> Income Tax Return;
• Select the assessment year and select the name of the form and click continue;
• Read the instructions tab before filing return;
• The general information tab should be verified;
• The assessee should go through all information that is auto-populated;
• In case where tax is due then the taxpayer shall file a self-assessment tax before going forward;
• When the submission is done, you may download a copy, and if you find any errors, then you can make corrections by editing it;
• Click on proceed for final submission;
• Verify it through DSC or EVC. You will be prompted to provide verification mode details at the start;
• The acknowledgement will be sent to your registered mail ID, or download it from the official website of the income tax website.

Documents Required

The following documents should be kept ready while filing this form:

• Form 16 which is issued by employers for the given financial year;
• Form 26AS;
• Receipts- In case you haven’t been able to submit proof of certain exemptions/deductions to your employer, then ensure that you keep these receipts handy;
• PAN card;
• Bank investment certificate.

Filing Form ITR 1 for AY 2021-22: Major Changes

The following are some of the major changes incorporated in the ITR form:

• A taxpayer will not file ITR 1 in case where TDS is deducted u/s 194N. According to Section 194N, the tax will be deducted at source in case where the non-filers of the ITR withdraw cash more than the amount of 20 lakh rupees. In other cases, the tax would be deducted when the cash withdrawals is more than 1 crore rupees in a financial year.
•  There is no option to carry forward TDS under section 194N. The credit of TDS under Section 194 N will be permitted only during the year when TDS was deducted.
• Individuals’ or HUFs‘ are provided the option to select old or new tax regime. In case where the taxpayer picks a new tax regime u/s 115 BAC, he should file Form 10IE before filing ITR u/s 139 (1).
• The ITR Form for AY 2020-21 was modified by inclusion of new schedule DI. It allowed taxpayers to get deduction made during the extended period for AY 2020-21. The schedule DI is removed from AY 2021-22.

Conclusion

Filing Form ITR 1 within the due date is necessary, which will help you to avoid paying late fees and penalties. To remind you again, ITR 1 has to be filed by those whose taxable income is up to 50 lakh rupees.

Read our article:A Complete guide on filling ITR‐4 SUGAM