Income Tax Dept Launches Tax Calculator – e-filing may begin this week
Income Tax Dept Launches Tax Calculator – Officials said the tax calculator has been updated and calibrated by the department as per the new announcements made in respect of tax rates in the latest Budget.
E-filing of income tax returns for individuals for the assessment year 2016-17 will begin sooner this time, while filers can do an easy check and obtain their annual tax liability with an online tax calculator provided by the I-T department.
The ‘tax calculator’ is an online computer-based programme hosted on the website of the tax department and is meant to help taxpayers or filers assess their tax liability.
The tax calculator works once a filer correctly feeds his basic details and information, as notified for the current assessment year by the government.
The e-filing facility for ITR-1 (for individuals having income from salaries, single house property and other sources) and ITR-4 (for individuals and Hindu Undivided Families (HUFs) having income from a proprietary business or profession) is expected to go online and get enabled this week itself.
The other ITRs will be hosted soon after, a senior IT department officer said.
Last year, the e-filing commenced on July 1 as there was delay in finalisation of the ITR forms because of the controversy generated over a 14-page requiring assesses to disclose of bank account and foreign travel details.
Later the form was simplified and the number of pages was reduced to three.
This year, the Central Board of Direct Taxes notified the new forms on March 30 and ITRs can be filed till the stipulated deadline of July 31.
At the time of filing the form, the taxpayer has to fill in his PAN, then personal information and information on taxes paid and TDS will be auto-filled in the form.
Officials said the tax calculator has been updated and calibrated by the department as per the new announcements made in respect of tax rates in the latest Budget.
The facility can be used by any taxpayer whether individual, corporate or any other entity, to compute their tax liability.
However, there is a word of caution from the tax department that filers should not solely rely on it as complicated cases of ITR have different requirements which may not be addressed by the ‘calculator’.
“The calculator is only to enable public to have a quick and an easy access to basic tax calculation and does not purport to give correct tax calculation in all circumstances.
“It is advised that for filing of returns the exact calculation may be made as per the provisions contained in the relevant Acts, Rules etc,” the tax department said in a disclaimer.
The official said the calculator has been hosted on the website of the department– www.incometaxindia.gov.in –, for the ease of all who either do e-filing or manual filing of ITR.
The calculator has been enabled to compute the total tax liability of an individual or any other category of taxpayer under various heads like income from house property, capital gains, profits and gains of business or profession and agricultural income, among others.
A total of nine such ITRs have been notified which include the Sahaj (ITR-1), ITR-2, ITR-2A, ITR-3, Sugam (ITR-4S), ITR-4, ITR-5, ITR-6, ITR-7 and an acknowledgement form called the ITR-V.
ITR 1-SAHAJ, 2 and 2A can be used by individual or Hindu Undivided Families whose income does not include income from business.
ITR 4S – SUGAM can be used by an individual or HUF whose income includes business income assessable on presumptive basis.
Source: Financial Express