ITR 4 Sugam: Should You File It? Verify Eligibility for Income Tax Return for FY 2023–2024

Income Tax Return Form Filing: The Income Tax Department has enabled online filing options for ITR-1, ITR-2, and ITR-4, so income taxpayers may now begin the process of submitting their income tax returns (ITR) for the financial year 2023–24 (or assessment year 2024–25). These forms are intended for small enterprises, professions, and individuals.

A few modifications were also made by CBDT in February 2023 to the ITR-1 form regarding disclosure under Section 139 (1), which is voluntarily submitted by individuals with taxable incomes of less than Rs 2.5 lakh per year. Even if these people have fixed deposits that are more than Rs 1 crore, they won’t have to disclose this information on their ITR forms.

ITR Forms for AY 2024–2025 (FY 2023–2024)

The simplified ITR-1 and ITR-4 forms are designed to fit the needs of a large number of small and medium-sized taxpayers.

ITR 1 Filer: Who Can File?

A person with income up to Rs 50 lakh from a salary, one residential property, and other sources (interest, etc.) may submit an ITR-1. Individuals, Hindu Undivided Families (HUFs), and businesses with combined incomes up to Rs 50 lakh, including income from their businesses and professions, are eligible to submit an ITR-4.

Who May Submit an ITR-2 Form?

Professionals submit ITR-3, while those with income from residential real estate and above Rs 50 lakh file ITR-2. Businesses and LLPs file ITR-5 and ITR-6.

Taxpayers using the offline approach must download the appropriate form, fill it out, then submit it to the department’s website. On the income tax site, taxpayers may simply fill out and submit the online form with data about their income. The taxpayers must verify the paperwork in both scenarios.

Who ITR 4 Sugam Files?

The ITR 4 is intended for resident persons, HUFs, and businesses (other than LLPs) with total income up to Rs 50 lakh, as well as income from agriculture up to Rs 5,000 and income from business and professions that is calculated under Sections 44AD, 44ADA, or 44AE.

A resident individual, HUF, or firm (other than an LLP) may submit an ITR-4 if they have:

Income for the FY not to exceed Rs 50 Lakh
Income from one house property, one’s salary or pension, income from business or profession that is estimated presumptively under sections 44AD, 44ADA, or 44AE, and income from agriculture (up to Rs 5000/-).
Other sources, which do not include lottery winnings or earnings from racehorses, include as follows:The interest earned on savings accounts and deposits made to banks, post offices, and cooperative societies.-Interest on Refund of Income Tax- Pension for Family-Interest on increased pay received
Any additional interest income, such as that on an unsecured loan
Documents Needed to File an ITR 4

To submit an ITR-4, you must have the following papers available, if needed:

Form 26AS & AIS Form 16
Form 16A: Statements of Banks
Certificates of Interest for Housing Loans
Rent Receipts Rental Agreement Receipts for Donation Made
Receipts for investment premium payments, such as LIC or ULIP

Taxpayers may see further information on the IT department’s official portal at https://www.incometax.gov.in/iec/foportal/help/e-filing-itr4-form-sugam-faq.