Outlook Money
Changes in the ITR-7 were bought by the Central Board of Direct Taxes with the aim of improved reporting on taxes and a better tax administration.
The change in capital gains reporting include the introduction of date-based bifurcation. Now the capital gains for transaction before and after July 23, 2024 have to be made separately.
The direct aim of this change is to make sure that the correct tax rates and indexation benefits are applied at the time of each transaction.
The new forms for claiming TDS now ask one to disclose the compliance. Now, information in TDS claims and Form 26AD must be matched.
The mismatches during form 26AS are reduced by the compliance of TDS claim and form 26AD.
With the changes, the shareholders can claim a capital loss equivalent to the purchase price of the repurchased shares as long as the dividend income is recorded as "Income from Other Sources."
The changes in ITR-7 also include details about the house, property schedule, rent and interest on borrowed funds.