New Delhi: The income-tax department has also made it mandatory to declare cash deposits over Rs 2 lakh in loan accounts and credit cards among others made during demonetisation, while filing I-T return from April 1.
Earlier, the I-T department had said that deposits cash over Rs 2 lakh in banks made between November 9 and December 30, 2016 should to be mentioned in the I-T returns form for assessment year 2017-18. However, instructions for filling I-T returns form issued by the department says that cash deposited over Rs 2 lakh in any account besides saving and current account made during demonetisation too has to be declared. The limit has been kept at Rs 2 lakh so as not to harass small taxpayers.
I-T move to help stash probe
“In case cash is deposited during November, 9, 2016 to December 12, 2016, in any account other than the current and savings account (viz. loan accounts etc), then details of such account indicating the cash deposited in the said account during the said period should also be provided,” said the department.
This will allow the I-T department to seek explanation from people about whom it has information that they deposited unaccounted sums in banks after demonetisation. It will help the department to investigate if the income profile matches with the cash payments made by the person.
Taxpayers also need to provide the details of all the savings and current accounts held by them at any time during the previous year. However, it is not mandatory to provide details of dormant accounts which are not operational for more than three years.
Taxpayers will also need to quote their Aadhaar number while filing their returns as per the recently passed amendments in the Finance Bill by the Parliament.
In a major relief to salaried class, they will have to file only one page I-T return for assessment year 2017-18.
The ITR Form-1(Sahaj) can be filed by an individual having income up to `50 lakh and who is receiving income from salary, one house property and interest. I-T Returns Form-1 (Sahaj) will replace the cumbersome 7-page form.