Directors, investors in unlisted cos cannot file ITR Sahaj, Sugam
New Delhi: The Income Tax department has barred directors as well as those who have invested in unlisted companies from filing ITR forms Sahaj and Sugam in a bid to clamp down on shell companies and check routing of black money.
According to the new tax return forms for Assessment Year 2019-20 notified by the I-T department, the directors in both listed and unlisted companies will be required to file their returns in ITR-2 in which they will have to disclose details of Director Identification Number (DIN), Permanent Account Number (PAN), equity holding along with the names of the companies.
Similarly, investors in unlisted equity shares too will have to give details, like acquisition cost, sale consideration, date of purchase/sale, of holding of such shares at any time during the previous year.
ITR-1 or Sahaj can now only be filed by resident individuals having a total income of up to Rs 50 lakh, from salaries, one house property, other sources (interest), and agricultural income up to Rs 5,000; excluding those who are directors or have invested in unlisted companies.
Sugam or ITR-4 will be filed by individuals, HUFs and firms with a total income of up to Rs 50 lakh under the presumptive income scheme from business and profession, provided the assessee is neither a director nor have invested in any unlisted company.
This stipulation, according to tax experts, is aimed at tightening the noose on unlisted companies appointing dummy directors and use shell companies to round trip black money.
As regards ITR-6, which is filed by the companies, the new forms provide for a separate column for Startups. They will have to provide details regarding recognition by Department of Industrial (DPIIT), investors, issue price of shares and funds received.
Unlisted companies filing ITR-6 too will have to provide details of investors, their residential status in India, PAN, date of allotment, number of shares held, issue price per share and amount invested.