The ITR-2 Form is the Income Tax Return form for Individuals and HUFs who do not have any income from Business or Profession.
The due date of filing the ITR-2 form for the Financial Year 2015-16 is 31 July, 2016 .
This Return Form is to be used by an individual or a Hindu Undivided Family whose total income for the assessment year includes:
ITR-2 is divided into:
Do you need to pay tax if your only income is from selling shares? Its a complicated question but the experts have a simple answer.
Here are a few general guidelines to keep in mind while filling your ITR-2 form:
The ITR-2 Form can also not be used if you are claiming double taxation relief under Section 90/90A/91.
The easiest way to fill out your ITR-2 Form is to follow this sequence:
|Nature of Income||Section||Rate of Tax||Section Code|
|Tax on accumulated balance of recognised provident fund||111||To be computed in accordance with rule 9(1) of Part A of fourth Schedule||1|
|Short Term Capital Gains||111A||15||1A|
|Long term capital gains (with indexing)||112||20||21|
|Long term capital gains (without indexing)||112||10||22|
|Dividends, interest and income from units purchase in foreign currency||115A(1)(a)||20||5A1a|
|Income from royalty or technical services where agreement entered between 31.3.1961 to 31.3.1976 in case of royalty and between 29.2.1964 and 31.3.1976, and agreement is approved by the Central Government.||Paragraph EII of Part I of first schedule of Finance Act||50||FA|
|Income from royalty & technical services||115A(1)(b) if agreement is entered on or before 31.5.1997||20||5A1b1|
|Income from royalty & technical services||115A(1)(b) if agreement is entered on or after 31.5.1997 but before 1.6.2005||20||5A1b2|
|Income from royalty & technical services||115A(1)(b)if agreement is on or after 1.6.2005||10||5A1b3|
|Income received in respect of units purchase in foreign currency by a off-shore fund||115AB(1)(a)||10||5AB1a|
|Income by way of long-term capital gains arising from the transfer of units purchase in foreign currency by a off-shore fund||115AB(1)(b)||10||5AB1b|
|Income from bonds or GDR purchases in foreign currency or capital gains arising from their transfer in case of a non-resident||115AC(1)||10||5AC|
|Income from GDR purchased in foreign currency or capital gains arising from their transfer in case of a resident||115ACA(1)||10||5ACA|
|Profits and gains of life insurance business||115B||12.5||5B|
|Winnings from lotteries, crosswords puzzles, races including horse races, card games and other games of any sort or gambling or betting of any form or nature whatsoever||115BB||30||5BB|
|Tax on non-residents sportsmen or sports associations||115BBA||10||5BBA|
|Tax on income from units of an open – ended equity oriented fund of the Unit Trust of India or of Mutual Funds||115BBB||10||5BBB|
|Income by way of long term capital gains||115E(a)||20||5Ea|
|Double Taxation Agreement||DTAA|
You can submit your ITR-2 Form either online or offline. It is mandatory to file Income Tax Returns electronically (either through Mode 3 or Mode 4) for the following assesses:
The Income Tax Department will issue you an acknowledgment at the time of submission of your physical paper return.
If you submit your ITR-2 Form electronically under digital signature, the acknowledgment will be sent to your registered email id. You can also choose to download it manually from the income tax website. You are then required to sign it and send it to the Income Tax Department's CPC office in Bangalore within 120 days of e-filing.
Remember that ITR-2 is an annexure-less form i.e. you do not have to attach any documents when you send it.
Yes you can. Read our guide to understand the process in depth.
Certain income are exempt under section 10 of the Income Tax Act. Exempt income includes - Allowances which may be exempt to a certain extent for example HRA, LTA, transport allowance etc. Gratuity, leave encashment, pension may be exempt under section 10 of the Act.