The government collects taxes from a different category of people based on their income, profession and business. While you file your IT Returns it is always recommended that you check if you are eligible for filing a particular ITR form.
In this guide, we will be discussing about the ITR 1 form or Sahaj form, another name for this form, eligibility for filing this form and the complete process of filing this form.
ITR-1 or Sahaj form is the simplest one-page form which should be filed by individuals having an income up to Rs 50 lakhs. This income can be from the following sources:
If you have income above Rs 50 lakhs, then you cannot file ITR-1. The form will not find applicability if, your income includes the following:
[ Read: Which ITR to File ]
Click the above image to download the sample ITR-1 Form for AY 2018-19
The simplified structure of ITR-1 form includes the following sections:
In this section you are required to fill your personal details like name, sex, age, residential status, address, contact number, etc.
Here you can fill in details of income from salary / pension as mentioned in Form 16 or TDS certificate issued by your employer. If there was more than one employer during the year then give the details in respect of total salaries received from various employers. If you have any interest income or rental income or loss (on account of housing loan interest) from a single house property then you can fill it here. In case of loss, use ITR 2.
In this part one needs to fill all the relevant details of your tax saving investment or expenses eligible for tax deductions and total taxable income after calculation.
You have to now club Advance tax, Self-assessment Tax, TDS, TCS under ‘Total Tax Paid’. You also need to enter details of all exempt income, e.g., dividend income, agricultural income, etc.
Here, you are required to give the details of all the savings and current accounts held by you at any time during the previous year (excluding dormant accounts not operational for more than 3 years). You have to submit the details of cash deposited in any account other than the current and savings account (viz. loan accounts, etc). However, details of cash deposited are to be provided, if the aggregate amount of cash deposited during the period from 9th November, 2016 to 30th December, 2016 is Rs 2 lakhs or more.
If you have paid any advance tax or some self-assessment tax then enter the details viz. BSR code of the bank through which the payment was made, date of payment, serial number of the challan and amount of the taxes paid against that challan.
You have to give the details as per Form 16 issued by the employer / employers in respect of salary income. You have to mention the details as per Form 16A issued by a person in respect of interest income and other sources of income. Also, furnish the details of TCS as per Form 27D issued by the tax collector.
In the verification section, you have to fill the date and sign in the space given. The Income Tax Department will not accept your return if there is no valid signature.
You must not attach any document (including TDS certificate) to this return form. If you enclose such documents with this return form, then it will be detached and returned to you.
People, who are over 80 years of age or individual and HUF with total income less than Rs 5 lakhs and no claim of refund in the return of income, have the option to file a tax return in paper form. Only one copy of the return form is required to be filed. You will receive an acknowledgement from the Income Tax Department after submission of your physical paper return; after that acknowledgement/ITR-V should be duly filled.
[ After Filing ITR-1: Read how to send your ITR-V to CPC Banglore ]
|Changes in ITR-1||Details|
|More details of salary and house property income||Old ITR form required the taxpayers to report only the taxable amount but the new ITR forms require you to report detailed calculation of income from salary and house property.|
|Penalty for late filing of ITR||A new field has been added where the late filers need to provide the details of late filing fees paid.|
|Claiming relief under DTAA||The form now asks the taxpayer claiming relief as per DTAA to report more details like rate as per treaty, rate as per I-T Act and applicable rate etc.|
|Claiming exemption on capital gains||The taxpayers now need to provide more details in the form if they are claiming capital gains exemption.|
All these changes have been made by the tax department in the ITR form are aimed at making the assessment procedure online. Therefore, we can see that the department is seeking more and more information from the taxpayers to facilitate e-assessment.
|Changes in ITR-1||Details|
|Mandatory Quoting of Aadhaar Number||As per section 139AA, taxpayers must quote Adhaar number or Adhaar enrolment number while filing ITR|
|Disclosure of cash deposited during demonetization||If you have deposited Rs 2 lakhs or more then, you need to report cash deposited by you in all the bank accounts during the period from 9th November, 2016 to 30th December, 2016|
|Disclosure of all bank accounts||Details of all savings and current accounts except dormant (not operational for more than 3 years) accounts|
|Simplified one-page ITR Sahaj (Form 1) for salaried class||1. The govt. has removed columns that are not used frequently by taxpayers.|
2. But, retained deductions column often used by taxpayers under section 80C, 80D, 80G and 80TTA. To claim deduction under another provision of chapter VI-A, you can mention that section in the column titled as ‘Any Other’.
3. Schedules of TDS and TCS have been merged in one.
4. Addition of a new column to report dividend income as well as long-term capital gains exempt under Section 10(34) and Section 10(38) respectively.
Since ITR 1 is an annexure less form, you are not required to attach any document with your Income Tax Return.
You must declare the details of all the savings and current accounts that you hold at any time during the previous financial year under ‘Part E – other information sector’ of the ITR form. The account numbers that you mention should be as per the Core Banking Solution System or CBS. In case of refund, you will have to specify which account you want to use.
However, declaring the details of dormant account, accounts which are not operational for more than 3 years, are optional.
Yes, you will have to mention your dividend income received from Mutual Funds before ‘Part E – other information’ under the Exempt Income (others) head. It has to be declared under that head since the dividend income from Mutual Funds is exempt from tax under Section 10(35).
In case your annual agricultural income is less than or equal to Rs 5,000, you can file ITR-1 Sahaj form. If your agricultural income is more than Rs 5,000, you are required to file ITR-2.
The Income Tax Department has put a limit where only 10 assessees can be registered using one mobile number and one email ID.