Return of income is a special type of form to be used by the assessee for furnishing the necessary particulars like name, address, PAN/GIR No., Bank Account, income under each head, total income, tax liability, etc. before the Income Tax authority. Different types of forms are prescribed in Rule 12 of theIncome tax Rules, 1962 to be used by different categories of assessee earning different types of income. Each assessee liable to submit the return of income is required to use a specific form as prescribed in Rule 12 and to submit the same before the Income tax authority after being duly filled in.
Persons liable for submitting return of income- The following persons are liable to furnish the return of income (or loss in case of a company and a firm) in a prescribed form on or before the due date as specified by the Act for this purpose:
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Persons liable to furnish return of income |
Minimum income during the relevant previous year to attract the provisions |
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Company |
Any amount of income or loss |
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Firm |
Any amount of income or loss |
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Individual, HUF, AOP, BOI or artificial jurisdiction person |
If the total income of such person or the total income of any person in respect of which such person is assessable under the Act (before giving exemptions and deductions under section 10A, 10B, 10BA and sections 80C to 80U) exceeds the maximum amount not chargeable to tax. |
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Co-operative society or local authority |
Any amount of income |
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A person in receipt of income derived from property held under charitable or religious trust |
If the total income of such person (without giving effect to the provisions of section 11 and 12) exceeds the maximum amount not chargeable to tax |
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Chief executive officer of every political party |
If the total income in respect of which the political party is assessable (without giving effect to the provisions of section 13A) exceeds the maximum amount of chargeable to tax. |
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Scientific research association, news agency, specified professional institutions , institutions established for development of Khadi and village industry, specified fund or institutions referred to in section 10(23C)(iv) and (v). University or other educational institutions, hospitals or other medical institutions, trade unions or associations |
If the total income in respect of which such association, institution, etc. is assessable (without giving effect to the provisions of section 10) exceeds the maximum amount not chargeable to tax. |
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Every university, college or other institution referred to in section 35(1)(ii) |
Any income or loss (furnishing of return is compulsory even if it is not required to furnish return under any other provision of this section) |
Consequences: If the assessee is required to furnish return of income under section 139(1) but fails to furnish such return the assessee will be liable to interest under section 234A, penalty under section 2741F and prosecution under section 276CC.
Thus, one can very well know the need to furnish such return accurately and timely; else will have to face the unpleasant situations of penalty, prosecution and interest.
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