ITR-7 Return Filing

What is the eligibility to file the ITR-7 Form?

• Section 139(4A) requires everyone receiving income from property held under a trust or other legal obligation used exclusively or mainly for charitable or religious purposes to file a return.
• If your total income exceeds the amount not subject to income tax before applying section 139A. If this is the case, the political party must file a return under section 139(4B).
• In accordance with section 139(4C), all scientific research associations, news organizations, associations or institutions listed in section 10(23A), institutions listed in section 10(23B), funds or institutions, universities or other educational institutions, hospitals, and other medical institutions are required to file returns.
• 139(4D) requires every university, college, or other institution that is not required to provide a return of revenue or loss to file a return.
• The business trust must file a return under section 139(4E) if it is not required to file a return under another provision of this section.
• A return under section 139(4F) is required for any investment fund described in section 115UB. Returns of income or loss are not required under any other requirements of this section.

Who is not required to submit an ITR 7 for the AY 2021–22?

The taxpayers who do not claim exemptions under Sections 139(4A), 139(4B), 139(4C), and 139(4D) of the Income Tax Act, 1961, are not liable or eligible to file ITR 7.

How do I file Form ITR 7?

You can submit ITR – 7 form both electronically and on paper through the official online portal. You must submit your income tax return before the deadline:-

• You can use a tool or use the option to “Prepare online and submit” to electronically submit the ITR on the Income Tax Department’s e-filing platform 
• Once you have successfully connected to your income tax account, all you need to do is save, verify, and submit your tax return to complete the ITR using the “Prepare online and submit” option.
• The JAVA program and an excel tool provided by The Income Tax Department can be edited to include information about your earnings, tax breaks, exemptions, and investments. You can upload the file by logging into your account on the e-filing portal once you have completed and validated each part and schedule.

What is the ITR 7 Form’s structure?

ITR 7 is divided into two parts and several schedules:

General information in Part A

Schedules for Income Tax Return Verification in Part B

General Information, Part-A

You must furnish part-A with your basic contact information and information about any projects or organisations you manage. Additionally, mention the sections under which you are filing the ITR and the areas under which the exemption is being claimed.

• The required basic personal information includes Name, PAN, date of incorporation, residence, taxable status, and sub-status.
• Describe the details of your initiatives and organisations.
• Mention the information about your organisations and its projects that were managed last year
• Choose the activity’s kind and category from the drop-down menu, along with the list of the project’s or organisation’s name. 
• It is important to specify all sections under which you are claiming an exemption else it might get rejected.
• Mention the section under which your income tax return is being filed in regard to the File Status
• If you are filing a revised, flawed, or modified return, then mention the receipt number and the date of submitting an initial return.
• Provide the Document Identification Number (DIN) and the date of the notification or order if you file the return in response to it.
• In case the assessee is not present and someone else is representing them, then the representative’s name, title, location, and PAN must be provided.
• Provide accounting information, such as the specifics about the equity shares you own, including the firm name, its opening balance, the purchases in that year, and the closing balance.
• Mention the section for which you are subject to audit
• Give the membership number, name, and kind of auditor (firm/proprietorship) of the person signing the tax audit report. Include the proprietorship’s or company’s Permanent Account Number (PAN) or Aadhaar number, as well as the date of the audit report.
• Mention the names and contact information of all members of the AOP on March 31, 2021.
• The information of your Name, address, percentage of ownership, PAN, Aadhaar number, and enrollment ID must be submitted

Part-B: The Income Statement for the Period Ended March 31, 2021

You must determine the total annual income in Part B.

• If you are a trust or institution registered under section 12A/12AA or have acquired authority for section 10 (23C)(iv), (v), or (vi), you must complete items 1-7 for the computation of your total income for the year.
• In case you are claiming exemption under any other provision of section 10, then provide the exemption amount at item No. 8 or 9, or 10, 
• If you are a political party that is claiming an exemption under section 13A, then you need to mention the amount eligible for exemption at item No. 12a 
• Mention the amount eligible for exemption at item No. 12b if you are an electoral trust claiming an exemption under section 13B. Mention the amount under the separate heads of income subject to tax for the year at item 13.

The tax due on total income is calculated in Part B.

Based on your total income for the fiscal year, you must determine your tax liability in this part:

• The total amount of tax is to be determined at the appropriate rates.
• Calculate the gross tax liability after applying the surcharge and the health and education cess.
• When calculating the net tax due for the year, consider the tax reliefs provided by sections 90/90A/91.
• In order to calculate the total tax liability, add the interest and penalties due for various compliance failures.
• You need to claim the credit of prepaid taxes such as advance tax, TDS, TCS, and self-assessment tax to determine the net amount payable or refundable, 
• Tax Payment Item No. 15

Part A: Information on Advance Tax and Self-Assessment Tax Payments

If you made any self-assessment taxes or advance tax payments during the fiscal year, you must specify them. The amount, the date of deposit, and the serial number from the challan should be indicated.

Part-B: Details of Income Tax Deducted at Source

According to Form 16A, Form 16B, or Form 16C, you must fill out this section with information regarding TDS on income other than salary.

• The TDS credit of oneself or others [others in accordance with rule 37BA]
• An Aadhar or PAN (if it relates to someone else)
• The deductor’s TAN, the tenant’s PAN, and the buyer’s Aadhar are brought forward (b/f).
• TDS of the current Fiscal Year. The TDS Credit Being Claimed This Year (Only Applicable If Corresponding Income Is Offered For Tax This Year, Not Applicable If TDS Is Deducted Under Section 194N) Corresponding Receipts/Withdrawals Being Offered TDS Credit Being Carried Forward.

Part-C: Tax Collected at Source (TCS) Details Performed On Form 27D

You must enter information on TCS’s earnings for the year following Form 27D.

• The unclaimed TCS of the current fin has been moved forward (b/f). Account numbers and names for tax deductions and tax collections.
• If corresponding income is being offered for tax this year, the amount of the five or six claims made this year (only if corresponding income is being claimed this year)
• Amount from (5) or (6) that will be carried forward

Frequently Asked Questions