whether to file ITR every year or not

[swarupa mohanty]

Sir,

The assessee is a Recognized Provident Fund Trust duly approved by the CIT, thus exemption u/s 10(25)ii of the Income Tax Act,1961.

Qus - a. whether the trust has to file ITR every year or not ?

b. The assessee had inadvertently e-filed the return by not claiming the exemption u/s-10(25)ii , resulting to a demand raised by CPC what cause of action available ?

[Ganeshan Kalyani]

To my mind the compliance of filing of return is essential and error in doing so is encounter by most of the assesee. It is always better to appoint consultant. Other wise to meet and explain the Authority the fact that prevails in your case. Thanks.

AI Summary

Filing requirement for exempt provident fund trusts: annual returns may be required; rectify inadvertent omissions by explaining to tax authority.
The trust claims exemption u/s 10(25)ii but an e filed return omitted that claim, resulting in a CPC demand; filing a return remains a compliance obligation and common errors should be remedied by professional assistance or by meeting and explaining the factual basis for exemption to the tax authority to seek reconsideration of the demand.