ITR-3

This article will aid users to understand Income Tax Return Form i.e. ITR-3. This article will provide details on who can use this form, what are prerequisites for filing this form, Various schedules of this form and various slab rates applicable for business.

ITR-3 can be filed online by log on to Income Tax Portal. Refer link>> https://www.incometax.gov.in/iec/foportal.

ITR-3 can be filed by using offline utility which can be downloaded from the link >> https://www.incometax.gov.in/iec/foportal/downloads/income-tax-returns

Due Date for filing ITR–3 for F.Y. 2021-22 & A.Y. 2022-23 is 31st July, 2022.

Who can use ITR-3

ITR-3 can be filled by person if ITR-1,2 & 4 are not applicable to him. ITR -3 can be filed by individuals and HUF having gains from business & profession. He can have Income from Salary. No limit on number of house properties and agriculture income.

Perquisites for filling ITR-3/ Business tax filing

• User must be registered on e-filling portal.
• Link Aadhaar Number and PAN on e-filling portal in case of proprietorship, add authorized signatory details and validate Digital Signature Certificate for that signatory
• It is mandatory to have at least one pre-validated bank account
• Nominate pre-validated bank account for refund
• Books of Accounts (Balance Sheet & Profit & Loss Account including Schedule of Fixed Assets and other relevant Schedules)
• Interest Certificates from the Post offices and Banks
• Download Form 26AS and Annual Information Statement
• Loan statements from the NBFC or the Bank
• Bank Account Statements for relevant period
• Creditor/Debtor/Stock Confirmation
• Advance Tax Challans

Schedules of ITR-3

ITR-3 consists of various schedules. Person while filling his/her return can check on box for schedules applicable to him/her and is required to filled those checked in schedules only. However, a few of the schedules has to be mandatorily filled. Various schedules are:

1. Part A General – Usually prefilled from profile information updated on IT portal. This information if needs to be updated than the same has to be updated on Profile of IT Portal. Please verify the details filled and ensure all the mandatory star marked details have been filled.
2. Schedule Salary – Few information such as details on which TDS has been deducted get pre filled in the return. However, taxpayer to check the accuracy and completeness of such information and can add additional details of income not appearing.
3. Schedule House Property – Income from Let Out Property or Losses from Self occupied Property
4. Schedule Capital Gains – For detail understanding of Capital Gain refer https://www.taxledgeradvisor.com/capital-gain-tax-filling/
   • Schedule 112A and Schedule-115AD(1)(iii) proviso
5. Schedule Other Sources – Few information such as details on which TDS has been deducted get pre filled in the return. However, taxpayer to check the accuracy and completeness of such information and can add additional details of income not appearing.
6. Schedule Specified Person Income
7. Schedule Special (Rate) Income
8. Schedule Income from Partnership firm
9. Schedule Exempt Income
10. Schedule Pass Through Income
11. Schedule Income from outside India & Tax Relief
12. Schedule Tax Relief
13. Schedule Nature of Business
14. Schedule Balance Sheet
15. Schedule Manufacturing Account
16. Schedule Trading Account
17. Schedule Profit & Loss Account
18. Schedule Other information for business (Mandatory if liable for Tax Audit under Section 44AB)
19. Schedule Quantitative Details
20. Schedule Income from Business & Profession
21. Schedule expenditure on scientific research
22. Schedule ICDS
23. Schedule TPSA (Tax on Secondary Adjustment u/s 92CE)
24. Schedule GST
25. Schedule Depreciation on Plant & Machinery
26. Schedule Depreciation on other Assets
27. Schedule Depreciation Summary
28. Schedule deemed Capital Gain on depreciable assets
29. Schedule unabsorbed Depreciation
30. Schedule Deduction under Section 10AA
31. Schedule Deduction for donation made to research association
32. Schedule of deduction claimed under Section 80IA, 80IB, 80IC or 80IE
33. Schedule VI-A Deduction – Deduction can be added of Chapter VI as can be availed by assessee.
    • Schedule 80G and
    • Schedule 80GGA
    • Schedule 80D
34. Schedule Computation of Income
35. Schedule Computation of Tax
36. Schedule Details of Tax Payment
37. Schedule TDS
38. Schedule TCS
39. Schedule Tax deferred on ESOP
40. Schedule Current Year Loss Adjustment
41. Schedule Brought Forward Loss Adjustment
42. Schedule Carry Forward Losses
43. Schedule Alternate Minimum Tax U/S 115JC
44. Schedule Alternate Minimum Tax Credit
45. Schedule Foreign Assets
46. Schedule Assets & Liabilities (If your total income exceeds INR 50 lakhs)

Applicable Slab Rates on Business

For detail understanding of —-> Business tax return filing is income tax return with additional filing of TDS return, Advance Tax Payment, GST Return, PF/ESI payments for businesses which needs to be filled every year. This return includes information on earnings and expenditures of that particular business. It further includes information of Assets and liabilities of a business.

Tax returns permit tax payers to calculate the tax payments schedule, tax liability and tax refund in in case of overpayment. Different countries have different tax return filing policies and features, but the time frame is commonly on an annual basis. Business tax return for an Businesses business or a company with an income in par or more than the exempted limit as specified by government must file taxes annually. Income includes wages, interests, dividends, capital gains, and profit. This documentation is filed with a taxing authority following the guidelines.

Refer link https://www.taxledgeradvisor.com/business-tax-filling/

Need Expert Assistance for ITR-3 filing

For expert assistance on ITR-3 return filling in Udaipur and Rajasthan, reach our professionals at Tax Ledger Advisor.