You must electronically File IT Returns if earning more than 5 Lakhs

Are you Earning more than Rs 5 Lakhs per annum? If yes, then its time to E-File your Tax Returns, says a  new regulation issued by Finance Ministry.

This move is towards making the E-Filing process technology oriented. Those who earn less than 5 Lakhs are Salaried have been exempted in filing Income Tax Returns.

The government had last year introduced the system of e-filing of Income tax returns for assessees with annual income of Rs 10 lakh and above.

Section 14 of the Wealth-tax Act provides for furnishing of return of net wealth as on the valuation date in the prescribed form. At present, certain documents and reports are required to be furnished along with the return of net wealth under the provisions of Wealth-tax Act read with the provisions of Wealth-tax Rules.

Sections 139C and 139D of the I-T Act contain provisions for facilitating filing of return of income in electronic form by certain class of income-tax assessees. “In order to facilitate electronic filing of annexure- less return of net wealth, it is proposed to insert new sections 14A and 14B in the Wealth-tax Act on similar lines… The amendments will take effect from June 1, 2013,” said the Memorandum to the Finance Bill 2013.

Income Tax Department is making all efforts to widen the tax base and is in the process of identifying PAN holders who have not filed returns. He said the tax department would be sending out second set of “polite letters” to 35,000 assessees.