New Delhi: Taxpayers must file their Income Tax Return (ITR) by July 31st, 2024 to avoid paying penalty for filing a late ITR. There are 7 types of Income Tax Returns. While ITR-1 is commonly used for salaried employees, ITR-2 is meant for individuals or HUFs without income from business or profession, and those ineligible for ITR-1. It covers, income from capital gains, foreign income and agricultural income exceeding Rs 5,000. It is important to file the correct ITR as filing the wrong ITR will be considered as invalid. The I-T department will deem the ITR to be not filed at all.
Who Should Use Form ITR 2?
The first step of filing an ITR is to check which ITR should taxpayer file based on their source of Income. Taxpayers with following criteria should file ITR 2:
Non-residents or not ordinarily residents
Income exceeds Rs 50 lakh
Multiple house properties or capital gains
Income from business or profession
ITR filing 2024 through credit card
Filing Process for ITR-2
You can file ITR-2 using the income tax department’s utilities or online via the e-filing portal.
Step 1: Log in to the income tax portal with your PAN/Aadhaar and password.
Step 2: Navigate to E-File > Income Tax Returns > File Income Tax Return.
Step 3: Select assessment year 2024-25 and choose ‘online’ filing mode.
Step 4: Confirm your status as ‘Individual’ and proceed.
Step 5: Select ‘ITR-2’ from the dropdown menu.
Step 6: Choose the reason for filing and continue.
Step 7: Select applicable schedules based on your income sources.
Step 8: Report Part A-General Information and choose tax regime (new or old).
Step 9: Report salary income in ‘Schedule S’ including Form 16 details.
Step 10: Report capital gains in ‘Schedule CG’ specifying asset types.
Step 11: Report other incomes in ‘Schedule OS’ such as lottery winnings or interest.
Step 12: Claim deductions and provide tax payment details.
Highest interest rates on 3-year FD
Once all details are filled, preview and submit the ITR. Verify within 30 days to finalize submission.
Stories
Click to read in detail
New Tax Regime
How can I switch to new tax regime?
MF & Tax
Are mutual funds eligible for deduction
HRA & tax
No HRA component in salary: How to save tax
ITR due date
Can Income Tax Return be filed after due date?
Income Tax Return 2024: While ITR-1 is commonly used for Salaried employees, ITR-2 is meant for individuals or HUFs without income from business or profession, and those ineligible for ITR-1. Personal Finance Business News – Personal Finance News, Share Market News, BSE/NSE News, Stock Exchange News Today
