New Delhi, Jul 18
The Income Tax Department on Saturday mentioned the brand new Form 26AS would have further particulars of taxpayers’ high-value monetary transactions undertaken throughout a monetary yr and would facilitate voluntary compliance and ease of e-filing of I-T returns.
Form 26AS is an annual consolidated tax assertion that may be accessed from the income-tax web site by taxpayers utilizing their Permanent Account Number (PAN).
The earlier Form 26AS used to present data relating to tax deducted at supply and tax collected at supply referring to a PAN, in addition to sure further data together with particulars of different taxes paid, refunds and TDS defaults.
But now, the brand new kind can have Statement of Financial Transactions (SFTs) in numerous classes to assist taxpayers recall all their main monetary transactions in order that they’ve a prepared reckoner whereas submitting the ITR, the Central Board of Direct Taxes (CBDT) mentioned in an announcement.
In May, CBDT had notified the revised Form 26AS, containing particulars of tax collected or deducted at supply which can now embrace data pertaining to property and share transactions.
With this, Form 26AS has been revamped to an ”Annual Information Statement” which other than the TDS/ TCS particulars, shall now comprise complete data referring to specified monetary transactions, fee of taxes, demand/ refund and pending/accomplished proceedings undertaken by a taxpayer in a specific monetary yr that must be talked about within the revenue tax returns.
In an announcement, CBDT mentioned the Department used to obtain data like money deposit/withdrawal from saving financial institution accounts, sale/buy of immovable property, bank card funds, buy of shares, debentures, overseas forex, mutual funds, money fee for items and companies, and so on. from “specified individuals” like banks, mutual funds, establishments issuing bonds and registrars since Financial Year 2016 onwards.
Now, all such data below completely different SFTs will likely be proven within the new Form 26AS, it added. The data being acquired by the Department from the filers of those specified SFTs is now being proven in Part E of Form 26AS to facilitate voluntary compliance, tax accountability and ease of e-filing of returns in order that the identical can be utilized by the taxpayer to file her or his revenue tax return by calculating the right tax legal responsibility in a feel-good surroundings, CBDT mentioned.
This would additionally usher in additional transparency and accountability within the tax administration, it added.
Part E of the shape would now present completely different fields resembling sort of transaction, title of SFT filer, date of transaction, single/joint social gathering transaction, variety of events, quantity, mode of fee and remarks and so on.
“Furthermore, this would help the honest taxpayers with updated financial transactions while filing their returns, whereas it will desist those taxpayers who inadvertently conceal financial transactions in their returns. The new Form 26AS would also have information of transactions which used to be received up to Financial Year 2015-16 in the Annual Information Returns (AIR),” CBDT added. HostBooks Ltd Founder & Chairman Kapil Rana mentioned: “The intention is pretty clear; one has to be very careful while executing the high-value financial transactions. It should have all the substantive reasons & proofs and need to disclose those in the income tax returns or provide justification for the same when asked by the department.” PTI