Income Tax Return - 3

For individuals and HUF with income from profits of a business or profession. ITR 3 is the form used by the individuals and Hindu Undivided Families who are registered as ‘Partners’ in a firm. . This is applicable for the professionals but in a partnership profession. The partner must be earning income in the form of interest, salary, bonus, commission, etc.

Eligibility To File ITR-3

• The return may include income from House property, Salary/Pension, capital gains and Income from other sources.
• Carrying on a business or profession.
• Applicable for Tax Audit and Non Tax Audit cases.

What is the structure of the ITR-3 Form for AY 2024-25.

ITR-3 is divided into:

• Part A
  • Part A-GEN: General information and Nature of Business.
  • Part A-BS: Balance Sheet as of March 31, 2024, of the Proprietary Business or Profession.
  • Part A- Manufacturing Account: Manufacturing Account for the financial year 2023-24.
  • Part A- Trading Account: Trading Account for the financial year 2023-24.
  • Part A-P&L: Profit and Loss for the financial Year 2023-24.
  • Part A-OI: Other Information (optional in a case not liable for audit under Section 44AB).
  • Part A-QD: Quantitative Details (optional in a case not liable for audit under Section 44AB).

After this, there are the following schedules.

• Schedule-S: Computation of income under the head Salaries.
• Schedule HP: Computation of income under the head Income from House Property.
• Schedule BP: Computation of income from business or profession.
• Schedule DPM: Computation of depreciation on P&M under the Income-tax Act.
• Schedule DOA: Computation of depreciation on other assets under the Income-tax Act.
• Schedule DEP: Summary of depreciation on all the assets under the Income-tax Act.
• Schedule DCG: Computation of deemed capital gains on the sale of depreciable assets.
• Schedule ESR: Deduction under section 35 (expenditure on scientific research).
• Schedule-CG: Computation of income under the head Capital gains.
• Schedule 112A: Details of Capital Gains where section 112A is applicable.
• Schedule 115AD(1)(b)(iii)Proviso: For Non Residents Details of Capital Gains where section 112A is applicable.
• Schedule OS: Computation of income under the head Income from other sources.
• Schedule CYLA-BFLA: Statement of income after set off of current year’s losses and Statement of income after set off of unabsorbed loss brought forward from earlier years.
• Schedule CYLA: Statement of income after set off of current year’s losses.
• Schedule BFLA: Statement of income after set off of unabsorbed loss brought forward from earlier years.
• Schedule CFL: Statement of losses to be carried forward to future years.
• Schedule UD: Statement of unabsorbed depreciation.
• Schedule ICDS – Effect of Income Computation Disclosure Standards on Profit.
• Schedule 10AA: Computation of deduction under section 10AA.
• Schedule 80G: Statement of donations entitled for deduction under section 80G.
• Schedule RA: Statement of donations to research associations etc. entitled for deduction under section 35(1)(ii) or 35(1)(iia) or 35(1)(iii) or 35(2AA).
• Schedule 80IA: Computation of deduction under section 80IA.
• Schedule  80IB: Computation of deduction under section 80IB.
• Schedule 80IC/ 80-IE: Computation of deduction under section 80IC/ 80-IE.
• Schedule VI-A: Statement of deductions (from total income) under Chapter VIA.
• Schedule AMT: Computation of Alternate Minimum Tax Payable under Section 115JC.
• Schedule AMTC: Computation of tax credit under section 115JD.
• Schedule SPI: Statement of income arising to spouse/ minor child/ son’s wife or any other person or association of persons to be included in the income of the assessee in Schedules-HP, BP, CG and OS.
• Schedule SI: Statement of income which is chargeable to tax at special rates.
• Schedule IF: Information regarding partnership firms in which assessee is a partner.
• Schedule EI: Statement of Income not included in total income (exempt incomes).
• Schedule PTI: Pass through income details from a business trust or investment fund as per section 115UA, 115UB.
• Schedule TPSA: Secondary adjustment to transfer price as per section 92CE(2A).
• Schedule FSI: Details of income from outside India and tax relief.
• Schedule TR: Statement of tax relief claimed under section 90 or section 90A or section 91.
• Schedule FA: Statement of Foreign Assets and income from any source outside India.
• Schedule 5A: Information regarding apportionment of income between spouses governed by Portuguese Civil Code.
• Schedule AL: Asset and Liability at the end of the year(applicable where the total income exceeds Rs 50 lakhs).
• Schedule GST: Information regarding turnover/ Gross receipt reported for GST.
• Part B-TI: Computation of Total Income.
• Part B-TTI: Computation of tax liability on total income.
• Verification.