Filing your Income Tax Return (ITR) is an essential annual responsibility for every taxpayer in India. It not only ensures compliance with tax laws but also facilitates financial planning, loan applications, and visa processing. This guide provides a comprehensive overview of the different types of ITR forms applicable for the Financial Year (FY) 2024-25 (Assessment Year 2025-26) and outlines the step-by-step process for filing your ITR.
Types of ITR Forms for FY 2024-25 (AY 2025-26)
The Income Tax Department has notified seven ITR forms, each catering to different categories of taxpayers based on income sources and other criteria.
1. ITR-1 (Sahaj)
- Applicable for: Resident individuals with total income up to ₹50 lakh.
- Income sources:
- Salary or pension
- One house property (excluding cases with brought forward losses)
- Other sources (excluding lottery winnings and income from racehorses)
- Agricultural income up to ₹5,000
- Not applicable for:
- Individuals with income exceeding ₹50 lakh
- Income from more than one house property
- Capital gains
- Business or profession income
- Holding foreign assets or signing authority in foreign accounts
- Directorship in a company
- Investments in unlisted equity shares
2. ITR-2
- Applicable for: Individuals and Hindu Undivided Families (HUFs) not having income from business or profession.
- Income sources:
- Salary or pension
- More than one house property
- Capital gains
- Foreign assets/income
- Agricultural income exceeding ₹5,000
3. ITR-3
- Applicable for: Individuals and HUFs having income from a proprietary business or profession.
- Income sources:
- Business or profession
- Salary or pension
- House property
- Capital gains
- Other sources
4. ITR-4 (Sugam)
- Applicable for: Individuals, HUFs, and firms (other than LLPs) having total income up to ₹50 lakh and opting for presumptive income schemes under sections 44AD, 44ADA, or 44AE.
- Income sources:
- Presumptive business or profession income
- Salary or pension
- One house property
- Other sources (excluding lottery winnings and income from racehorses)
5. ITR-5
- Applicable for: Partnership firms, LLPs, Association of Persons (AOPs), Body of Individuals (BOIs), and other similar entities.
6. ITR-6
- Applicable for: Companies other than those claiming exemption under section 11 (income from property held for charitable or religious purposes).
7. ITR-7
- Applicable for: Persons including companies required to furnish returns under sections 139(4A), 139(4B), 139(4C), or 139(4D), such as trusts, political parties, institutions, etc.
Step-by-Step Process for Filing ITR Online
Filing your ITR online has become more streamlined with the Income Tax Department’s e-filing portal. Here’s how you can file your return:
1. Gather Necessary Documents
Ensure you have the following documents ready:
- PAN and Aadhaar cards
- Form 16 (issued by your employer)
- Form 26AS and Annual Information Statement (AIS)
- Bank account details
- Investment proofs for deductions under sections like 80C, 80D
- Interest certificates from banks/post offices
- Capital gains statements, if applicable
2. Login to the e-Filing Portal
- Visit the Income Tax e-Filing portal.
- Click on ‘Login’ and enter your User ID (PAN) and password.
3. Select ‘File Income Tax Return’
- Navigate to the ‘e-File’ tab and select ‘Income Tax Returns’ > ‘File Income Tax Return’.
4. Choose the Appropriate Assessment Year
- For income earned in FY 2024-25, select Assessment Year 2025-26.
5. Select the Correct ITR Form
- Based on your income sources and eligibility, choose the appropriate ITR form (e.g., ITR-1, ITR-2).
6. Fill in the Required Details
- The portal provides pre-filled data based on your PAN and AIS.
- Verify and complete the remaining sections, including income details, deductions, and tax payments.
7. Review and Validate
- Carefully review all the entered information.
- Use the ‘Validate’ option to check for errors or omissions.
8. Submit and E-Verify
- Once validated, submit your ITR.
- Proceed to e-verify your return using one of the available methods:
- Aadhaar OTP
- Net banking
- Bank account EVC
- Demat account EVC
- Sending a signed physical copy to CPC, Bengaluru
Note: E-verification must be completed within 30 days of filing the return to ensure it’s processed.
Important Tips
- Choose the Correct ITR Form: Selecting the appropriate form based on your income sources is crucial to avoid processing delays or notices.
- File Before the Due Date: Timely filing helps avoid penalties and ensures quicker processing of refunds.
- Verify AIS and Form 26AS: Cross-check your income details and tax credits to ensure accuracy.
- Keep Records: Maintain copies of all documents and acknowledgments for future reference.
By understanding the types of ITR forms and following the step-by-step filing process, you can ensure a smooth and compliant tax filing experience. If you have specific questions or need assistance, consider consulting a tax professional or using authorized e-filing platforms.
