ITR-3 is the income tax return form used by individuals and Hindu Undivided Families (HUFs) who have income from business or profession, including those who are proprietors of a business.
If you are a proprietor of a business, you will need to file ITR-3 to report your business income, expenses, and other relevant details such as depreciation, assets, liabilities, etc. You will also need to report any income or loss arising from any other sources, such as capital gains, income from house property, or income from other sources.
To file ITR-3, you will need to maintain proper books of accounts and records of your business transactions, including invoices, bills, receipts, etc. You will also need to obtain a Tax Audit Report from a chartered accountant if your total sales, turnover or gross receipts from business exceed INR 1 crore in the financial year.
Once you have gathered all the relevant documents, you can use the online income tax filing portal or consult a tax expert to help you file your ITR-3 accurately and on time. It is important to file your ITR-3 within the due date to avoid any penalties or late fees.