Income Tax Return Forms Decoded: How To Choose The Right ITR Form This Year?

Income Tax Return FY 2022-23: One ought to fastidiously learn the directions offered together with every earnings tax return type and select the suitable ITR type primarily based in your earnings sources, residential standing, and different elements. While submitting ITR, the query that first comes into many individuals’s minds is which type they should use. In order to make submitting returns simpler, the Income Tax Department has put out a number of completely different varieties that a person taxpayer can use, as per their sort of earnings and different standards.

If you’re confused about which type you should use whereas submitting your ITR, we’ve received you lined. Read beneath to know the several types of tax returns varieties and which one you must file.

ITR-1 SAHAJ

For people being a resident (apart from not ordinarily resident) having complete earnings as much as Rs.50 lakh, having Income from Salaries, one home property, different sources (Interest and many others.), and agricultural earnings as much as Rs.5,000.

ITR-2

For Individuals and HUFs not having earnings from earnings and features of enterprise or career

ITR 3

For people and HUFs having earnings from earnings and features of enterprise or career

ITR-4 Sugam

For Individuals, HUFs and Firms (apart from LLP) being a resident having complete earnings upto Rs.50 lakh and having earnings from enterprise and career which is computed underneath sections 44AD, 44ADA or 44AE

ITR-5

For individuals different than- (i) particular person, (ii) HUF, (iii) firm and (iv) particular person submitting Form ITR-7

ITR-6

For Companies apart from firms claiming exemption underneath part 11

ITR-7

For individuals together with firms required to furnish return underneath sections 139(4A) or 139(4B) or 139(4C) or 139(4D) solely

ITR-V

Where the information of the Return of Income in Forms SAHAJ (ITR-1), ITR-2, ITR-3, SUGAM (ITR-4), ITR-5, ITR-7 filed however NOT verified electronically

Acknowledgement

Where the information of the Return of Income in Form SAHAJ (ITR-1), ITR-2, ITR-3, SUGAM (ITR-4), ITR-5, ITR-6, ITR-7 filed and verified

What is the “Help me determine which ITR type to file” service?

Different ITR forms are applicable to individual taxpayers based on the type of income and residential status.

Till AY 2019-20, there was no service to help individual taxpayers to know which ITR form and schedules within the ITR form were relevant to them.

From AY 2020-21 onwards, individual taxpayers will have the Help me decide which ITR form to file service to determine the correct ITR applicable to them (both online and in the offline utility).

How does the “Help me decide which ITR form to file” service assist you understand the right ITR type and schedules?

This service helps particular person taxpayers decide the right ITR type and relevant schedules with these choices:

Help me determine which ITR type to file:

• Proceed primarily based on qualifying circumstances: You will see the qualifying circumstances for ITR-1, ITR-2, ITR-3 and ITR-4. If you discover the circumstances clear and perceive which ITR to file, choose certainly one of ITR primarily based on the qualifying circumstances (as relevant to your case) and you may proceed with ITR submitting.
• Still not clear, allow us to enable you: After studying the circumstances, in case you are nonetheless undecided which ITR to file, choose this selection. Select solutions to the wizard-based questions (related to you) to find out your ITR.
• Help me decide the schedules by clicking Learn extra: If you have no idea which schedules are relevant, click on Learn extra and choose solutions to the related questions for that schedule. The relevant schedules are activated primarily based in your responses to the questions.

Do it’s a must to use the “Help me determine which ITR type to file” service on the e-Filing portal, and then go to the offline utility to file return?

No. You can access this service directly from the offline utility. There is no need to log in to the e-Filing portal separately to use this service.

The deadline to file the tax returns for AY 2022-2023 is July 31. If you fail to file your tax returns by then, you will have time till December 31 to file belated returns, and pay a penalty of Rs 5,000.

It is always advisable to seek professional help if you are not sure which ITR form to file.

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