Instructions to Form ITR-6 (AY 2017-18)
Instructions for filling out FORM ITR-6
These instructions are guidelines for filling the particulars in this Return Form. In case of any doubt, please refer to relevant provisions of the Income-tax Act, 1961 and the Income-tax Rules, 1962.
1. Assessment Year for which this Return Form is applicable
This Return Form is applicable for assessment year 2017-18 only i.e., it relates to income earned in Financial Year 2016-17.
2. Who can use this Return Form?
This Form can be used by a company, other than a company claiming exemption under section 11.
3. Annexure-less Return Form
Tax-payers are advised to match the taxes deducted/collected/paid by or on behalf of them with their Tax Credit Statement (Form 26AS). (Please refer to www.incometaxindia.gov.in)
4. Manner of filing this Return Form
This Form has to be compulsorily furnished electronically under digital signature to the Income Tax Department.
5. Codes for filling this Return Form
(i) Under the heading ‘Filing Status’ in the Return Form the relevant box needs to be checked regarding section under which the return is being filed on the basis of following.
|
SI. No. |
How the return is filed |
|
i |
On or before the due date as provided under section 139(1) |
|
ii |
After the due date under section 139(1) but before the expiry of one year from the end of relevant assessment year as per section 139(4) |
|
iii |
Revised Return under section 139(5) |
|
iv |
Modified return under section 92CD to give effect to advance pricing agreement entered with the Board |
|
v |
In response to notice under section 139(9) for removal of defects |
|
vi |
In response to notice under section 142(1) |
|
vii |
In response to notice under section 148 |
|
viii |
In response to notice under section 153A/153C |
|
ix |
Under section 119(2)(b) on an application to be made separately before the income-tax authority
(The return shall be treated as valid only after the application/claim/relief under section 119(2)(b) has been admitted by the income-tax authority |
(ii) Under the head Audit Information, if the assessee is liable for Audit u/s 44AB and the accounts have been audited by an accountant, the details of such audit report along with the date of furnishing it (if filed before the return) to the department has to be filled. Further, if the assessee is liable to furnish other audit report the section under which such audit is required and the date of furnishing it to the department (if audit has been carried out under that section) has to be filled. It is mandatory to furnish audit reports (if the audit has been carried out) under the following sections electronically on or before the date of filing the return of income.
| Section under which Audit report is mandatory to be filed electronically (if the audit has been carried out) on or before the due date of-furnishing the return of income | |||
|
Si. |
Section | Si. |
Section |
| 1. | 10(23C)(iv), 10(23C)(v), 10(23C)(vi), 10(23C)(via) | 9. | 80-IB |
| 2. | 10A | 10. | 80-IC |
| 3. | 10AA | 11. | 80-ID |
| 4. | 12A(1)(b) | 12. | 80JJAA |
| 5. | 44AB | 13. | 80LA |
| 6. | 44DA | 14. | 92E |
| 7. | 50B | 15. | 115JB |
| 8. | 80-IA | 16. | 115VW |
(iii) Under the head Audit Information, in (e), fill up the name of the Act, Section and date of furnishing audit report if liable to audit under any Act other than the Income-tax Act.
6. BRIEF SCHEME OF THE LAW- Before filling out the form, you are advised to read the following-
(1) Computation of total income
(a) “Previous year” is the financial year (1st April to the following 31st March) during which the income in question has been earned. “Assessment Year” is the financial year immediately following the previous year.
(b) Total income is to be computed as follows, in the following order:
(i) Classify all items of income under the following heads of income-
(A) “Income from house property”; (B) “Profit and gains from business or profession”; (C) “Capital gains”; and (D) “Income from other sources”. [There may be no income under one or more of the heads at (A), (B), (C) and (D)].
(ii) Compute taxable income of the current year (i.e., the previous year) under each head of income separately in the Schedules which have been structured so as to help you in making these computations as per provisions of the Income-tax Act. These statutory provisions decide what is to be included in your income, what you can claim as an expenditure or allowance and how much, and also what you cannot claim as an expenditure/allowance.
(iii) Set off current year’s head wise loss(es) against current year’s head wise income(s) as per procedures prescribed by the law. A separate Schedule is provided for such set-off.
(iv) Set off, as per procedures prescribed by the law, loss (es) and/or allowance(s) of earlier assessment year(s) brought forward. Also, compute loss (es) and/or allowance(s) that could be set off in future and is (are) to be carried forward as per procedures prescribed by the law. Separate Schedules are provided for this.
(v) Aggregate the head wise end-results as available after (iv) above; this will give you “gross total income”.
(vi) From gross total income, subtract, as per procedures prescribed by the law, “deductions” mentioned in Chapter VIA of the Income-tax Act. The result will be the total income.
(2) Computation of income-tax, surcharge, education cess including secondary and higher education cess and interest in respect of income chargeable to tax
(a) Compute income-tax payable on the total income. Special rates of tax are applicable to some specified
(b) In case, the tax liability computed as above is less than 18.5% of book profit, the company is required to pay minimum alternate tax (MAT) under section 115JB at the rate of 18.5% of the profit. The excess tax so paid is allowable to be carried forward for credit in the year in which tax liability under the normal provisions of the Act is more than MAT liability. Such carry-forward is allowable up to 10 However, in case of an assessee in International Financial Service Centre (IFSC) and subject to the specified conditions the rate of MAT is 9%.
(c) Compute surcharge on the income-tax payable.
(d) Add Education Cess including secondary and higher education cess at the rate of 3% on the tax payable and surcharge thereon.
(e) Claim relief(s) as prescribed by the law, for double taxation and calculate balance tax payable.
(f) Add interest payable as prescribed by the law to reach total tax and interest payable.
(g) Deduct the amount of prepaid taxes, if any, like “tax deducted at source”, “advance-tax” and “self- assessment-tax”. The result will be the tax payable (or refundable).
7. Instructions for filling out this Form
(i) The codes for nature of business to be filled in ‘Part-A- Nature of business’ are as under-
|
Sector |
Sub- Sector |
Code |
| (1) Manufacturing Industry |
Agro-based industries |
0101 |
| Automobile and Auto parts |
0102 |
|
| Cement |
0103 |
|
| Diamond cutting |
0104 |
|
| Drugs and Pharmaceuticals |
0105 |
|
| Electronics including Computer Hardware |
0106 |
|
| Engineering goods |
0107 |
|
| Fertilisers, Chemicals, Paints |
0108 |
|
| Flour & Rice Mills |
0109 |
|
| Food Processing units |
0110 |
|
| Marble & Granite |
0111 |
|
| Paper |
0112 |
|
| Petroleum and Petrochemicals |
0113 |
|
| Power and energy |
0114 |
|
| Printing & Publishing |
0115 |
|
| Rubber |
0116 |
|
| Steel |
0117 |
|
| Sugar |
0118 |
|
| Tea, Coffee |
0119 |
|
| Textiles, handloom, Power looms |
0120 |
|
| Tobacco |
0121 |
| Tyre | 0122 | |
| Vanaspati & Edible Oils | 0123 | |
| Others | 0124 | |
| (2) Trading | Chain Stores | 0201 |
| Retailers | 0202 | |
| Wholesalers | 0203 | |
| Others | 0204 | |
| (3) Commission Agents |
General Commission Agents | 0301 |
| (4) Builders | Builders | 0401 |
| Estate Agents | 0402 | |
| Property Developers | 0403 | |
| Others | 0404 | |
| (5) Contractors | Civil Contractors | 0501 |
| Excise Contractors | 0502 | |
| Forest Contractors | 0503 | |
| Mining Contractors | 0504 | |
| Others | 0505 | |
| (6) Professionals | Chartered Accountants, Companies Secretaries, etc. | 0601 |
| Fashion designers | 0602 | |
| Legal professionals | 0603 | |
| Medical professionals | 0604 | |
| Nursing Homes | 0605 | |
| Speciality hospitals | 0606 | |
| Others | 0607 | |
| (7) Service Sector | Advertisement agencies | 0701 |
| Beauty Parlours | 0702 | |
| Consultancy services | 0703 | |
| Courier Agencies | 0704 | |
| Computer training/ educational and coaching institutes | 0705 | |
| Forex Dealers | 0706 | |
| Hospitality services | 0707 | |
| Hotels | 0708 | |
| I.T. enabled services, BPO service providers | 0709 | |
| Security agencies | 0710 | |
| Software development agencies | 0711 | |
| Transporters | 0712 | |
| Travel agents, tour operators | 0713 | |
| Others | 0714 | |
| (8) Financial Service Sector |
Banking Companies | 0801 |
| Chit Funds | 0802 | |
| Financial Institutions | 0803 | |
| Financial service providers | 0804 | |
| Leasing Companies | 0805 | |
| Money Lenders | 0806 | |
| Non-Banking Finance Companies | 0807 | |
| Share Brokers, Sub-brokers, etc. | 0808 | |
| Others | 0809 | |
| (9) Entertainment Industry |
Cable T.V. productions | 0901 |
| Film distribution | 0902 | |
| Film laboratories | 0903 | |
| Motion Picture Producers | 0904 | |
| Television Channels | 0905 | |
| Others | 0906 | |
| (10) Other Sector [other than (1) to (9) above] |
1001 |
8. SCHEME OF THE FORM
The Scheme of this form follows the scheme of the law as outlined above in its basic form. The Form has been divided into three parts. It also has schedules. The details of these parts and the schedules are as under:-
(i) Part-A has six sub-divisions as under-
(a) Part A-GEN mainly seeks general information requiring indemnificatory and other data;
(b) Part A-BS seeks the balance sheet as on 31stMarch, 2017;
(c) Part A-P&L seeks information regarding the Profit and loss account for the financial year 2016-17;
(d) Part A-OI seeks other information. It is optional in a case not liable for audit under section 44AB
(e) Part A-QD seeks information regarding quantitative details of the principal item of goods traded. It is optional in a case not liable for audit under section 44AB.
(f) Part A-OL is to befilled in case of company under liquidation.
(ii) The second part, i.e, Part-B is regarding an outline of the total income and tax computation
in respect of income chargeable to tax.
(iii) There are 31 schedules details of which are as under-
(a) Schedule-HP: Computation of income under the head Income from House Property
(b) Schedule-BP: Computation of income under the head “profit and gains from business or profession”
(c) Schedule-DPM: Computation of depreciation on plant and machinery under the Income-tax Act
(d) Schedule DOA: Computation of depreciation on other assets under the Income-tax Act
(e) Schedule DEP: Summary of depreciation on all the assets under the Income-tax Act
(f) Schedule DCG: Computation of deemed capital gains on sale of depreciable assets
(g) Schedule ESR: Deduction under section 35 (expenditure on scientific research)
(h) Schedule-CG: Computation of income under the head Capital gains.
(i) Schedule-OS: Computation of income under the head Income from other sources.
(j) Schedul e-CYLA: Statement of income after set off of current year’s losses
(k) Schedule-BFLA: Statement of income after set off of unabsorbed loss brought forward from earlier years.
(l) Schedule- CFL: Statement of losses to be carried forward to future years.
(m) Schedule –UD: Details of un absorbed depreciation.
(n) Schedule- ICDS: Statement of effect of income computation disclosure standards on
(o) Schedule- 10A: Computation of deduction under section 10A
(p) Schedule- 10AA: Computation of deduction under section 10AA
(q) Schedule- 80G: Details of donation entitled for deduction under section 80G
(r) Schedule- 80IA: Computation of deduction under section 80IA
(s) Schedule- 80IB: Computation of deduction under section 80IB
(t) Schedule- 80IC or 80IE: Computation of deduction under section 80IC or 80 IE
(u) Schedule-VIA: Statement of deductions (from total income) under Chapter VIA.
(v) Schedule-SI: Statement of income which is chargeable to tax at special rates
(w) Schedule-EI: Statement of Income not included in total income (exempt incomes)
(x) Schedule-PTI: Statement of income from Business Trust or Investment Fund as per section 115 UA, 115 UB.
(y) Schedule-MAT: Computation of Minimum Alternate Tax payable under section 11 5JB
(z) Schedule-MATC: Computation of tax credit under section 1 15JAA
(aa) Schedule-DDT: Details of payment of Dividend Distribution Tax
(bb) Schedule BBS: Details of tax on distributed income of domestic company on buy back of shares, not listed on stock exchange
(cc) Schedule FSI: Details of income accruing or arising outside India
(dd) Schedule TR: Details of Taxes paid outside India
(ee) Schedule FA: Details of Foreign Assets and Income
9. GUIDANCE FOR FILLING OUT PARTS AND SCHEDULES
(1) General
(i) All items must be filled in the manner indicated therein; otherwise the return maybe liable to
be held defective or even invalid.
(ii) If any item is inapplicable, write “NA” against that item.
(iii) Write “Nil” to denote nil figures.
(iv) Except as provided in the form, for a negative figure/ figure of loss, write “-” before such
(v) All figures should be rounded off to the nearest one rupee. However, the figures for total
income/ loss and tax payable be finally rounded off to the nearest multiple of ten rupees.
(2) Sequence for filling out parts and schedules
(i) Part A
(ii) Schedules
(iii) Part B
(iv) Verification
10. PART A-GEN
Most of the details to be filled out in Part-Gen of this form are self-explanatory. However, some of the details mentioned below are to be filled out as explained here under:-
(a) Taxpayers are advised to mandatory fill up the address columns carefully and provide correct Similarly type of company needs to be filled mandatory;
(b) Under the head “Filing status” in the Form, filing of “Residential Status” is mandatory;
(c) Tax payers are advised to furnish their correct mobile number and e-mail address so as to facilitate the Department in sending updates relating to demand, refund etc. In case a return is filed by an intermediary/professional, the email address of the intermediary as well as the assessee may be provided;
(d) The sections under which the return is filed are given in instruction No. 5.
(e) In case the return is being filed by you in a representative capacity, please ensure to quote your PAN in item
“PAN of the representative assessee”. In case the PAN of the person being represented is not known or he has not got a PAN in India, the item for PAN in the first line of the return may be left blank. It may please be noted that in the first line of this form, the name of the person being represented be filled.
11. PART A-BS AND PART A-P&L
(a) The Balance Sheet as on 31st March, 2017 and the profit and loss account for financial year 2016-17 in the formats provided in these parts have to be filled in respect of business or profession carried out by you during the financial year 2016-17 if you were required to maintain accounts of the business or profession during the year.
(b) In case, accounts of the business or profession were required to be audited, the items of balance sheet and profit and loss account filled in the these parts should broadly match with the audited balance sheet and profit and loss account.
(c) The related parties referred to in the Balance Sheet are as per schedule III of the Companies Act, 2013.
12. (I) PART A- OI AND PART A-QD
(a) If the accounts of the business or profession were not required to be audited under section 44 AB, it is optional to fill these parts.
(b) Where the accounts of the business or profession were required to be audited under section 44 AB, the details to be filled in these parts which are also required to be reported in the report of audit by the auditors, should broadly match with the details as given in the report of audit.
(c) Purchases are to be shown exclusive of taxes and the details of taxes paid on the purchases are to be indicated separately in the relevant rows. However, where it is not possible to segregate the details of the different taxes paid on the purchases, the same may be included and shown in the details of
(d) In Part A-QD, the quantitative details may be furnished only in respect of principal items.
(II) PART A- OL
This part is to be filled by the official liquidator in respect of company under liquidation. In respect of such companies filling of Part A-BS and P&L is not mandatory if the same has not been drawn.
13. SCHEDULES
(a) Schedule-HP- The information relating to the percentage of share of the assessee in the co-owned property is mandatory. In case of part ownership of property, the figure of annual value or rent receivable/received in row ‘a’ should be for whole of the property and only after computation of annual value in row ‘e’ the portion chargeable in own hands should be computed in row ‘f’ by multiplying such annual value with assessee’s percentage share in the property. In case the property is co-owned then the assessee needs to furnish the name of the co-owner, PAN and percentage of share of the other co-owner (s) in the property. The results of all the properties have to be filled in last row of this Schedule. Following points also need to be clarified,-
(i) Annual letable value means the amount for which the house property may reasonably be expected to let from year to year, on a notional basis: Deduction for taxes paid to local authority shall be available only if the property is in the occupation of a tenant, and such taxes are borne by the assessee and not by the tenant and have actually been paid during the
(ii) In item 3a, arrears of rent received and the amount of unrealised rent realised subsequently are to be mentioned after deduction @30% of such arrears of rent and unrealised rent
(iii)
(b) Schedule-BP-
(i) The computation in this schedule has to be started on the basis of profit before tax as shown in item 45 of Part-A- P&L.
(ii) In case any item of addition or deduction not covered by the items mentioned in this schedule be filled in residual items 23 and 31 of this schedule.
(iii) In case accounts of business or profession are not maintained, the profit as entered into by you in item 53d of Part A-P&L.
(iv) In case, agricultural income to be excluded on the basis of rule 7A, 7B or 8 (in business of growing and manufacturing tea, coffee etc.), it shall not be included in the item 5c of this
(v) In A-37 net profit or loss from business or profession is to be computed, only in special cases, e.g. business of growing and manufacturing tea, coffee, etc., where rules 7A, 7B or 8 is applicable otherwise, the figure of profit/ loss as computed is A- 36 may be entered.
(vi) Item D of this schedule computes the total of profit or loss from business or profession (item A37 + item B42 + C48). Please note that if balance in item B42 in respect of speculative business is a loss, same shall not be set-off against profit from non-speculative business. In such situation, only the figures of item A37 be entered in item C.
(vii) Item E of this schedule computes the set off of any business loss (other than from speculative business and specified business) with the profits from speculative business and specified business, if any. Losses from speculative business or specified business are not allowable to be set off with normal business profits.
(c) Schedule-DPM, Schedule DOA, Schedule DEP and Schedule DCG: For sake of convenience, computation of depreciation allowable under the Income-tax Act [other than in case of an undertaking generating electricity which may at its option claim depreciation on straight line method under section 32(1)(i)], has been divided into two parts i.e. in schedules DPM (depreciation on plant and machinery)and DOA (depreciation on other assets). The summary of depreciation as per these schedules has to be shown in schedule DEP. Deemed short term capital gain, if any as computed in schedule DPM and DOA has to be entered into schedule DCG.
(d) Schedule ESR: Deduction under section 35 (expenditure on scientific research): In column (2) of this schedule, please furnish the details of deduction to which you are entitled under provisions of this section. In column (1), please enter the amounts of expenses of the nature covered by section 35 which are, if, debited to profit and loss account. Please note that no deduction for depreciation is available in respect of capital asset for which deduction under section 35(1) (iv) has been claimed. Deduction under section 35CCC and 35CCD also be filled in this schedule.
(e) Schedule-CG,-
(i) Capital gains arising from sale/transfer of different types of capital assets have been segregated. If more than one capital asset within the same type has been transferred, make the combined computation for all such assets within the same type. Under short-term capital gains items 4 and 5 are not applicable for residents. Similarly, under long-term capital gains items 5, 6 and 7 are not applicable for residents
(ii) For computing long-term capital gain, cost of acquisition and cost of improvement may be indexed, if required, on the basis of following cost inflation index notified by the Central Government for this purpose.
|
Si. No. |
Financial Year | Cost Inflation Index |
Si. No. | Financial Year |
Cost Inflation |
|
1. |
1981-82 | 100 | 18. | 1998-99 |
351 |
|
2. |
1982-83 | 109 | 19. | 1999-00 |
389 |
|
3. |
1983-84 | 116 | 20. | 2000-01 |
406 |
|
4. |
1984-85 | 125 | 21. | 2001-02 |
426 |
| 5. |
1985-86 |
133 |
22. |
2002-03 |
447 |
| 6. |
1986-87 |
140 | 23. | 2003-04 |
463 |
| 7. |
1987-88 |
150 | 24. | 2004-05 |
480 |
| 8. |
1988-89 |
161 | 25. | 2005-06 |
497 |
| 9. |
1989-90 |
172 | 26. | 2006-07 |
519 |
| 10. |
1990-91 |
182 | 27. | 2007-08 |
551 |
| 11. |
1991-92 |
199 | 28. | 2008-09 |
582 |
| 12. |
1992-93 |
223 | 29. | 2009-10 |
632 |
| 13. |
1993-94 |
244 | 30. | 2010-11 |
711 |
| 14. |
1994-95 |
259 | 31. | 2011-12 |
785 |
| 15. |
1995-96 |
281 | 32. | 2012-13 |
852 |
| 16. |
1996-97 |
305 | 33. | 2013-14 |
939 |
| 17. |
1997-98 |
331 | 34. | 2014-15 |
1024 |
| 35. |
201 5-16 |
1081 | 36. | 2016-17 |
1125 |
(iii) Sections 54/54B/54D/54EC/54EE/54F/54G/54GA mentioned in this schedule provides exemption on capital gains subject to fulfilment of certain conditions. Exemption under some of these sections is available only in respect of long-term capital gains. If any deduction is claimed details in item D to be provided.
(iv) Item C of this Schedule computes the total of short-term capital gain and long-term capital gain. Please note that if balance in item B 10 in respect of long-term capital gain is a loss, same shall not be set-off against short-term capital gain. In such situation, the figure of item B 10 would be entered as 0 and then the figures of item A 9 be added in item C.
(v) Item E of this Schedule provides for set off of current year capital losses with current year capital The schedule separates different category of capital gains (long-term and short-term) into different baskets according to rate at which the same is chargeable to tax. The applicable rate implies the rate of tax at which the normal income of the assessee is otherwise taxable. The figures in column 1 list out the categories of capital gains against which capital loss will be set off. Similarly figures in row ‘i’ provides for different categories of capital losses which will be set off against capital gains in column 1. The figures in row ‘i’ and column ‘1’ will be derived from addition of different fields of schedule CG as indicated. For example if (A3e + A4a) represents a negative figure it will be filled in cell ‘2i’ and if it is a positive figure it will be filled in cell ‘1ii’. The assessee may set off the capital loss of row ‘i’ with any category of capital gains in column ‘1’ except that the long-term capital loss can only be adjusted with any long-term capital gains and the amount of such set off has to be entered into in the relevant rows of columns 2 to 6.
(f) Schedule-OS,-
(i) Against item 1a and 1b, enter the details of gross income by way of dividend and interest which is not exempt.
(ii) Against item 1c, indicate the gross income from machinery, plant or furniture let on hire and also such income from building where its letting is inseparable from the letting of the said machinery, plant or furniture, if it is not chargeable to income-tax under the head “Profits and gains of business or profession”.
(iii) Against item 1d, indicate any other income under the head other sources such as winning from lottery, crossword puzzles etc., income of the nature referred to in section 68, 69, 69A, 69B, 69C or The nature of such income is also required to be mentioned.
(iv) Income from owning and maintaining race horses is to be computed separately as loss from owning and maintaining race horses cannot be adjusted against income from any other source, and can only be carried forward for set off against similar income in subsequent years.
(v) Item 4of this Schedule computes the total income chargeable under the head “Income from other sources”. If balance in item 3c from owning and maintaining race horses is a loss, please enter 0 and enter the total of item 2.
(g) Schedule-CYLA,-
(i) Mention only positive incomes of the current year in column 1, head wise, in the relevant rows.
(ii) Mention total current year’s loss (es), if any, from house property, business or profession and other sources (other than losses from race horses) in the first row against the heading loss to be adjusted under the respective head.. These losses are to be set off against income under other heads in accordance with the provisions of section 71. The amount set off against the income of respective heads has to be entered into in columns 2, 3 and 4, in the relevant rows.
(iii) Mention the end-result of the above inter-head set-off(s) in column 5, head wise, in relevant rows.
(iv) Total of loss set off out of columns 2, 3 and 4 have to be entered into row xiii.
(v) The losses remaining for set off have to be entered in row xiv.
(h) Schedule-BFLA,-
(i) Mention only positive incomes of the current year (after set-off of loss in Schedule-CYLA in
column 1, head wise in relevant rows.
(ii) The amount of brought forward losses which may be set off are to be entered in column 2 in respective rows. Brought forward short-term capital loss can be adjusted under any item of short-term or long-term capital gains. Brought forward long-term capital loss can be adjusted under any item of long-term capital gains.
(iii) The end result of the set off will be entered in column 5 in respective heads. The total of column 5 shall be entered in row xiii which shall give the amount of gross total income.
(iv) The total amount of brought forward losses set off during the year shall be entered in column 2 of row xii.
(i) Schedule-CFL,-
(i) In this Schedule, the summary of losses carried from earlier years, set off during the year and to be carried forward for set off against income of future years is to be entered.
(ii) The losses under the head “house property”, ‘profit and gains of business or profession” short term capital loss and long term capital loss, losses from other sources (other than losses from race horses) are allowed to be carried forward for 8 years. However, loss from owning and maintaining race horses can be carried forward only for 4 assessment years.
(iii) Loss from specified business needs to be mentioned in the column designated for the same.
(j) Schedule–UD: In this Schedule, amount of brought forward unabsorbed depreciation and allowance under section 35(4) for each assessment year, amount of depreciation and allowance under section 35(4) set-off against the current year’s income and the balance unabsorbed depreciation and allowance under section 35(4) to be carried forward to the next assessment year needs to be mentioned.
(k) Schedule-ICDS- Income Computation Disclosure Standards (ICDS) have come into force from financial year 2015-16 and on wards. Deviation from each ICDS as notified under section 145(2) of the Income-tax Act that has an effect on profit is to be filled in column (iii) of the said Schedule. The net effect as in serial No. 11 is to be taken in row 3 of Part A-OI.
(l) Schedule-10A-
(i) If there are more than one undertaking entitled for deduction under this section, please enter the details of deduction for each undertaking separately.
(ii) The amount of deduction under this section for an undertaking shall be as per item 17 of Form 56F being the report of audit under section 10A.
(m) Schedule-10AA-
If there are more than one undertaking entitled for deduction under this section, please enter the details of deduction for each undertaking separately.
(n) Schedule-80G-
(i) In this Schedule, the details of donation given by you which are entitled for deduction under section 80G have to be filled.
(ii) In Part-A of this Schedule, the details of donations which are entitled for 100% deduction without any qualifying limit are to be filled in. Section 80G(1)(i) read with section 80G(2) contains the list of funds! institutions donations to which are eligible for 100% deduction in hands of the donor.
(iii) In Part-B of this Schedule, the details of donations which are entitled for 50% deduction without any qualifying limit are to be filled in where such donations have been given to the funds! institutions which are not required to be approved by an authority for this purpose. Section 80G (1) (i) read with section 80G (2) also contains the list of such funds! institutions.
(iv) In Part-C of this Schedule, the details of donations which are entitled for 100% deduction subject to a qualifying limit are to be filled in.
(v) In Part-D of this Schedule, the details of donations which are entitled for 50% deduction subject to a qualifying limit are to be filled in.
(vi) It may kindly be noted that where the aggregate donations referred to in Part-E and donations referred to in sub-clauses (v), (vi), (via) and (vii) of clause (a) and in clauses (b) and (c) of section 80G (2) exceeds 10% of total income (before deduction under other provisions of Chapter VI-A), then the excess amount shall be ignored for purpose of computing deduction under section 80G.
(o) Schedule- 80IA, Schedule- 80IB, Schedule- 80IC and Schedule-80-IE:
(i) If there are more than one undertaking entitled for deduction under any of these sections, please enter the details of deduction in relevant schedule for each undertaking separately.
(ii) The amount of deduction for an undertaking shall be as per item 30 of Form No.10CCB being the report of audit under sections 80-IA! 80-IB! 80-IC and 80-IE.
(p) Schedule-VIA-
(i) The total of the deductions allowable is limited to the amount of gross total income. For details of deductions allowable, the provisions of the Chapter V I-A may kindly be referred to.
(ii) For deductions under sections 80-IA, 80-IB, 80-IC and 80-IE the amount as shown in Schedules 80- IA, 80-IB and 80-IC be filled. The amount of deduction to be claimed under section 80-ID may be shown in this Schedule itself.
(iii) Details of other deductions which are available are as under:-
(a) Section 80G (Deduction in respect of donations to certain funds, charitable institutions, etc.)
(b) Section 80GGA (Deduction in respect of certain donations for scientific research or rural development)
(c) Section 80GGB (Deduction in respect of contributions given by companies to political parties)
(d) Section 80GGC (Deduction in respect of contributions given by any person to political parties)
(e) Section 80IAB (Deduction in respect of profits and gains by an undertaking or enterprise engaged in development on Special Economic Zone).
(f) Section 80IAC (Special provision in respect of specified business).
(g) Section 80IBA (Deductions in respect of profits and gains from housing projects).
(e) Section 80JJA (Deduction in respect and gains from business of collecting and processing of bio-degradable waste)
(f) Section 80JJAA (Deduction in respect of employment of new workmen)
(g) Section 80LA (Deduction in respect of certain incomes of Offshore Banking Units and International Financial services Centre).
(q) Schedule-SI- Mention the income included in total income which is chargeable to tax at special rates. Such income will be taken from the appropriate columns in schedule BFLA!CYLA or schedule OS as indicated.
(r) Schedule-EI- Furnish the details of income like agriculture income, interest, dividend, etc. which is exempt from tax.
(s) Schedule PTI: Fill Income details from business trust or investment fund as per section 115UA, 115UB.
1. In column 2 of the table, fill the name of business trust or investment fund.
2. In column 3 of the table, fill the PAN of business trust or investment fund.
3 Against serial number (i), fill amount of income from House property in column number 6
and fill TDS on such amount, if any, in column number 7.
4. Against serial number (ii)(a), fill amount of income from short term capital gain in column number 6 and fill TDS on such amount, if any, in column number 7.
5. Against serial number (ii)(b), fill amount of income from Long term capital gain in column number 6 and fill TDS on such amount, if any, in column number 7.
6. Against serial number (iii), fill amount of income from other sources in column number 6 and fill TDS on such amount, if any, in column number 7.
7. Against serial number (iv)(a),(b),(c), fill income received from business trust or investment fund claimed to be exempt under section 10(23FBB), 10(23FD), etc. in column number 6.
(t) Schedule – MAT: Compute the book profit under section 115JB. The computation should be based on profit and loss account laid at annual general meeting in accordance with the provisions of section 129 of the Companies Act, 2013. Further, the computation in this Schedule be based on Form 29B. However, Form 29B is not to be attached with the return.
(u) Schedule MATC: Credit for MAT paid in assessment years 2007-08 and onwards in excess of the normal tax liability, is allowed to be set off against the normal tax liability of the current assessment year. However, the credit is restricted to the extent of the normal tax liability for the current assessment year exceeds the MAT liability for that year.
(v) Schedule DDT: The principal officer of the company is liable to pay the tax on distributed profits to the credit of the Central Government within 14 days from the date of declaration of any dividend or distribution of any dividend or payment of any dividend, whichever is earliest. Please note that simple interest is chargeable under section 115P at the rate of 1% of delay for every month or part thereof in payment of the tax on distributed profits to the credit of the Central Government.
(w) Schedule FSI,-
(ii) In this Schedule, fill the details of income, which is already included in total income, accruing or arising outside India.
(iii) For country code use the International Subscriber Dialing (ISD) code of the country.
(iv) The Tax Payer Identification Number (TIN) of the assessee in the country where tax has been paid is to be filled up. In case TIN has not been allotted in that country, then, passport number should be mentioned.
(x) Schedule TR,-
(i) In column (c) mention the tax paid outside India on the income declared in Schedule FSI which will be the total tax paid under column (c) of schedule FSI in respect of each country.
(ii) In column (d) mention the tax relief available that will be the total tax relief available under column (e) of schedule FSI in respect of each country.
(iii) For country code use the ISD code of the country.
(v) The Tax Payer Identification Number (TIN) of the assessee in the country where tax has been paid is to be filled up. In case TIN has not been allotted in that country, then, passport number should be mentioned.
(vi) Relief claimed under section 90 or section 90A or section 91 is to be filled in the respective columns.
(y) Schedule FA,-
(i) This schedule is to be filled up by a resident assessee. It need not be filled up by a ‘not ordinarily resident’ or a ‘non-resident’. Mention the details of foreign bank accounts, financial interest in any entity, details of immovable property or other assets located outside India. This should also include details of any account located outside India in which the assessee has signing authority, details of trusts created outside India in which you are settlor, beneficiary or trustee. Under all the heads mention income generated/derived from the asset. The amount of income taxable in your hands and offered in the return is to be filled out under respective columns. Item G includes any other income which has been derived from any source outside India and which has not been included in the items A to F and under the head business of profession in the return.
(ii) This schedule is to be filled in all cases where the resident assessee is a beneficial owner, beneficiary or legal owner. For this purpose,-
- Beneficial owner in respect of an asset means an individual who has provided, directly or indirectly, consideration for the asset and where such asset is held for the immediate or future benefit, direct or indirect, of the individual providing the consideration or any other person.
- Beneficiary in respect of an asset means an individual who derives an immediate or future benefit, directly or indirectly, in respect of the asset and where the consideration for such asset has been provided by any person other than such beneficiary.
Where the assessee is both a legal owner and a beneficial owner, mention legal owner in the column of ownership.
(iii) (A) The peak balance in the bank account during the year is to be filled up after converting the same into Indian currency.
(B) Financial interest would include, but would not be limited to, any of the following:-
(1) if the resident assessee is the owner of record or holder of legal title of any financial account, irrespective of whether he is the beneficiary or not.
(2) if the owner of record or holder of title is one of the following:-
(i) an agent, nominee, attorney or a person acting in some other capacity on behalf of the resident assessee with respect to the entity.
(ii) a corporation in which the resident owns, directly or indirectly, any share or voting
(iii) a partnership in which the resident assessee owns, directly or indirectly, an interest in partnership profits or an interest in partnership capital.
(iv) a trust of which the resident has beneficial or ownership interest.
(v) any other entity in which the resident owns, directly or indirectly, any voting power or equity interest or assets or interest in profits.
(3) the total investment in col(5) of part (B) has to be filled up as peak investment held during the year after converting it into Indian currency.
(C) The total investment in col(5) of part (C) has to be filled up as peak investment in immovable property held during the year after converting it into Indian currency.
(D) The total investment in col(5) of part (D) has to be filled up as peak investment (at cost) held during the year after converting it into Indian currency. Capital Assets include financial assets which are not included in part (B) but shall not include stock-in-trade and business assets which are included in the Balance Sheet.
(E) The details of peak balance/investment in the accounts in which you have signing authority and which has not been included in Part (A) to Part (D) mentioned above has to be filled up as peak investment/balance held during the year after converting it into Indian currency.
(iv) For the purpose of this Schedule, the rate of exchange for the calculation of the value in rupees of such asset situated outside India shall be the telegraphic transfer buying rate of such currency as on the date of peak balance in the bank account or on the date of investment.
Explanation: For the purposes of this Schedule, “telegraphic transfer buying rate”, in relation to a foreign currency, means the rate or rates of exchange adopted by the State Bank of India constituted under the State Bank of India Act, 1955 (23 of 1955), for buying such currency, having regard to the guidelines specified from time to time by the Reserve Bank of India for buying such currency, where such currency is made available to that bank through a telegraphic transfer.
14. PART B-TI-COMPUTATION OF TOTAL INCOME
(i) In this part the summary of income computed under various heads and as set off in Schedule CFLA and Schedule BFLA is to be entered.
(ii) Each entry which has to be filled on basis of Schedules has been crossed referenced and hence doesn’t need any further clarification.
15. PART B-TTI-COMPUTATION OF TAX LIABILITY ON TOTAL INCOME
(a) In item 2 a, fill the details of gross tax liability to be computed at the applicable rate. The tax liability has to be computed at the rates given as under:-
(A) In case of domestic company where total turnover/gross receipts in the previous year 2014-15 does not exceed Rs.5 crore @29% of total income. In case where assessee is eligible and opts for section 115 BA @25% of total income. In any other case of a domestic company, @ 30% of the total income;
(B) In a case of a company other than a domestic company –
– @ 50% of on so much of the total income as consist of (a) royalties received from Government or an Indian concern in pursuance of an agreement made by it with the Government or the Indian concern after the 31 st day of March, 1961 but before the 1 st day of April, 1976; or (b) fees for rendering technical services received from Government or an Indian concern in pursuance of an agreement made by it with the Government or the Indian concern after the 29 th day of February, 1964 but before the 1 st day of April, 1976, and where such agreement has, in either case, been approved by the Central Government;
– @ 30% of the balance
(b) In item 1b and 2e, fill the details of surcharge in case of a domestic company. If income includes income of the nature referred to in section 115BBE, surcharge @25% of tax on such income is to be computed. If total income exceeds the specified amount calculate surcharge on balance tax i.e. (tax on total income minus tax on income chargeable u/s 115BBE) at the applicable rates viz. in case of company, having total income exceeding one crore rupees but not exceeding ten crores computed @7% of balance tax and having total income exceeding ten crore rupees computed @12% of the balance tax arrived upon. Similarly, in the case of foreign companies the corresponding rate of surcharge would be @2% and 5% respectively.
(c) In item No. 1c and 2f, calculate the education cess including secondary and higher education cess at the rate of three per cent.
(d) In item 13 please provide details of all savings and current accounts held at any time during the previous year. However, details of dormant account i.e. account which is not operational for more than 3 years is not mandatory. Please quote the IFS code of the bank. Further, enter full bank account number without any special character like ‘-’, ‘/’, bracket etc. The number should be as per Core Banking Solution (CBS) system of the Bank. Also indicate the account in which you would like to get your refund credited. This is mandatory even if your do not claim any refund. The amount of cash deposited during 09.11.2016 to 30.12.2016 in the said bank accounts should also be filled. In case cash is deposited during 09.11.2016 to 30.12.2016 in any account other than the savings, current (viz. cash credit accounts, loan accounts etc.), then details of such account indicating the cash deposited in the said account during the said period should also be provided.
It may be noted that details of cash deposited are to be provided, if the aggregate amount of cash deposited during 09.11.2016 to 30.12.2016 is Rs.2 lakh or more.
16. VERIFICATION
(a) Please note that any person making a false statement in the return or the accompanying schedules shall be liable to be prosecuted under section 277 of the Income-tax Act, 1961 and on conviction be punishable under that section with rigorous imprisonment and with fine.
(b) The return is to be furnished electronically under digital signature. Please fill up the required information in the Verification. Strike out whatever is not applicable. Please ensure that the verification has been signed before furnishing the return. Write the designation of the person signing the return.
17. TAX PAYMENTS
15 (A) In this table, fill the details of payment of advance income-tax and income-tax on self-assessment. The details of BSR Code of the bank branch (7 digits), date of deposit, challan serial No., and amount paid should be filled out from the acknowledgement counterfoil.
15 (B) In this table, fill the details of tax deducted on the basis of TDS certificates (Form 16A or Form 26QB) issued by the deduct-or(s). Details of each certificate are to be filled separately in the rows. It may please be noted that the TDS certificates are not to be annexed with the Return Form.
15 (C) In this table, fill the details of tax collected at source on the basis of TCS certificates (Form No. 26) issued by the Collector. It may please be noted that the TDS certificates are not to be annexed with the Return Form.
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