Only details given in Form 16 are to be written in the new forms, IT officials said. The new tax forms in ITR series, to be introduced from May 14, are annexure-less except for ITR-7, the form for charitable/religious trusts, political parties and other non-profit organisations.
The eight new forms are prescribed for the current assessment year, four of which are for individuals and Hindu Undivided Families. The purpose of annexure-less forms is that they are amenable to be filed on electronic mode.
Ultimately, all categories of employees are supposed to be filing forms on electronic mode, though for the moment only corporates and the firms, whose turnover is above Rs 40 lakh a year, are required to do so, Finance Minister P Chidambaram had said while unveiling the new forms.
The new form, ITR1, for individuals who have only salary and interest income will replace Form 2F and does not require assessees to give cash flow statement, which is an account of one's income and expenditure during the year.
However, the assessees are required to provide information on their high value transactions. As such, cash flow statement is not fully withdrawn, but partly withdrawn, tax officials said. In cash flow, the department was asking for even source of funds, which is not the case now, they said.
High value transactions are anyway received by the department from banks and others through a mechanism called Annual Information Returns.
As such, individuals have to fill account of their transaction in any of these seven heads in a year: cash deposits of Rs 10 lakh or more in a year in savings account in banks; credit card payments exceeding Rs 2 lakh; purchase of mutual funds for Rs 2 lakh or more; purchase of bonds or debentures for Rs 5 lakh or more, purchase of shares (public or rights) for Rs 1 lakh or more; purchase or sale of immovable property for Rs 30 lakh or more and purchase of RBI Bonds for Rs 5 lakh or more.
