Income-tax Rule 12AB. Conditions for furnishing return of income by persons referred to in clause (b) of sub-section (1) of section 139 of Income Tax Act, 1961
On 21st April 2022 Central Board of Direct Taxes (CBDT) issued Notification No. 37/2022 through which central government has introduced Rule 12AB, in the Income Tax Rules, 1962 regarding some new conditions for furnishing the Income Tax Return (ITR) in respect of persons other than a company or a firm.
If any person falls in any of the following condition, then he is mandatorily required to file his Income Tax Return (ITR)
1. if total sales, turnover or gross receipts, as the case may be, in the business exceeds sixty lakh rupees during the previous year; or
2. if total gross receipts in profession exceeds ten lakh rupees during the previous year; or
3. if the aggregate of tax deducted at source (TDS) and tax collected at source (TCS) during the previous year, is twenty-five thousand rupees or more for person of the age of less than sixty years; or
4. if the aggregate of tax deducted at source (TDS) and tax collected at source (TCS) during the previous year, is fifty thousand rupees or more for person of the age of sixty years or more; or
5. if deposit in one or more savings bank account, in aggregate, is rupees fifty lakh or more during the previous year:
If any person falls in any of the category mentioned above then he is mandatorily liable to file his Income Tax Return.
Relevant Extract of clause (b) of sub-section (1) of section 139 of Income Tax Act, 1961
Return of income.
139. (1) Every person,—
(a) being a company or a firm; or
(b) being a person other than a company or a firm, if his total income or the total income of any other person in respect of which he is assessable under this Act during the previous year exceeded the maximum amount which is not chargeable to income-tax,
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A buys a product from B with warranty. During the period of warranty, the item purchased becomes non-working. B says that model is discontinued and offers a financial compensation to A. The said compensation amount is not an income and hence B should not deduct TDS. This has not been clarified in the Rule 12AB
Suppose I close my NRE FD and transfer an amount above 50Lakhs to my NRE savings account, does that considered as a deposit above Rs 50 lakhs and makes it mandatory for me to file ITR?