Description

ITR-5 is the Income Tax Return form for entities other than individuals and HUFs. It is used by firms, LLPs, AOP/BOI, cooperative societies, business trusts, and investment funds.

Who Should File ITR-5?

ITR-5 is applicable for:

• Partnership Firms

• LLPs (Limited Liability Partnerships)

• AOP (Association of Persons)

• BOI (Body of Individuals)

• Artificial Juridical Persons

• Cooperative Societies

• Local Authorities

• Business Trusts & Investment Funds (Category I & II AIFs)

Who Cannot File ITR-5?

• Individual taxpayers

• HUFs

• Companies (they must use ITR-6)

Key Features of ITR-5

• Suitable for multiple types of business entities

• Covers business income, house property, capital gains, and other sources

• Requires reporting of partners’ details, profit-sharing ratios, and firm-level audit information

• Option to file using digital signature or EVC

ITR-6 is the Income Tax Return form for companies registered under the Companies Act, except those claiming exemption under Section 11 (charitable or religious trusts).

Who Should File ITR-6?

• Private Limited Companies

• Public Limited Companies

• One Person Companies (OPCs)

• Section 8 Companies (not claiming exemption under Section 11)

• All domestic and foreign companies operating in India

Who Cannot File ITR-6?

• Companies claiming Section 11 exemption (charitable/religious purposes) → They must file ITR-7

Key Features of ITR-6

• Mandatory electronic filing with digital signature (DSC)

• Detailed reporting for:

  • Profit & Loss Account, Balance Sheet

  • Audit reports (including Form 3CA/3CD or 3CB/3CD)

  • MAT calculations (Minimum Alternate Tax)

  • Shareholding patterns

  • CSR expenditures

• Ideal for full corporate taxation compliance

ITR-7 is the Income Tax Return form for persons required to file returns under Sections 139(4A), 139(4B), 139(4C), and 139(4D) of the Income Tax Act. It is mainly used by charitable, religious, political, scientific, and educational institutions.

Who Should File ITR-7?

Applicable for entities such as:

• Charitable & Religious Trusts (Sec. 139(4A))

• Political Parties (Sec. 139(4B))

• Scientific Research Institutions (Sec. 139(4C))

• Hospitals, Universities, Colleges, Educational Institutions (Sec. 139(4C)/(4D))

• News agencies

• Not-for-profit organizations (NPOs/NGOs)

Who Cannot File ITR-7?

• Entities with business income not covered under these sections

• Companies (must use ITR-6)

• Individual taxpayers

Key Features of ITR-7

• Designed for institutions claiming exemptions under Sections 11 and 12

• Requires detailed reporting on:

  • Income applied for charitable/religious purposes

  • Corpus donations

  • Voluntary contributions

  • Registration under Section 12AB / 80G / 10(23C)

• Must be filed electronically (with or without DSC)

• Ensures full compliance for non-profit and exempt entities