ITR-7 is a form filed by those individuals and companies that fall under the following sections:
- Section 139 (4A)
- Section 139 (4B)
- Section 139 (4C)
- Section 139 (4D)
Things To Keep In Mind When Filing the ITR-7:
- No extra documents, paperwork or TDS certificates are to be submitted or affixed with the return form
- If any documents are affixed with the return form, they will be sent back to the applicant who has filed the return
- It is advisable that taxpayers match the taxes deducted, collected or paid by them with their Tax Credit Statement Form 26AS
Eligibility Criteria for ITR-7:
- The following individuals and associations are eligible to file the ITR-7 form:
- All individuals who obtain income from property if said property is in the name of a trust
- All individuals who receive income for the sole purpose of charity or a religious offering
- Any political party that earns a net income that is more than the ceiling limit that is exempt from income tax
- Associations that carry out scientific research
- News organisations and companies
- Organisations as mentioned in Section 10(23A) and Section 10(23B)
- Educational institutions such as school, colleges or universities
- Medical institutions such as hospitals, clinics etc
Ways to file ITR-7:
The Income Tax Department has outlined the following methods through which taxpayers can file their ITR-7 return forms:
- By providing the return in a physical paper form
- By electronically providing the return under digital signature
- By sending the return data electronically followed by the submission of the verification of the return in Return Form ITR-V
By providing a Bar-coded return
It is compulsory for all political parties to provide their returns electronically under digital signature
Components of the ITR-7 Form:
The ITR-7 Form is divided into two parts and nineteen schedules
Part-A - General information
Part-B - Outline of the total income and tax computation with in respect of income chargeable to tax.
- Schedule-I: Details of amounts accumulated/ set apart within the meaning of section 11(2) in last year’s viz., previous years relevant to the current assessment year.
- Schedule-J: Statement showing the investment of all funds of the Trust or Institution as on the last day of the previous year.
- Schedule-K: Statement of particulars regarding the Author(s)/ Founder(s)/ Trustee(s)/ Manager(s), etc., of the Trust or Institution.
- Schedule-LA: Details in case of a political party.
- Schedule-ET: Details in case of an Electoral Trust
- Schedule-HP: Computation of income under the head Income from House Property.
- Schedule-CG: Computation of income under the head Capital gains.
- Schedule-OS: Computation of income under the head Income from other sources.
- Schedule-VC: Details of Voluntary Contributions received
- Schedule-OA: General information about business and profession
- Schedule-BP: Computation of income under the head “profit and gains from business or profession
- Schedule-CYLA: Statement of income after set off of current year’s losses
- Schedule-MAT: Computation of Minimum Alternate Tax payable under section 115JB (n)
- Schedule-MATC: Computation of tax credit under section 115JAA
- Schedule AMT: Computation of Alternate Minimum Tax payable under section 115JC (p)
- Schedule AMTC: Computation of tax credit under section 115JD
- Schedule-SI: Statement of income which is chargeable to tax at special rates
- Schedule-IT: Statement of payment of advance-tax and tax on self-assessment.
- Schedule-TDS: Statement of tax deducted at source on income other than salary.
- Schedule-TCS: Statement of tax collected at source
- Schedule FSI: Details of income accruing or arising outside India
- Schedule TR: Details of Taxes paid outside India
- Schedule FA: Details of Foreign Assets
Instructions for filling out the ITR-7 Form:
- All items must be filled in the manner indicated therein; otherwise the return may be liable to be held defective or even invalid
- If any schedule is not applicable score across as “---NA---".
- If any item is inapplicable, write “NA" against that item.
- Write "Nil" to denote nil figures.
- Except as provided in the form, for a negative figure/ figure of loss, write “-" before such figure.
- All figures should be rounded off to the nearest one rupee. However, the figures for total income/ loss and tax payable be finally rounded off to the nearest multiple of ten rupees.
Sequence for filling out Parts and Schedules:
- Part A
- Part B
Procedure for filling out the Verification Document:
- Enter the required information in the verification document and strike out what is not applicable
- Ensure the verification has been signed before furnishing the return
- Write the designation of the person signing the return