Income Tax Returns (ITRs) must be filed by July 31 for the FY 2022-23. April marked the start of the new assessment year 2023-24. Usually, the ITR filing due date is July 31. This year’s tax returns are expected to be due on the same date.
Individuals and Hindu Undivided Families (HUFs) who earn income from profits and gains of business or profession are required to use ITR Form 3. The Income Tax Department offers different ITR forms to taxpayers based on factors such as total income, source of income, resident status, and other relevant considerations, aiming to enhance tax compliance and make the process more convenient.
Read More: ITR Filing: 10 Documents Required To File Income Tax Return for FY 2022-23
According to the official website of the Income Tax Department, there is a penalty of Rs 5,000 for filing ITRs on or before July 31. However, this penalty doubles for filings made after that date.
Nonetheless, if your taxable income is below Rs 5 lakh, the maximum penalty imposed will be Rs 1,000. In contrast, if the amount of tax evaded exceeds Rs 25 lakh, the punishment can range from six months to seven years.
WHO IS ELIGIBLE TO USE THIS RETURN ITR FORM 3?
This particular Return Form is intended for use by individuals or Hindu Undivided Families (HUFs) who earn income under the category of “profits or gains of business or profession” and do not meet the eligibility criteria for filing Form ITR-1 (Sahaj), ITR-2, or ITR-4 (Sugam).
Read More: ITR Filing AY 2023-24: Who Should Use Sahaj Form For Filing Income Tax Return?
HOW TO DOWNLOAD ITR FORM 3?
- Log on to https://www.incometaxindiaefiling.gov.in/home.
- Under the Download tab, click ‘Offline Utilities.’
- Click ‘Income Tax Return Preparation Utilities.’
- Select your Assessment Year.
- Click ‘Excel Utility’ to fill in the details by hand under the ITR 3 column and download the file.
- Extract the downloaded file and fill in the details.
Read More: How to check your income tax liability before last date
HOW TO FILE ITR 3?
The ITR-3 can be filed Online/Electronically:
- By electronically furnishing the return with a digital signature.
- By electronically transmitting the data and subsequently submitting the verification of the return to Form ITR-V.
- By mailing the duly completed ITR-V (acknowledgment) form to the Income Tax Office. This method applies specifically to taxpayers who file the ITR-3 form, and the acknowledgment in the form of ITR-V must be completed and sent via mail.
The requirement to file ITR-3 extends to individuals whose income is subject to taxation under the category of “profits and gains of business or profession,” including income from interest, salary, bonus, commission, or remuneration.
