CBDT implements functionality for banks to verify the ITR filing status.
Wednesday, the IT Dept said it introduced a service for financial institutions to verify the status of tax filings submitted by entities based on their PAN. On Wednesday, the IT Dept said it introduced a service for banks to verify the status of income tax returns submitted by individuals on the basis of their Permanent Account Number (PAN). Their details of information/data on cash withdrawal had shown that persons who have never filed ITR are withdrawing huge cash.
To ensure that these individuals file returns and keep track of non-filers cash withdrawals, and to curb black money, the Finance Act, 2020, with effect from 1 July 2020, further amended the I-T Act, 1961, to lower the limit for cash withdrawal to Rs 20 lakh for non-filers TDS applicability.
It also required non-filers to order TDS at a 5 per cent greater rate on card transactions above Rs 1 crore. The IT Dept has already equipped Commercial banks and Listed post offices with the software 'Verification of applicability u / s 194N' since 1 July 2020.
The CBDT) has listed 'commercial banks' in the list of entities with which tax authorities will exchange data via a notification on 31 August 2020. Via this feature, the bank/post office may obtain the appropriate TDS rate under section 194N of the Income-Tax Act, 1961 by entering the individual withdrawing cash into the PAN, the CBDT said in a comment.
"The department has now launched a new "ITR Filing Enforcement Search" feature that will be applicable to Scheduled Commercial Banks (SCBs) to search PANs' IT Return filing status in bulk mode. The CBDT (Systems) has notified Scheduled banking institutions of the protocol and template for supplying notified details, "the CBDT said.
The Income-tax spokesperson said Scheduled commercial banks (SCBs) would be able to simplify and align the procedure with the core banking system for the bank. "SCB” are expected to register and enforce acceptable policies and procedures on information security with specifically specified functions and obligations to ensure data security," he said.
ITR Return Forms For FY 2020-21
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Sr. No. |
ITR Forms |
Instruction for Filing ITR Forms |
Description |
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1. |
To be filed by resident individuals having total income up to ? 50 lakhs from following sources :
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2. |
For Individuals and HUFs not having income from profits and gains of business or profession |
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3. |
To be filed by Individuals and HUFs having income from profits and gains from business or profession |
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4. |
For Individuals, HUFs and Firms (other than LLP) being a resident having total income up to Rs. 50 lakhs and having income from business and profession which is computed under sections 44AD, 44ADA or 44AE |
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5. |
For firms, LLP, AOPs, BOIs, Artificial juridical Person, Estate of deceased, estate of insolvent, business trust and investment fund. |
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6. |
For Companies other than companies claiming exemption under section 11. |
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7. |
For persons including companies required to furnish returns under section 139(4A) or section 139(4B) or section 139(4C) or section 139(4D) or section 139(4E) or section 139(4F) |
Income tax Chart 2020 with covering latest Covid Relaxations & Alternative Tax Regime
