Govt proposes common ITR form for taxpayers

New Delhi, November 1

The I-T Department has proposed to introduce a common ITR by merging all the existing returns of income except ITR-7. The current ITR-1 and ITR-4 will also continue, it suggests.

This will give an option to taxpayers to file the return either in the existing form (ITR-1 or ITR-4), or the proposed common ITR, at their convenience. The relook at the return filing system is to align it with international best practices, said an official statement.

At present, taxpayers are required to furnish their ITR in ITR-1 to ITR-7 depending upon the type of person and nature of income. Current ITRs take time to fill because the taxpayer is mandatorily required to go through all the schedules, irrespective of the fact whether that particular schedule is applicable or not.

The proposed common ITR would have basic information (comprising parts A to E), schedule for computation of total income (Schedule TI), schedule for computation of tax (schedule TTI), details of bank accounts, and a schedule for the tax payments (schedule TXP).