Income Tax introduces new forms to track those earning over 50 lakh

New Delhi, April 2: Post the Vijay Mallya incident, the income tax department is being extra careful while tracking individuals who have income above 50 lakhs per annum. They should now disclose the details and cost of their immovables and movable assets such as jewellery, vehicles, yachts, boats and aircrafts.

The I-T, on Wednesday, notified a new set of nine income tax return forms for assessment year 2016-2017. A finance ministry's gazette order said that taxpayers can file their ITRs by July 31, 2016.

A statement released by the Central Board of Direct Taxes said,"With Assessment Year 2016-17, individuals and HUFs filing their returns of income in ITR-1, ITR-2, ITR-2A and ITR-4S, having income exceeding Rs50 lakh will now be required to furnish information regarding assets and liabilities in Schedule-AL of the relevant ITR form."

While the previous income tax regulations required furnishing details about the income in ITR-3 and ITR-4, now individuals and HUFs not having income from business and profession need to furnish information of their income if it exceeds a specified limit.

While a senior government official believed that the additional reporting has been introduced to check tax evasion by HNIs, it is also believed that this will help the government map an individual's income against his assets and liabilities.

The asset and liability section of the form introduced by the I-T department has been termed the "Asset and Liability at the end of the year" and requires the disclosure of the immovable assets such as land and building and their cost and movable properties such as cash at hand and cost of jewellery, bullion, vehicle, yachts, boats and aircraft.

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