Income Tax filing 2024: The Income Tax Department has released offline, online, and Excel utilities for ITR-3 for taxpayers for FY 2023-24 (AY 2024-25). To file the returns this year, individuals who need to file ITR-3 can now use one of utilities — offline (Java), online or Excel-based.
The three utilities are now available for download on the e-filing ITR portal under the ‘Downloads’ section. All these utilities have tabs that can be filled and then the updated and uploadable file can be created.
Read More: ITR Filing 2024: How can salaried employees download Form 16, 16A and 27D from TRACES website?
Online utility
Taxpayers using online utilities will be shown pre-filled data automatically in the ITR form. After confirming pre-filled data on each schedule and adding data (if any), they can easily file ITR. The Central Recordkeeping Agency (CRA) manages recordkeeping, administration, and customer support for National Pension System (NPS) intermediaries.
Offline or Java utility
The Java-based offline tool in JSON format is commonly utilised by taxpayers with significant data for ITR filing, such as individuals needing to keep accounting records, facing a tax audit requirement, or having information spread across multiple sections.
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Excel utility
Excel utility can be used by taxpayers who are facing issues using the Java-based utility.
Explaining the utilities, excel utility is to be downloaded and has tabs to fill and then the uploadable file can be created. Online utility is to be filled by logging into the e-filing ITR portal and one has to go page by page and submit their ITR, Divya Jokhakar, partner of a Mumbai-based CA firm and co-convenor of the Bombay Chartered Accountant Society (BCAS), told the Economic Times
She further said the offline utility is software that is downloaded and is Java-based, not Excel-based. “It’s comparatively easier when you don’t want to fill using the online utility process,” she added.
ITR-3 Form
The ITR-3 is applicable for individual and HUF who have income from profits and gains from business or profession. The persons having income from following sources are eligible to file ITR-3:
Have a business or profession (both tax audit and non-audit cases).
The return may include income from house property, salary/pension, capital gains and income from other sources.
The ITR-3 form is for those who do not qualify to file Form ITR-1 (Sahaj), ITR-2, or ITR-4 (Sugam).
In FY 2022-23, ITR-3 form was revised. Here are the changes:
> A new schedule VDA has been added to separately report your income from crypto/ other VDAs.
> If you treat income from VDAs as capital gains, a quarterly breakup will need to be given under the Capital Gains Schedule. In the new ITR-3, every VDA transaction will have to be reported along with the dates of sale and purchase.
> A few questions have been added in the new ITR 3 form to determine if you had opted out of the New Tax Regime in previous years.
> Foreign institutional investors (FII/FPI) must provide their SEBI registration number as an additional disclosure measure.
> There has been a small change in balance sheet reporting. According to the new ITR-3 form, advances received from individuals specified in Sec 40A(2)(b) of the Income Tax Act and others must be reported under the ‘Advances’ heading in Source of Funds.
> Turnover and income from intraday trading must be reported under the newly introduced section ‘Trading Account’.
