Income Tax Return

Income Tax Return In India

Income Tax Return (ITR) is a form which a person is supposed to submit to the Income Tax Department of India. It contains information about the person’s income and the taxes to be paid on it during the year. Information filed in ITR should pertain to a particular financial year, i.e. starting on 1^st April and ending on 31^st March of the next year.

Income can be of various forms such as :

Income from salary
Profits and gains from business and profession
Income from house property
Income from capital gains
Income from other sources such as dividend, interest on deposits, royalty income, winning on lottery, etc.

The Income Tax Department has prescribed 7 types of ITR forms – ITR-1, ITR-2, ITR-3, ITR-4, ITR-5, ITR-6, ITR-7 and applicability of the form will depend on the nature and amount of income and the type of taxpayer.

You are eligible to file ITR-1 if:

You are a resident individual (not HUF or company).
Your total income for the financial year is up to ₹50 lakh.
Your income includes:
- Salary or pension income.
- Income from one house property.
- Income from other sources (excluding lottery winnings and income from racehorses).
You do not have income from business or profession.
You do not hold foreign assets or have foreign income.

You should file ITR-2 if you meet the following criteria:

You are an Individual or HUF.
Your total income exceeds the basic exemption limit.
You have income from:
- Salary or pension.
- Income from more than one house property.
- Capital gains (short-term or long-term) from sale of investments/property.
- Foreign assets or foreign income.
- Dividend income.
- Other sources, including lottery winnings and racehorse income.
You do not have income from business or profession under proprietorship (use ITR-3 or ITR-4 in that case).

ITR-3 is applicable to:

- Individuals and HUFs with income from business or profession.
- Income earned as a partner in a firm.
- Income from house property, capital gains, other sources, and foreign assets.
- Professionals like doctors, architects, consultants, freelancers, and business owners.

ITR-4 is applicable to:

Individuals, Hindu Undivided Families (HUFs), and Firms (other than LLPs) who are residents of India.
Taxpayers having income from business or profession that is eligible under the Presumptive Taxation Scheme under:
- Section 44AD – for small businesses.
- Section 44ADA – for professionals such as doctors, lawyers, architects, consultants, etc.
- Section 44AE – for businesses involved in goods carriage (owning up to 10 goods vehicles).
Taxpayers whose total income includes:
- Business income under presumptive taxation.
- Income from salary or pension.
- Income from one house property.
- Income from other sources (excluding income from lottery winnings or race horses).

ITR-5 is applicable to the following entities:

Partnership firms (excluding those filing ITR-7)
Limited Liability Partnerships (LLPs)
Association of Persons (AOP)
Body of Individuals (BOI)
Artificial Juridical Persons (AJP)
Estate of deceased persons
Estate of insolvent persons
Business trusts and investment funds
Local authorities (if not required to file ITR-7)
Co-operative societies (if not required to file ITR-7)

Note: Companies (Private Limited, Public Limited, OPCs) must file ITR-6, not ITR-5.

ITR-6 must be filed by:

Companies registered under the Companies Act, 2013 or any earlier company law.
Companies that do not claim exemption under Section 11 of the Income Tax Act (Income from property held for charitable or religious purposes).

Not applicable for:

Companies claiming exemption under Section 11 (such companies must file ITR-7).
Firms, LLPs, and individuals (they use other ITR forms).

ITR-7 is applicable to entities required to file returns under:

Section 139(4A) – Trusts, religious institutions eligible for exemption under Sections 11 and 12
Section 139(4B) – Political parties registered with the Election Commission
Section 139(4C) – Certain entities such as scientific research institutions, news agencies, trade associations, etc.
Section 139(4D) – Universities, colleges, or institutions not required to furnish returns under other provisions
Section 139(4E)/(4F) – Business trusts and investment funds

Fillup From

Documents Required For ITR-1 vs ITR-2 vs ITR-3 vs ITR-4 vs ITR-5 vs ITR-6 & ITR-7 Return Filing

FEATURES	ITR-1	ITR-2	ITR-3	ITR-4	ITR-5	ITR-6	ITR-7
DOCUMENTS	Form 16, Bank Statement, Details of Other Income, Home Loan Repayment Schedule, Rental Receipts, Donation Receipts, Insurance Payments, Mutual Fund Investments, Medical Bills, School / College Bills, Salary Slips	Form 16, Bank Statement, Details of Other Income, Home Loan Repayment Schedule, Rental Receipts, Donation Receipts, Insurance Payments, Mutual Fund Investments, Medical Bills, School / College Bills, Salary Slips	Form 16 / Salary Slips (in case of income from salary), Rental Agreement, if any, Proof of Rental Income if any, Proof of Investments to claim Tax Exemption, Form 26AS, Monthly Purchase Bill, Monthly Sales Bill, Sales Return Details, Purchase Return Details, Tax Paid Challans for GST, Day to day Administration expenses and General expenses details, Fixed Assets Invoice Copy (if Applicable), Investment details made by Cash, Investment details made through Bank, Proof of Source of Cash In-flow and Cash Out-flow, Outstanding receivables and payables, Bank Statement, Break-up of Bank Statement, Loan Details from bank, Proof of Foreign Income (if applicable), Details of Foreign Assets (if applicable).	Bank Statement, PAN Card, Aadhar Card, Aadhaar card of the authorized signatory	Monthly Purchase Bill, Monthly Sales Bill, Sales Return Details, Purchase Return Details, Tax Paid Challans for GST, From 26AS, Day to day Administration expenses and General expenses details, Rental Agreement (if applicable), Fixed Assets Invoice Copy (if Applicable), Investment details made by Cash, Investment details made through Bank, Proof of Source of Cash In-flow and Cash Out-flowk, Loan details from Bank or Third Party, Outstanding receivables and payables, Company’s Pan and two DSCs, Details of Bank used for business transactions (Acct No, IFSC Code), Statement from Bank used for business transactions, Break-up of statement from Bank used for business transactions.	Monthly Purchase Bill, Monthly Sales Bill, Sales Return Details, Purchase Return Details, Tax Paid Challans for GST, From 26AS, Day to day Administration expenses and General expenses details, Rental Agreement (if applicable), Fixed Assets Invoice Copy (if Applicable), Investment details made by Cash, Investment details made through Bank, Proof of Source of Cash In-flow and Cash Out-flow, Loan details from Bank or Third Party, Outstanding receivables and payables, Company’s Pan and two DSCs, Details of Bank used for business transactions (Acct No, IFSC Code), Statement from Bank used for business transactions, Break-up of statement from Bank used for business transactions.	Statement from Bank, Incorporation Certificate, Certificate of incorporation provided by the Foreign Government.
Registration Time	7-9 working days	7-9 working days	7-9 working days	7-9 working days