January 18, 2023
Jasmine John

What is the ITR 3 and How Can You File it?


The Income Tax Return 3 (ITR 3) is a form that should be utilized by an individual or HUF that earns income from earnings and gains from a profession or company. This will contain both tax audit and non-audit situations, as well as a business or a profession. The return comprises income from real estate, wages, pensions, capital gains, and other sources.

Who Files ITR 3

Any individual taxpayer or HUF is eligible to file the ITR 3. Furthermore, throughout the fiscal year, an individual taxpayer or a HUF generating money from a proprietary business or a person earning income from a profession shall file the ITR 3. In another case, the total income of an individual taxpayer or a HUF exceeds the amount that is not subject to income tax. Such income is determined before allowing deductions under Chapter VI-A of the Income-tax Act. The amount not subject to income tax varies depending on the kind of taxpayer. If the taxpayer's total taxable income is less than the basic exemption amount but one or more of the requirements listed below are satisfied, form ITR 3 must be submitted:

1. If the taxpayer has a position as a corporate director,

2. If the taxpayer holds an unlisted equity share interest at any point during the fiscal year.

3. If the taxpayer is a partner in a business and earns money from the business,

4. When the total amount in one or more current accounts owned by the taxpayer exceeds one crore.

5. When a taxpayer incurs a travel expenditure for a foreign journey, either for himself or for another person, in excess of Rs. 2 lakhs.

6. If the taxpayer incurs more than Rs. 1 lakh in energy usage costs,

7. Individuals can also submit income from a wage or pension, income from other sources, and revenue from real estate while filing income from a company or profession under ITR 3.

Who Is Exempt From Filing ITR 3?

When it comes to ITR 3 filings, certain criteria must be met. Individual taxpayers and HUFs eligible to submit ITR 1, ITR 2, or ITR 4 will be unable to file ITR 3. According to the circumstances, they should submit ITR1, ITR2, or ITR 4.

How To File Your Income Tax Return For Ay 2022-23

To e-file an ITR, users must first register an account on the e-filing platform. After that, you may log in and continue with the filing procedure. The official portal of the Income Tax Department, Ministry of Finance, Government of India is about-portal. The portal was created as a Mission Mode Project as part of the National E-Governance Plan. The goal of this site is to give taxpayers and other stakeholders with a single point of contact for income tax-related services.

Here's a step-by-step tutorial on how to accomplish it on the e-filing site.

1. Go to the Income Tax e-filing website and click the 'Login' option.

2. Log in to the portal using your username and password.

3. Once logged in, click on the "e-file" category and pick "File Income Tax Return" from the drop-down menu.

4. Select the necessary Assessment year and click "Continue."

5. Pick "online" as the filing option and 'individual' for the "Please select the status appropriate to you to proceed" category.

6. Choose the appropriate ITR form type.

7. From the options provided, select the appropriate basis for submitting returns over the basic exemption level.

8. Enter your banking information

9. Carefully read the income tax return summary and repair any errors that you find.

10. Finally, you must validate the returns and submit a physical copy to the Income Tax Department. This stage cannot be skipped under any circumstances since verification is required.

ITR 3 Form 2022 New Updates

9th July

u/s 139(8A) has been enabled for ITR 3 form as well as E-filing utilizing excel government utility for AY 2020-21 and 2021-22.

April 22nd, 2022

The taxpayers' ITR-3 form e-filing offline utility is now available on the income tax portal.

April 22nd, 2022

The income tax e-filing system now has the ITR 2 Validation rules V1 for AY 2022-23.

April 5, 2022.

ITR-3 JSON Schema for the AY 2022-23.

December 16, 2021

For the fiscal year 2021-22, the income tax department has issued notice No. 134/2021/F. No. 178/4/2021-ITA-I relating to the Life Insurance Corporation of India

September 17, 2021

The deadline for completing penalty procedures under the Act has also been extended from September 30, 2021, to March 31, 2022."

November 22nd, 2020

The Instruction Sheet for Filing ITR 3 Form has been mentioned on the Tax Department's web.


Virtual Account: Guide to Seamless Cash Collection
GST: Most Frequently asked questions

Related Blog Post