Form ITR 6 is applied to companies that are not claiming exemption under Section 11 of the Income Tax Act, 1961. Further, ITR 6 is an annexure less income tax return. Hence, you need to attach any documents while filing the return. You file ITR 6 Form electronically in the online filing portal on the income tax department. Along with the information on profit & loss, the balance sheet, deductions, and others, you also need to provide the information of the audit of the books of accounts. You can verify Form ITR 6 by the digital signature of the authorised signatory only. The other verification options are not necessary for taxpayers who are filing ITR 6 Form.
Who is Eligible to File ITR 6 Form?
- Form ITR 6 is to be filled by all companies irrespective of their structure registered under the Companies Act, 2013 and the earlier Companies Act 1956. Nevertheless, the companies whose source of income comes from the property that is held for charitable or religious purposes are not required to file ITR 6.
- In case the turnover, sales, or gross receipts exceed 1 crore rupees in the preceding financial year, the entity needs to get the accounts audited by a certified CA (Chartered Accountant).
Who is Not Eligible for File ITR 6 Form?
- Individuals, HUF (Hindu Undivided Family), AOP (Association of Person), Firm, BOI (Body of Individual), Local Authority & Artificial Judiciary Person.
- Companies which claim an exemption under Section 11 of (Income by property held for religious & charitable purposes) of the Income Tax Act, 1961.
The Structure of ITR 6 Form
Form ITR 6 is divided into Part A, Part B, and Schedules that include details relevant to the income & tax of the taxpayer.
Part A includes-
|General Information||this sub-section should be filed with the basic information of the entity like: Name Address,PAN numberCIN,Incorporation date, etc.|
|Trading Account||This sub-section needs the information that is relevant to the income & the expenditure of the company.|
|Manufacturing Account||This sub-section needs the figures for manufacturing the accounts relating to the inventory like: Opening stockClosing stockCost of the products that are manufactured.|
|Balance Sheet||this subsection shall consist of the information on the balance sheet of the company like: The liabilitiesShare capitalCurrent liabilities and more.|
|Profit & Loss Account||This sub-section shall be filed with the information on the company’s profit and loss that is incurred during the relevant financial year.|
|Schedule HP||For computing incomes under the head income by house property.|
|Schedule OS||For calculating income by other sources.|
|Schedule BP||For computing income under the profit & gains by business and profession.|
|Schedule DOA||For a summary of depreciation on all assets.|
|Schedule DPM||For calculating depreciation on plant and machinery.|
|Schedule DCG||For calculating the deemed capital gain on the sale of depreciable assets.|
|Schedule ESR||Deduction under section 35, i.e. expenditure on scientific research.|
|Schedule CG||For calculating income under the head of Capital gains.|
|Schedule CYLA||Calculating the income after setting off the current year’s loss.|
|Schedule CFL||Statement of loss for carrying forward to a further year.|
|Schedule BFLA||Calculating income after setting off the unabsorbed loss of the previous year.|
|Schedule UD||Statements of unabsorbed depreciation & allowance.|
|Schedule 10AA||Deductions under section 10AA|
|Schedule ICDS||Income computation disclosure standards on profit.|
|Schedule 80GGA||Statement of donations for rural development and scientific research.|
|Schedule VI-A||Statement of deductions by total income under chapter VI-A.|
|Schedule 80G||Information of deduction under section 80G relating to donations.|
|Schedule SI||Information of income chargeable at special tax rates.|
|Schedule EI||Details of exempted incomes.|
|Schedule PTI||Information relating to passing from by income from business trust/investment fund.|
|Schedule MAT||Information of tax payable under section 115JB (minimum alternate tax).|
|Schedule BBS||Information of tax distributed income on buyback of shares.|
|Schedule DDT||Details of tax paid on dividend, i.e. “dividend distribution tax”.|
|Schedule IT||Information on advance-tax paid & self-assessment tax.|
|Schedule ESI||Statement of foreign income & tax relief thereto.|
|Schedule TCS||Statement of tax collected at source.|
|Schedule TDS||Information of TDS on incomes other than salaries.|
|Schedule FSI||Details of income accruing outside India.|
|Schedule FA||Complete information on foreign assets & foreign income.|
|Schedule TR||Information of tax relief claimed for foreign tax paid.|
|Schedule SH1||Information of shareholding of an unlisted company.|
|Schedule SH2||Information on shareholding of start-ups.|
|Schedule GST||Details of turnover reported for GST.|
|Schedule AL1||Details of assets & liabilities at the end of the year.|
|Schedule FD||Information of payment or receipt made in foreign currency.|
Part B include-
- Part B- TI: Computation of total income, it includes-
- Income from house property;
- Capital Gains;
- Various deductions;
- Profit or gain from business/profession.
- Income from other sources, etc.
- Part B- TTI: Computation of tax liability on total income, it includes:
- Tax payable on total income under section 115JB;
- Interest & fee payable;
- Refund amount (if applicable);
- Tax relief under various sections of the Income Tax Act, 1961;
- Amount Payable (if applicable);
- Bank Information (domestic or international), etc.
- Information of Tax deducted at Source (TDS)
- Information on Tax collected at source (TCS).
Verification of the ITR 6 Form
- Under verification of the Form ITR 6, you require to enter your name, your father’s name, and the PAN of the person who is filing the return.
- In the case of companies, only the managing director can verify the income tax return. However, if they are not present for any unavoidable reasons, then any of the directors can verify the Income Tax Return.
- Before verification of the income tax return, always ensure that the part, schedules, and all information are as per the Income Tax Rules and Income Tax Act, 1961. Any incorrect statement in the return or the accompanying schedules can lead to a prosecution u/s 277 of the Income-tax Act, 1961.
- You can verify ITR 6 Form through a digital signature only.
Companies must also submit an income tax return to the income tax division. ITR 6 Form must be completed by businesses to file income tax returns. The company that claims an exemption under Section 11 and that earns money from holding real estate for charitable and religious reasons are not allowed to complete this form.
Read our Article:Types of ITR (Income Tax Returns)