Filing of Income tax return is compulsorily required if income during the previous year exceeds the maximum amount which is not chargeable to tax. But, the amendment has been made in Budget 2012 which mandates residents for compulsory filing of return in case of assets located outside India. Amendment made in Section 139 provides that every resident having any assets (including financial interest in any entity) or signing authority in any account located outside India shall compulsorily file, on or before the due date, a return in respect of income or loss in such form and manner as may be prescribed. Moreover,Â filing of return by such residents is mandatory irrespective of the fact whether he has taxable income or not. This amendment will take effect retrospectively from the 1st day of April, 2012 and will accordingly apply to assessment year 2012-13 and subsequent assessment years. So, from Assessment year 2012-13 following assessees are compulsory required to file income tax return:
- Assessee whose income exceeds the basic exemption limit and
- Every resident having any assets (including financial interest in any entity) or signing authority in any account located outside India.