ITR-6
Every Indian Resident with any source of income is required to pay tax to the government in the form of Income Tax. The government imposes tax on every entity such as individuals, HUFs, Companies, LLPs, Association of Person, Body of Individuals, and any artificial judicial person. Income Tax Return is the form filed to furnish the information to the government about Income incurred along with tax liability. The form filed would vary depending upon the type of entity filing the return.
Applicability to file ITR-6
Every Company irrespective of its structure registered under the Companies Act 2013 or earlier under the Companies Act, 1956, shall file Income Tax Return through form ITR-6. However, those companies whose income is from the charitable or religious organization are not required to file Form ITR-6 (exempt under Section 11).
The taxpayer liable to file Form ITR-6 must obtain an audit report under Section 44-AB. As per section 44-AB, an entity whose sales, turnover, or gross receipt exceed INR 1 Crore in the preceding financial year must compulsorily get its accounts audited from a Chartered Accountant.
Procedure to fill out ITR-6
The following is a convenient sequence for filing Form ITR-6:
- Part A (and its sub-sections) – All the Schedules
- Part B (its sub-section) – Verification
This income tax return is a complete online form and has to be furnished electronically by affixing the DSC of the assessee. While filling ITR-6, no document is required to be attached with return. It is advisable for the taxpayers to tally the data with their Tax Credit Statement Form 26 AS about tax deducted, collected, and paid by them.
WHO CANNOT FILE FORM ITR-6?
This form is not filed by the following taxpayers:
- Firms
- Individual
- HUFs
- Association of Person
- Body of Individual
- Local authority
- Companies that claim exemption u/s 11
Those companies who have any component of income from the religious or charitable organization can seek exemption under section-11. Thus, in simpler words, an entity not seeking exemption under section-11 shall file ITR-6.
STRUCTURE
Form ITR-6 is a detailed form divided into two parts, i.e. Part-A and Part-B (along with their sub-sections) with multiple schedules that consist of information relating to income and tax of the assessee. Let us go through these in tabular format for understanding in detail:
Part A (and its sub-sections)
General Information
This sub-section shall be filed with basic details of entity such as Name, PAN number, address, CIN, incorporation date, etc.
General Information
This sub-section shall be filed with basic details of entity such as Name, PAN number, address, CIN, incorporation date, etc.
Balance Sheet
This sub-section shall consist of details relating to the balance sheet of the company such as liabilities, current liabilities, share capital, and more.
Manufacturing Account
This sub-section requires the figures of manufacturing accounts relating to inventory such as opening stock, closing stock, and cost of goods produced.
Profit & Loss Account
This sub-section shall be filed with details of the company’s profit or loss incurred during the relevant financial year.
Part B (and its sub-sections)
Part B-TI
Computation of Total Income
Part B-TTI
Computation of Tax Liability on Total Income
| SCHEDULES | PURPOSE |
| Bank account details | |
| Schedule –HP | For computing incomes under the head Income from House Property |
| Schedule –BP | For computing incomes under the head “profit and gains from business and profession |
| Schedule –DPM | For calculating depreciation on plant & machinery |
| Schedule –DOA | For a summary of depreciation on all assets |
| Schedule –DCG | For calculating the deemed capital gain on sale of depreciable assets |
| Schedule –ESR | Deductions u/s 35, i.e. expenditure on scientific research |
| Schedule –CG | For calculating income under the head “Capital gains” |
| Schedule –OS | For calculating income from other sources |
| Schedule –CYLA | Calculating the income after setting off the current year’s loss |
| Schedule –BFLA | Calculation of income after setting off the unabsorbed loss of the previous year |
| Schedule –CFL | Statement of loss for carrying forward to a further year |
| Schedule –UD | Statements of unabsorbed depreciation and allowance |
| Schedule –ICDS | Income computation disclosure standards on profit |
| Schedule –10AA | Deductions u/s 10AA |
| Schedule –80G | Details of deduction u/s 80G relating to donations |
| Schedule –80 GGA | Statement of donations for scientific research and rural development |
| Schedule –VIA | Statement of deductions from total income under chapter VI-A |
| SCHEDULES | PURPOSE |
| Schedule –SI | Details of income chargeable at special tax rates |
| Schedule –PTI | Details relating to passing through income from business trust or investment fund |
| Schedule –EI | Statement of exempted incomes |
| Schedule –MAT | Details of tax payable u/s 115JB (Minimum Alternate Tax) |
| Schedule –DDT | statement of tax paid on dividend, i.e. “dividend distribution tax” |
| Schedule –BBS | Details of tax distributed income on buyback of shares |
| Schedule –ESI | Statement of foreign incomes and tax relief thereto |
| Schedule –IT | Details on advance-tax paid and self-assessment tax |
| Schedule –TDS | Details of TDS on incomes other than salaries |
| Schedule –TCS | Statement of TCS (Tax collected at source) |
| Schedule –FSI | Statement of income accruing outside India |
| Schedule –TR | Details of tax relief claimed for foreign tax paid |
| Schedule –FA | Complete details of foreign assets and foreign income |
| Schedule –SH1 | Details of shareholding of an unlisted company |
| Schedule –SH2 | Details of shareholding of start-ups |
| Schedule –AL1 | Statement of assets and liabilities at the end of the year |
| Schedule –GST | Statement of turnover reported for GST |
| Schedule –FD | Details of payment/receipt made in foreign currency |
Ø General due date for filing income tax return by the assessee requiring tax audit is 30th September of the relevant financial year. However due to COVID-19, the date for filling ITR-6 for the financial year 2019-20 has been extended to 31st October 2020.
Ø ITR-6 must be filed by companies that are not claiming exemption under section 11 (Income from property held for charitable or religious purposes)
Ø ITR-6 cannot be filed by Taxpayers who fall under the below category :
- Individuals, Hindu Undivided Family (HUF), Firm, Association of Person (AOP), Body of Individuals (BOI), Local Authority and Artificial Judiciary Person
- Individuals, Hindu Undivided Family (HUF), Firm, Association of Person (AOP), Body of Individuals (BOI), Local Authority and Artificial Judiciary Person
Ø ITR-6 form is to be used when the tax payer is registered as a Company under Indian Companies Act of 1956 or any other law, and if the company is not claiming exemption under section 11 (Income from property held for charitable or religious purposes).
Ø Due date for filing the income tax return is 30th September.