With the deadline for filing income tax returns (ITR) approaching, we a look at the significant changes in the process this year. We tell you how to zero in on the right form for filing your ITR this year, among other things.
Important Changes The deadline for filing ITR for Assessment Year (AY) 2020/21 by individual taxpayers has been extended to November 30, 2020. The last date for filing revised or late ITR for AY 2019/20 has also been extended to November 30. You can now claim new deductions under Section 80EEA for interest paid on loan for affordable housing and under Section 80EEB for interest paid on loan for an electric vehicle according to the Finance (No. 2) Act, 2019.
In fact, you can now file ITR even without PAN. “The taxpayer can quote ‘Aadhaar’ number instead of ‘PAN’ where PAN has not been allotted in various places in the ITR. The amendment is in accordance with the interchangeability of PAN and Aadhaar introduced in the Finance Act (No. 2) Act, 2019,” says Archit Gupta, Founder and CEO, ClearTax.
ALL THAT’S NEW
Last date for filing ITR for AY 2020/21 extended to November 30, 2020
The extension is applicable on revised/ late tax returns of AY 2019/20 as well
An individual can now quote Aadhaar instead of PAN in various schedules of ITRs
'Schedule DI' has been introduced to claim deduction for investments made during the extended period — April 1, 2020 to July 31, 2020
A new schedule has been added for deduction under Section 80D to calculate total deduction for health insurance premium
Now, joint house owner can file ITR-1 and ITR-4
Tax filing is mandatory in case you have deposited more than ₹1 crore in current account, or aggregate expenditure during the year on electricity bill or foreign travel is above ₹1 lakh and ₹2 lakh, respectively
Salaried employees will have to specify the nature of their jobs as there are changes in the list of employer’s category — Central government, state government, public sector undertaking, pensioners and others.
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November 01, 2020