RULES/AMENDMENT RULES

I.T. (TWENTY-FIRST AMDT.) RULE, 2005

Income-tax (Twenty First) Amendment - Rules, 2005 - Substitution of rule 114E; omission of Form No. 65 and insertion of Form No. 61A in Appendix II of Income-tax Rules, 1962

NOTIFICATION NO. 182/2005 [F.NO. 142/44/2003-TPL], DATED 11-7-2005

In exercise of the powers conferred by section 295 read with section 285BA of Income-tax Act, 1961 (43 of 1961), the Central Board of Direct Taxes hereby makes the following rules further to amend the Income-tax Rules, 1962, namely:—

1. (1) These rules may be called the Income-tax (Twenty-first Amendment) Rules, 2005.

(2) They shall be deemed to have come into force from the 1st day of December, 2004.

2. In the Income-tax Rules, 1962,—

 (a)  for rule 114E, the following shall be substituted, namely :—

‘114E. Furnishing of Annual Information Return.—(1) The annual information return required to be furnished under sub-section (1) of section 285BA shall be furnished in Form No. 61A and shall be verified in the manner indicated therein.

(2) The return referred to in sub-rule (1) shall be furnished by every person mentioned in column (2) of the Table below in respect of all transactions of the nature and value specified in the corresponding entry in column (3) of the said Table, which are registered or recorded by him during a financial year beginning on or after the 1st day of April, 2004:—

TABLE

(3) The return referred to in sub-rule (1) shall be furnished to the Commissioner of Income-tax (Central Information Branch):

Provided that where the Board has authorised an agency to receive such return on behalf of the Commissioner of Income-tax (Central Information Branch), the return shall be furnished to that agency.

(4)(a) The return comprising Part A and Part B of Form No. 61A referred to in sub-rule (1) shall be furnished on computer readable media being a floppy (3.5 inch and 1.44 MB capacity) or CD-ROM (650 MB or higher capacity) or Digital Video Disc (DVD), along with Part-A thereof on paper.

Provided that a person responsible for furnishing the return, may, at his option, furnish the return through online transmission of electronic data to a server designated by the "Annual Information Return - Administrator" referred to in sub-rule (7) for this purpose under the digital signature of the person specified in sub-rule 6:

Provided further that the return shall be prepared in accordance with the data structure specified by the "Annual Information Return - Administrator" referred to in sub-rule (7) in this regard;

(b) The person responsible for furnishing the return shall ensure that—

  (i)  if the data relating to the return or statement is copied using data compression or backup software utility, the corresponding software utility or procedure for its decompression or restoration shall also be furnished along with the computer media return or statement;

 (ii)  the return is accompanied with a certificate regarding clean and virus free data.

Explanation.—For the purposes of this sub-rule, "digital signature" means a digital signature issued by any Certifying Authority authorised to issue such certificates by the Controller of Certifying Authorities.

(5) The return referred to in sub-rule (1) shall be furnished on or before 31st August, immediately following the financial year in which the transaction is registered or recorded.

(6) The return referred to in sub-rule (1) shall be signed and verified by-

 (a)  in a case where the person furnishing the return is an assessee as defined in clause (7) of section 2 of the Act, by a person specified in section 140 of the Act;

 (b)  in any other case, by the person referred to in column (2) of the Table below sub-rule (2).

(7) The Board may appoint an officer designated as Annual Information Return-Administrator, not below the rank of the Commissioner of Income-tax for the purposes of day to day administration of furnishing of the Annual Information Return including specification of the procedures, data structure, formats and standards for ensuring secure capture and transmission of data, evolving and implementing appropriate security, archival and retrieval policies’;

 (b)  in Appendix-II,

  (i)  Form No. 65 relating to Annual Information Return under section 285BA of the Income-tax Act, 1961, inserted vide the Income-tax (17th Amendment Rules), 2004 shall be omitted;

 (ii)  after Form No. 61, the following Form shall be inserted, namely:—

"FORM No. 61A

[See rule 114E]

Annual Information Return under section 285BA of the Income-tax Act, 1961

(PART-A)

n Please see the instructions and fill up relevant columns

      (Please leave one blank box between two words.)

 4.  Address (in block letters) (Please leave one blank box between two words.)

10. Medium of Annual Information Return (Please strike off inapplicable)-CD/Floppy/DVD/ONLINE

Verification

I,.............(full name in block letters), son/daughter of......solemnly declare that to the best of my knowledge and belief, the information given in Part A and Part B of this return is correct and complete. I further declare that I am making this return in my capacity as...........and I am also competent to make this return and verify it. I further certify that the floppy/CD-ROM/Digital Video Disk/online data through which Part-B is submitted is clean and virus free.

      (Please leave one blank box between two words.)

4. Address (in block letters) (Please leave one blank box between two words.)

9. Details of transactions :

INSTRUCTIONS FOR FILING ANNUAL INFORMATION RETURN

   1.    (i)  This return (Part A and Part B) be furnished on computer-readable media being a floppy (3.5 inch and 1.44 MB) or CD-ROM (650MB or higher capacity) or Digital Video Disc, along with Part-A thereof on paper.

 (ii)  In case the return filed is in a compressed format, it should be compressed using winzip 8.1 or ZipltFast 3.0 compression utility only.

(iii) The return be filed in one CD/floppy/DVD and should not span across multiple floppies/CDs/DVDs.

   2.  Please do not use any abbreviation like Pvt. Ltd., etc.

   3.  PAN is not required to be given in item No. 2 (Part A) and item No. 2 (Part B) by—

  (i)  Registrar or Sub-Registrar appointed under section 6 of the Registration Act, 1908;

 (ii)  A person being an officer of the Reserve Bank of India, constituted under section 3 of the Reserve Bank of India Act, 1934, who is authorised by the Reserve Bank of India for issue of bonds;

   4.  A Random Computer Generated Number (Folio Number) shall be allotted after filing of Annual Information Return for the first time. This number shall be quoted in item No. 3 Part A and item No. 3 (Part B) of the return for subsequent years.

   5.  Where the transacting party does not have PAN please mention 60 (in case Form no. 60 under rule 114B is received) or 61 (in case Form No. 61 under rule 114C is received) or NR (for Non-Resident) or G (for Central or State Government department or consular office) as the case may be.

   6.  State Code

   7.  Codes in respect of transactions to be reported

EXPLANATORY MEMORANDUM

It has been decided to give retrospective effect to the proposed amendment i.e., from the first day of December, 2004, the date from which rule 114E and the Form 65 were published in the Official Gazette vide S.O. No. 1316(E). It is certified that this will not prejudicially affect the interest of any assessee.

Note : The principal rules were published under notification No. S.O. 969 dated the 26th March, 1962 which has been amended from time to time, and last such amendment was made vide notification S.O. No. 932(E), dated 01-7-2005.