Those owning a single house in joint names would continue to file their income tax returns (ITRs) in much simpler ITR-1 (Sahaj) and ITR-4 forms (Sugam) for assessment year 2020-21 with the government issuing a clarification in this regard.
The clarification has come days after the government modified the eligibility for filing the returns in ITR-1 and ITR-4, stating that those owning a property jointly, spending Rs 2 lakh on foreign travel and paying electricity bill of Rs 1 lakh in a year would not be able to file returns in the simpler forms.
They would have to file their returns with much more detailed information in other specified forms.
Following the changes in the eligibility for filing returns in the two forms, concerns were raised over it with taxpayers claiming that it will cause huge hardship for them.
"The matter has been examined and it has been decided to allow a person, who jointly owns a single house property, to file his/her return of income in ITR-1 or ITR-4 Form, as may be applicable, if he/she meets the other conditions," a Finance Ministry statement said.
"It has also been decided to allow a person, who is required to file return due to fulfilment of one or more conditions specified in the seventh proviso to section 139(1) of the Act, to file his/her return in ITR-1 Form," it added.
Tax practitioners welcomed the government’s move of going back to the previous position.
"This is a welcome clarification allowing middle class taxpayers owning a single house property to file simpler ITR forms, 1 and 4, and not the detailed ITR forms even if they own house property in joint names," said Shailesh Kumar, Director, Nangia Andersen Consulting.
It may be noted that taxpayers holding multiple house properties would have to file more detailed return forms.
In the major changes notified earlier this month by the Income-Tax department, individual taxpayers were disallowed to file return either in ITR-1 or ITR 4 if he or she was a joint-owner in house property.
In another change, those who deposited more than Rs 1 crore in bank account or spent Rs 2 lakh on foreign travel or paid Rs 1 lakh on electricity bill in a financial year were also barred from using the easy-to-fill return forms.
"By today's clarification, the government has maintained status quo. Now, the taxpayers can continue filing their returns in the same fashion in which they did last year," said Naveen Wadhwa, Deputy General Manager (DGM), Taxmann.
Comments
Haj subsidy was used to fleece the Muslim Pilgrims. I am sure the Haj tickets are much cheaper.
dear Hassan, dont bother yourself with airfare calcuations. This Naqwi is a stupid parallysed minister of BJP-RSS group. Though he has tongue but he cant speak his own, he has to be feeded by his superiors and spit the same. who the hell he to decide the number of piligrims to perform Hajj, is KSA is fathers property? he is thinking we Indian Muslims are stupid? i doubt he is a muslim (he is not). for your info, dont calculate airfare and expenses which is bound to occur during this holy deed. Islam has clearly emphasized "Hajj shall be performed for healthy and wealthy slaves" lets Ask Allah to all of us blesssed to reach that holy place and paerform our Hajj in sha Allah. Government subsidy is my foot....
He think he and his party fool people in each and every occations. What ever the quota saudi government provides, that much people will go to Hajj every year depend upon the Quota.
Record number of pilgrims ...without subsidy is a slap on you and Modi government.....
Mr mininster, We dont want Subsidy But please compare the air fare now and during HAj season. If you control on that then people will realise that you had did something positive. Airfare regular price from mumbai to jeddah is around Rs 25000/- But during Ramadan and Hajj seoson its crosses more then Rs 75000/- Differrence is more then what government was giving Susidy. So dont fool the nation. Keep control on Air fare. Jai hind
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