ITR-6

What is ITR 2 Form?

This return is applicable for Individual and Hindu Undivided Family (HUF) not having Income under the head Profits and Gains of Business or Profession and who is not eligible for filing ITR-1.

What is ITR?

An Income Tax Return (ITR) is a document used by taxpayers to report details about their income earned and the corresponding tax liability to the income tax department. It serves as a formal declaration of an individual or entity’s financial information, ensuring transparency and compliance with tax regulations.

ITR filing is mandatory for Individuals having total income above INR 2.5 lakhs in a year.
Limit for Senior Citizens is INR 3 lakhs and for Super Senior Citizens INR 5 lakhs.

Who can use ITR 2 Form?

An individual who;

has income from salary/ pension
has income from more than one house property
is a non-resident in India during the previous year
is a director in a company
has held any unlisted equity shares at any time during the previous year
has any asset (including financial interest in any entity) located outside India

Late Fee and Penalty for late Filing of ITR-2

Late filing of income tax returns can result in various penalties, depending on your total income.

Late fee of Rs. 5000 will be levied on Individuals with a total income exceeding Rs. 5 lakhs, while those with income below this threshold will incur a reduced late fee of Rs. 1,000. However, Individuals having total income up to Rs. 2.5 lakhs are not required to pay any late fee for late filing of the return. For Senior Citizens, this limit is Rs. 3 lakhs and for Super Senior Citizens Rs. 5 lakhs.
Additionally, if you owe taxes and fail to file the return by the due date, you will be liable for additional interest at a rate of 1% per month until you submit the return.
In more severe cases, penalties can be imposed for underreporting or misreporting of income. Underreporting may lead to penalties of up to 50% of the tax underreported, while misreporting can result in penalties of up to 200% of the misreported tax amount.
Furthermore, repeated failure to file tax returns despite reminders from tax authorities may lead to prosecution procedures. This could result in imprisonment ranging from three months to seven years, depending on the outstanding tax liabilities.

It is crucial to file your tax returns promptly and accurately to avoid these legal and financial consequences.

How we can assist you?

We provide valuable assistance in filing your ITR-2 return. We start by helping you select the appropriate form based on your income sources, ensuring accuracy in filing.

We meticulously calculate your tax liability, perform error checks, and prioritize timely filing to reduce the risk of penalties or tax notices. If eligible, we assist in processing your income tax refund efficiently.

Our team of tax experts is available to address your queries and provide guidance throughout the process. We also keep you updated on tax law changes and deadlines, ensuring your compliance with the latest regulations. With our secure platform, you can trust us to safeguard your financial data while simplifying your ITR-2 filing experience.

FAQs

What is ITR-6?

ITR-6 is the Income Tax Return form applicable to companies that are not claiming exemption under Section 11 (Income from property held for charitable or religious purposes) of the Income Tax Act.

Who needs to file ITR-6?

Companies, other than those claiming exemption under Section 11, are required to file ITR-6.

What information is required to file ITR-6?

Information such as income details, deductions claimed, taxes paid, and other financial particulars of the company for the relevant financial year are needed.

Can a company file a paper return of ITR-6?

No, electronic filing is mandatory for companies. Therefore, ITR-6 can only be filed online.

What is the penalty for late filing of ITR-6?

Late filing of ITR-6 may attract a penalty under Section 234F of the Income Tax Act, which can range from ₹5,000 to ₹10,000, depending on the delay .

Can a company revise its ITR-6?

Yes, companies can revise their ITR-6 within a specified time limit if any errors or omissions are found in the original filing.

What is the due date for filing ITR-6?

The due date for filing ITR-6 for companies is usually September 30 of the assessment year, but it may vary based on government notifications.

Is it mandatory to audit accounts before filing ITR-6?

Yes, it is mandatory for companies to get their accounts audited before filing ITR-6.

Are there any specific schedules in ITR-6 for reporting financial details?

Yes, there are various schedules in ITR-6 for reporting different types of income, deductions, taxes, and other financial details, such as Schedule BP (Income from Business or Profession) and Schedule ICDS (Impact of Accounting Standards).

Does ITR-6 require reporting of international transactions?

Yes, companies are required to report international transactions in Form 3CEB and provide details of the same in Schedule AL of ITR-6.

What are the consequences of providing inaccurate information in ITR-6?

Providing inaccurate information in ITR-6 may lead to penalties and prosecution under the Income Tax Act.

Does ITR-6 require the disclosure of exempt income?

Are there any specific guidelines for filling out ITR-6?

Yes, the Income Tax Department provides detailed instructions and guidelines for filling out ITR-6, which should be carefully followed to ensure accurate filing.

Is it necessary to attach any documents while filing ITR-6 online?

No, there is no requirement to attach any documents while filing ITR-6 online. However, it's essential to keep all supporting documents handy for verification if required by tax authorities.

Can a company file ITR-6 if it has incurred losses during the financial year?

Yes, a company can still file ITR-6 even if it has incurred losses during the financial year. Losses can be carried forward and adjusted against future profits.