Annual Information Return (AIR) of 'high value financial transactions'
is required to be furnished under section 285BA of the Income-tax Act,
1961 by 'specified persons' in respect of 'specified transactions'
registered or recorded by them during the financial year. The due date of
filing of the return is the 31st of August of the following year. The
'specified persons' and the 'specified transactions' are listed in Rule
114E of the Income-tax Rules, 1962. Briefly, these are as under:
| Sl. No. (1) |
Class of Person (2) |
Nature and Value of
transaction (3) |
Clarifications by
Central Board of Direct Taxes vide Circular No.07/2005 dated 24th Aug,
2005 (4) |
1. |
A Banking Company to which the Banking Regulation Act,
1949(10 of 1949), applies (including any bank or banking institution
referred to in section 51 of that Act). |
Cash deposits aggregating to ten lakh
rupees or more in a year in any savings account of a person maintained
in that bank |
Only the aggregate of all the cash
deposits in the savings account of a person to be reported as one
transaction and the date of the transaction is to be the last date of
the financial year i.e. 31.03.2005 in respect of FY 2004-2005. |
| 2. |
A Banking Company to which the Banking
Regulation Act, 1949 (10 of 1949), applies (including any bank or
banking institution referred to in section 51 of that Act) or any
other Company or institution issuing credit card. |
Payments made by any person against bills
raised in respect of a credit card issued to that person, aggregating
to two lakh rupees or more in the year. |
Only the aggregate of all the payments by
a person to the credit card company is required to be reported as one
transaction and date of transaction is to be the last date of the
financial year i.e. 31.03.2005 in respect of FY 2004-05. |
| 3. |
A trustee of a Mutual Fund or such other
person managing the affairs of the Mutual Fund as may be duly
authorized by the trustee in this behalf. |
Receipt from any person of an amount of
two lakh rupees or more for acquiring units of that fund. |
The amount actually received from the
transacting party and not the amount relating to allotment is to be
reported. |
| 4. |
A Company or institution issuing bonds or
debentures. |
Receipt from any person of an amount of
five lakh rupees or more for acquiring bonds or debentures issued by
the Company or institution. |
The amount actually received from the
transacting party and not the amount relating to allotment is to be
reported. |
| 5. |
A Company issuing shares through public
or rights issue. |
Receipt from any person of an amount of
one lakh rupees or more for acquiring shares issued by the Company. |
The amount actually received from the
transacting party and not the amount relating to allotment is to be
reported. |
| 6. |
Registrar or Sub Registrar appointed
under section 6 of the Registration Act, 1908 |
Purchase or sale by any person of
immoveable property valued at thirty lakh rupees or more. |
There may be certain situations where the
transaction in respect of property valued at thirty lakh rupees
involves joint parties and value for one or more parties is less than
rupees thirty lakh. In such situations, all such transactions are to
be reported in respect of all the joint parties even though the value
of transaction in the hands of one or more of the joint parties is
less than the threshold limit. |
| 7. |
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 duly authorized by the Reserve Bank of India in this
behalf. |
Receipt from any person of an amount or
amounts aggregating to five lakh rupees or more in a year for bonds
issued by the Reserve Bank of India. |
The aggregate of all the receipts from a
person is required to be reported as one transaction and the date of
the transaction is to be mentioned as the last date of the financial
year i.e. 31.03.2005 in respect of FY 2004-05. |
As per this rule, specified persons (Filers) should prepare their AIR
in Form 61A (Part B) on computer readable media (i.e. CD or Floppy),
supported by a duly signed verification and control chart in Form 61A
(Part A) in paper format.
AIR should be furnished to the Commissioner of Income-tax (Central
Information Branch) i.e. CIT (CIB). CBDT has authorized NSDL to receive
AIR through the TIN Facilitation Centers on behalf of CIT (CIB). Filers
may also file AIR online through internet.
