The Central Board Of Direct Taxes (CBDT) has made it mandatory for all individuals and Hindu Undivided Family (HUF) having annual income of more than Rs 10 lakh to file their returns through E-filing for which digital signatures are not necessary.
“E-filing has been made compulsory for assessment year 2012-13 onwards for an individual or a HUF, if the total income exceeds Rs 10 lakh,” a press note issued by the CBDT on Monday said. However, digital signature will not be mandatory for these taxpayers and they can also transmit the data in the return electronically and, thereafter, submit the verification of the return in Form ITR-V.
E-filings of returns under digital signatures is already mandatory for any company required to furnish return, or for an individual or HUF whose annual income is Rs 40 lakh and above and required to furnish the return in Form ITR-4. The income tax department had received a record number of 1.64 crore returns electronically last year for the assessment year 2011-12, the note said. The electronically filed returns are processed at the Centralized Processing Centre at Bangalore. The processing for e-filed return is faster and taxpayers get their refunds, if due, quickly. The department also provides some value-added services like tracking of refunds, viewing tax credit status (Form 26AS), e-mail and SMS alerts regarding status of processing and refunds to taxpayers, who e-file their returns.