Who can sign/ e verify your Income tax return?
During previous year i.e. FY 2019-20 more than 6.5 crore Income tax returns were filed in India which includes all kind of Income tax return.
However just filing the return is not enough because until the Income tax return is signed and verified by the assessee it won’t be processed and if it’s not signed within due time the Income tax return is considered as defective u/s 139(9) of the Income Tax Act. Hence it’s very important to file the Income tax return and after that sign and verify the same.
Now, many would think why is this verifying of Income tax return compulsory? It’s important because one might get your e filing website id password and file income tax return showing false income and this might attract notices from Income tax department and hence to stop that and to know that assessee is aware about his/ her income tax return being filed it’s important for him to verify the same either by physically signing it or Aadhar OTP or bank EVC or digital signature. Who can use which forms of signing has been explained in earlier POST.
In case of individual we are aware that the individual himself would sign and verify his Income tax return. However the main issue comes in case of partnership firm, LLP and companies where there’s a confusion as to who all are eligible to sign and verify the Income Tax return.
Section 140, of the Income tax act defines the persons who all can verify the Income tax return in different situations:
In the case of an individual,
1. by the individual himself;
2. where he is absent from India, by the individual himself or by some person duly authorised by him in this behalf;
3. where he is mentally incapacitated from attending to his affairs, by his guardian or any other person competent to act on his behalf; and
4. where, for any other reason, it is not possible for the individual to verify the return, by any person duly authorised by him in this behalf.
In the case of a Hindu undivided family
The karta, and, where the karta is absent from India or is mentally incapacitated from attending to his affairs, by any other adult member of such family.
In the case of a domestic company
The managing director thereof, or where for any unavoidable reason such managing director is not able to verify the return, or where there is no managing director, by any director thereof.
In the case of a Foreign company
A person who holds a valid power of attorney from such company to do so, which shall be attached to the return.
Provided that,
where the company is being wound up, whether under the orders of a court or otherwise, or where any person has been appointed as the receiver of any assets of the company, the return shall be verified by the liquidator referred to in sub-section (1) of section 178;
where the management of the company has been taken over by the Central Government or any State Government under any law, the return of the company shall be verified by the principal officer thereof;
where in respect of a company, an application for corporate insolvency resolution process has been admitted by the Adjudicating Authority under section 7 or section 9 or section 10 of the Insolvency and Bankruptcy Code, 2016 (31 of 2016), the return shall be verified by the insolvency professional appointed by such Adjudicating Authority.
In the case of a partnership firm
The managing partner thereof, or where for any unavoidable reason such managing partner is not able to verify the return, or where there is no managing partner as such, by any partner thereof, not being a minor.
In the case of a limited liability partnership
The designated partner thereof, or where for any unavoidable reason such designated partner is not able to verify the return, or where there is no designated partner as such, by any partner thereof.
In the case of a local authority
The principal officer thereof.
In the case of a political party
The chief executive officer of such party (whether such chief executive officer is known as secretary or by any other designation).
In the case of any other association
By any member of the association or the principal officer thereof.
In the case of any other person
By that person or by some person competent to act on his behalf.
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