Clarification in respect of option under section 115BAC of the Income-tax Act, 1961

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..... 5BAC of the Income-tax Act, 1961 Section 115BAC of the Income-tax Act, 1961 (the Act), inserted by the Finance Act, 2020 w.e.f the assessment year 2021-22, inter alia, provides that a person, being an individual or a Hindu undivided family having income other than income from business or profession , may exercise option in respect of a previous year to be taxed under the said section 11 .....

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..... ed at the time of deducting tax. 3. In order to avoid the genuine hardship in such cases, the Board, in exercise of powers conferred under section 119 of the Act , hereby clarifies that an employee, having income other than the income under the head profit and gains of business or profession and intending to opt for the concessional rate under section 115BAC of the Act , may intimate .....

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..... Act for that previous year. Thus, option at the time of filing of return of income under sub-section (1) of section 139 of the Act could be different from the intimation made by such employee to the employer for that previous year. 5. Further, in case of a person who has income under the head profit and gains of business or profession also, the option for taxation under section 115B .....

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