ITR

INCOME TAX RETURN

It is simply a form to be filed with the Income Tax Department. A Form to be filed as a statement of income earned. They must, first, determine the type of Income Tax Return (ITR) Form they need to fill before actually filing their Returns. Which Form is to be filled, depends on the income that the taxpayer earns. Its purpose is to report our income and taxes paid thereon to the government.

TYPE OF INCOME TAX RETURN:

ITR – 1 – For individuals earning income from salaries, one house property, interest income, agriculture, other sources, etc.

ITR – 2 – For Individuals and HUFs having income other than from profits and gains of business or profession. It may be from capital gain, lottery or foreign assets, etc.

ITR – 3 – For individuals and HUF with income from profits of a business or profession.

ITR – 4 – For Individuals, HUFs and Firms (other than LLP) having presumptive business income tax returns. This is computed under sections 44AD, 44ADA or 44AE.

ITR – 5 – Entities other than,- (i) individual, (ii) HUF, (iii) company and (iv) person filing Form ITR-7

ITR – 6 – All companies except those that claim tax exemption as per Section 11.

ITR – 7 – Persons incl. companies required to furnish returns under sections 139(4A) or 139(4B) or 139(4C) or 139(4D) only.