What is Scheme for submission of returns through Tax Return Preparers? Section 139B of Income Tax Act, 1961

Meaning of Section 139B of Income Tax Act, 1961

Section 139B of the Income Tax Act, 1961 deals with the Scheme for submission of returns through Tax Return Preparers.

Section 139B empowers the Central Board of Direct Taxes (CBDT) to frame a scheme, by notification in the Official Gazette, for enabling specified classes of persons to prepare and furnish their income tax returns through authorised Tax Return Preparers.

Provisions under Section 139B

Section 139B(1): The Board may frame a Scheme for specified classes of persons for furnishing returns of income through a Tax Return Preparer authorised under the Scheme.

Section 139B(2): A Tax Return Preparer shall assist persons furnishing returns in the manner specified under the Scheme and shall affix his signature on such return.

Definition of Tax Return Preparer

Under Section 139B(3), a Tax Return Preparer means an individual, other than persons covered under the specified categories of Section 288(2), who has been authorised to act as a Tax Return Preparer under the Scheme.

Specified class or classes of persons

The term refers to persons who are required to furnish a return of income under the Income Tax Act, excluding companies and persons whose accounts are required to be audited under Section 44AB or any other applicable law.

Matters covered by the Scheme

Laying of Scheme before Parliament

Under Section 139B(5), the Scheme framed by the Board is required to be laid before both Houses of Parliament for the prescribed period and may be modified or annulled according to the procedure provided in the section.

Section 139B provides a mechanism to assist eligible taxpayers in preparation and filing of income tax returns through authorised Tax Return Preparers while maintaining the requirements of the Income Tax Act.