RETURN OF INCOME
Return of income is filled in the following section
Section 139 (1)
Section 139 (1A)
Section 139 (3)
Section 139 (4)
Section 139 (4A)
Section 139 (4B)
Section 139 (4C)
Section 139 (4D)
Section 139 (5)
Section 139 (1)
Section 142 (1)
Section 148
Section 153A
SECTION 139(1)
As per Section 139(1),
Every Person being
(a) a company or a firm ; or
(b) a person other than a company or firm, if his total income or the total income of any other person in respect of which he is assessable under this act during the previous year exceeded the maximum amount which is not chargeable to tax
Shall on or before the due date, furnish a return of his income or the income of such other person during the previous year in the prescribed form and in the prescribed manner and setting forth such other particulars as may be prescribed.
In Simple words, Section 139(1) says
A company and a firm is required to furnish the Return of income (ROI) in all cases.
E.g. In all the following cases also, Company/Firm is required to furnish the ROI
a) A newly incorporated company/firm which has not commenced its business.
b) A company/ firm whose entire income is exempt from income tax.
c) A company/ firm which has incurred a loss.
d) A company / firm which is in the process of setting up the business.
And
Every other person is required to furnish the return of income only if his taxable income exceeds the maximum amount not chargeable to tax.
FOURTH PROVISO TO SECTION 139(1),
Provided also that every person,
Being an individual or
A hindu undivided family or
An association of person or body of individual, whether incorporated or not, or
An artificial judicial person,
If his total income or the total income of any other person in respect of which he is assessable under this act during the previous year
Without giving effect to the provision of section 10A or Section 10 B or chapter VI A
Exceeded the maximum amount which is not chargeable to income tax,
Shall on or before the due date,
Furnish a return of his income or the income of such other person during the previous year, in the prescribed manner and setting forth such other particulars as may be prescribed.
Proviso means Exception and Fourth Proviso of section 139(1) means the fourth exception of Section 139 (1). The first three Proviso of Section 139(1) deleted now.
Explanations of Fourth proviso in simple words
The fourth proviso says if the total income of person (Person includes an individual, Hindu undivided family, association of person or body of individual, whether incorporated or not, artificial judicial person) without giving effect to the provision of section 10A or10B or chapter VI A exceeded the maximum amount which is not chargeable to income tax shall required to file the return.
Reason of this proviso is as below:
AO can assess those cases in scrutiny only, for which the return is filled.
By this proviso those cases can come for the scrutiny whose taxable income is less than or equal to160000 (the maximum amount not chargeable to tax) but the total income without making deduction of section 10A or 10B or chapter VI-A is more than 160000 and by this AO can check whether the deduction is rightly computed or not.
Complied by Archana Jagga CA
Complied by Archana Jagga CA