The Central Board of Direct Taxes has issued the Income Tax Return (ITR) forms for Fiscal Year 2022-23. (CBDT). Due to the rapid distribution of forms, you can file ITR as soon as the fiscal year ends. While the tax forms remain essentially unchanged, there are a few changes in the new ITR forms.
ITR Forms for Various Taxpayer Categories
ITR-1 and ITR-4 are more basic forms that serve a significant number of small and medium-sized taxpayers.
An individual with an income of up to Rs 50 lakh from wages, one house property, and other sources can submit an ITR-1 (interest, etc). Individuals, Hindu Undivided Families (HUFs), and firms with a total income of up to Rs 50 lakh and income from business and profession can submit ITR-4.
People who earn a living from the residential property must file ITR-2.
Professionals file ITR-3, whereas LLPs and corporations file ITR-5 and ITR-6.
Latest Changes in the ITR Forms
Taxpayers should be aware that the ITR forms have remained mostly unchanged. There are a few major changes, though, that taxpayers should be aware of.
There have been no changes to ITR-1
The ITR-1 form has not changed. It is still available to individuals with an income of up to 50 lakh, as well as those with income from salary, property, or other sources.
Reporting Virtual Digital Asset Income
A new system for reporting Income from Virtual Digital Assets has been incorporated into the remaining ITR forms under the section on Capital Gains. Under the new method, taxpayers must declare the date of acquisition, date of transfer, cost of acquisition, and funds received on the sale of VDAs. It's also worth noting that VDA profits must be declared.
