The Central Board of Direct Taxes (CBDT) has prescribed forms ITR-3 to ITR-7 for taxpayers such as sole proprietors (businessmen or professionals), limited liability partnerships, partnership firms, Hindu Undivided Families (HUFs) and companies (see table). It has also notified that foreign portfolio investors (FPIs) have to file their tax returns using ITR-6. These entities are now required to state their Sebi registration number. In India, long-term capital gains arising on sale of Indian securities via a stock market against which securities transaction tax (STT) has been paid are exempt from capital gains tax. In contrast, shortterm capital gains are taxable in India. However, under a few tax treaties -such as the tax treaty with Mauritius -even short-term capital gains are tax-exempt in India. The ITR-6 form now calls for detailed disclosure of short-term capital gains by non-resident taxpayers (which would include FPIs) who have availed of treaty benefits. These taxpayers are re