ITR-3 available in Income Tax Portal

ITR-3 available in Income Tax Portal



The Income Tax Department has enabled ITR-3 which is applicable for individual and HUF who have income from profits and gains from business or profession. A total of four ITR Forms including ITR-1, 2, 3 and 4 has been launched by the department so far.

On April this year, The Central Board of Direct Taxes (CBDT) has notified Income Tax Return Forms (ITR Forms) for the Assessment Year 2018-19.

Initially, ITR-1 which can be filed by an individual who is resident other than not ordinarily resident, having income up to Rs.50 lakh and who is receiving income from salary, one house property / other income (interest etc.) has been enabled in the portal.

ITR Form-2 has also been rationalized by providing that Individuals and HUFs having income under any head other than business or profession shall be eligible to file ITR Form-2.  The Individuals and HUFs having income under the head business or profession shall file either ITR Form-3 or ITR Form-4 (in presumptive income cases).

The persons having income from following sources are eligible to file ITR 3, i.e, (i) carrying on a business or profession, or (ii) Return may include income from House property, Salary/Pension and Income from other sources.

The following changes have been made in ITR-3 for the year 2018-19.

  • In the general information tab an option to select section 115H (who is a non-resident Indian in any previous year, becomes assessable as a resident in India in respect of the total income of any subsequent year) has been added.
  • In the Profit and Loss schedule, the GST related details have been added
  • Limitation of maximum 40% depreciation in all depreciation related Schedules
  • Partners of partnership firms as against ITR 2 will have to file their returns in ITR 3

DOWNLOAD ITR 3 in JAVA Utility here



27th GST council meeting discusses change in GST rate for digital transactions and imposition of Sugar Cess

27th GST council meeting discusses change in GST rate for digital transactions and imposition of Sugar Cess



1. Incentive to promote Digital Transactions:

a. Keeping in view the need to move towards a less cash economy, the Council has discussed in detail the proposal of a concession of 2% in GST rate [where the GST rate is 3% or more, 1% each from applicable CGST and SGST rates] on B2C supplies, for which payment is made through cheque or digital mode, subject to a ceiling of Rs. 100 per transaction, so as to incentivise promotion of digital payment.

b. The council has recommended for setting up of a Group of Ministers from State Governments to look into the proposal and make recommendations, before the next Council meeting, keeping in mind the views expressed in GST Council.


2. Imposition of Sugar Cess over and above 5% GST and reduction in GST rate on ethanol:

a. Keeping in view the record production of sugar in the current sugar season, and consequent depressed sugar prices and build-up of sugarcane arrears, the Council discussed the issue of imposition of sugar cess and reduction in GST rate on ethanol in great detail.
b. The council has recommended for setting up of a Group of Ministers from State Governments to look into the proposal and make recommendations, within two weeks, keeping in mind the views expressed in GST Council in this regard.






Launch of GST


Simplified Return Filing Process and ITC claiming process:

  1. A comprehensive single return with details of inward and outward supplies. This will reduce the number of returns, help in invoice matching and have all details in one place. Focus will be on making everything tech savvy, on the move and supporting the idea of Digital India.
  2. Simplified ITC claiming process is the need of the hour to avoid waiting for confirmations, acceptances from the recipient or tedious tasks of uploading sale/purchase details to avail the credit.


Two percent Incentive for Digital Payments

The GST Council, after its 27th Meeting, has decided to approve a proposal wherein a 2 per cent concession, subject to a ceiling of Rs 100 per transaction, may be offered to consumers in B2C transactions if they pay through digital modes.

While attending a press conference after the GST Council meeting, Finance Minister Arun Jaitley said that “the issue before the council was whether on digital payments through either the banking mode or the cheque mode or any form of digitized mode, a two percent incentive should be given to those who pay entirely through digitized mode. This would be subject to a  cap of Rs. 100 per voucher. And this would not apply to the composition dealers.”

The Government‘s move to provide concessional rate for digital payments under GST in B2C transactions is estimated to cost the exchequer around Rs 10,000-25,000 crore, depending on the share of such transactions in total digital transactions in a year.


E-Way Bill:

  1. A possible process wherein the E-Way bill is checked just once during transit
  2. Alternate lines for uploading details for generating EWBs in case of un-supported formats
  3. One-nation, one format for generating E-Way bill were states will avoid having their own forms in addition to the basic notified ones.


Reverse Charge Mechanism:

  1. Preponement of applicability of Reverse charge mechanism(Before June 30). This could be initially only for a particular class of taxpayers, say dealers under composition scheme.

Other points:

  1. Imposition of a cess on sugar to help farmers
  2. Include Real Estate/transfer of property into the GST regime
  3. Amendment of the ITC provision in the GST to enable any business to take credit on any business-related expenses (employee transport etc.)
  4. Exemptions for payments made by employees for the services received from the employers (eg: canteen services)
  5. Based on various adjudications on anti-profiteering norms under GST, some clarity is expected from the council
  6. Encouragement for digital transactions by providing cash backs,  discounts, credits etc.



GST Council Defers Decision on Sugar Cess: New Ministerial Panel To Review the Proposal

GST Council Defers Decision on Sugar Cess: New Ministerial Panel To Review the Proposal



The 27th meeting of the GST Council today decided to defer a final decision on Sugar Cess. Earlier, there were reports that the Central Government is likely to introduce sugar cess under the Goods and Services Tax ( GST ) regime after getting the approval of the Council.

Though it is against the principles of the GST laws, Sugar cess is a part of the GST Council’s agenda, but gains significance after the Cabinet meeting on Wednesday approved financial assistance at the rate of Rs. 5.50 per quintal of cane crushed in sugar season 2017-18 to sugar mills to offset the cost of cane and in order to help sugar mills to clear cane dues of farmers.

Reportedly, the States were against imposing sugar cess as it is totally against the concept of GST.

The Council further directed the Group of Ministers to discuss the issue and make a recommendation to the Council in this regard.