Income Tax Return (ITR) is a mandatory filing for taxpayers in India to report income, expenses, taxes paid, and tax liability for a financial year. It covers various income sources like salary, business, and capital gains. Filing ITR ensures compliance, allows refunds, carries forward losses, and aids in loan or visa applications.There are seven types of ITR, namely ITR-1 to ITR-7 depending on the assesee's legal status and income levels and choosing of the right ITR form is crucial.ITR 2 and 3 Excel Based Utility releasedThe excel utilities for ITR-2 and ITR-3 is released by the Income Tax Department for FY 2024-25 (AY 2025-26). Taxpayers who have business income and capital gains income can now proceed to file the returns using the excel based utility.ITR 2 and 3 Excel Based Utility downloadThe due date for submission of ITR for non-tax audit cases is 15th September 2025 for FY 2024-25 (AY 2025-26). Failure to file ITR within the specified due date leads to adverse consequences such as late filing interest, penalties, inability to carry forward losses, etc., In this article, we will guide you through the different types of ITR forms, the documents required for filing, and the importance of timely submission to ensure compliance and maximize your financial benefits. What is ITR?The Income Tax Return or ITR is a form in which the taxpayers submit information about their income and tax payments to the income tax department. The ITR form applicable to a taxpayer depends on the type of taxpayer, whether individuals, HUF, company, etc., and you choose the ITR based on the nature and type of income and total income.Due date for filing ITRA taxpayer should file an ITR on or before the due date specified.

The Capital Gain Accounts Scheme (CGAS) allows taxpayers to save tax on long-term capital gains by depositing the gains in a special bank account until they are used to buy a new property or asset. Under this scheme, if you are unable to invest your capital gains before the due date of filing your Income Tax Return, you can deposit the amount in a Capital Gain Account to claim exemption under sections like 54, 54F, or 54B. This ensures you don’t lose your tax benefits due to delays in reinvestment.What is Capital Gains Account Scheme?The Capital Gains Account Scheme (CGAS) was introduced by the Central Government in 1988 to help taxpayers claim exemptions on long-term capital gains. Often, the time needed to reinvest capital gains exceeds the due date for filing income tax returns. In such cases, taxpayers can deposit the unutilised capital gains in a Capital Gains Account under CGAS to remain eligible for exemption.Investing the gains in this account is treated the same as direct reinvestment for exemption purposes.

Many traders are involved in Futures and Options (F&O) transactions, and around 91% of the retail traders in F&O lose money. The Profits and losses generated from F&O transactions come under the Profits and Gains of Business or Profession. Irrespective of profit or loss made in F&O transactions, the trader has to report it in the ITR. This will allow them to set off F&O losses against any income except salary and can be carried forward up to 8 assessment years to be set off against any business income. Non-reporting of F&O transactions will attract an income tax notice. Turnover Calculation for F&O TradingTurnover for both Future and Options is computed based on the absolute sum of settlement - Profit / Loss for every F&O scrip.

Tax planning helps you reduce your tax liability and increase your income by using the deductions allowed under the Income Tax Act for various investments, savings, and expenditures made during a financial year. The act offers deductions and exemptions, such as Section 80C, 80D, HRA and home loan interest repayment. While we often invest in products that improve our quality of life but strain our finances, the government provides income tax exemptions and deductions to ease this burden.Tax Saving Under the New Tax RegimeUnder the new tax regime, only limited deductions are available, making it suitable for taxpayers with fewer tax-saving investments. The tax slabs are lower and more relaxed compared to the old regime, so if you do not have significant deductions to claim, opting for the new tax regime can reduce your overall tax liability. The tax slabs under the new tax regime are as follows:Tax Slabs under the new tax regime for FY 2025-26 are as followsTax Slab for FY 2025-26 Tax RatesUpto Rs.

Form 16 is a TDS certificate provided by the employers, which contains details like estimate of total income, consideration of deductions and TDS deducted from salary. Form 16 is one of the most important documents required for salaried individuals to file Income Tax Returns (ITR) accurately. Part A of Form 16 contains the TDS deducted against the salary of the employee, and Part B contains the income details of the employer. In this guide, we will explain in detail the components of Form 16 and everything you need to know to understand and use it effectively.What is Form 16?Form 16 is a TDS certificate issued by the employer before June 15th of the following financial year i.e., after the end of the financial year in which the income was earned. For FY 2024-25, employees will receive their Form 16 by 15th June 2025.

There is a growing popularity of trading in derivatives and futures. So, it is imperative to understand the taxation regulations regarding such transactions. Those taxpayers who are salaried but are trading in F&O may miss out on declaring F&O losses in their tax returns. If all the sources of income are not stated, the tax department may send a notice mentioning non-compliance. To avoid such hassles, staying informed about the process to claim F&O losses in your ITR is essential.

If you've missed the deadline to file your income tax returns, there's no need to panic. You still have the option to file your tax returns after the due date, although with a penalty. This article provides a comprehensive guide on understanding and filing belated returns, ensuring you navigate the process smoothly while avoiding potential financial penalties. What is a Belated Return?A belated return is a return filed after the deadline i.e. 15th September 2025 (For FY 2024-25) of the next financial year but before 31st December of the next financial year. While late filing has consequences, it's still better than facing potential penalties for non-compliance.The due date to file an income tax return for the Financial Year 2024-25 is 15th September 2025.

Section 54F of the Income Tax Act provides exemption long term capital gains on sale of any capital asset (other than a residential house), provided one residential property is purchased. For claiming this exemption, the new residential property should be purchased within 2 years or constructed within 3 years from the date of sale of property. The new residential property purchased or constructed up to one year before sale of the capital asset can also be considered for exemption.Exemption under section 54F is proportionate in nature, and can be claimed for multiple years, by investing in the same property. But overall, the maximum cost of the new asset to be considered for exemption calculation is fixed at Rs. 10 crore. This article explains in detail, the eligibility, conditions, manner of calculation, examples and recent case laws on claiming exemption under section 54F.Eligibility to claim Exemption under Section 54FSection 54F of the IT Act allows an exemption on capital gain from the sale of any property other than a residential house. This exemption is subject to certain conditions, which are:Taxpayer should invest the net sales amount of the old asset in purchase of a new residential house.The new residential property must be:Purchased: either 1 year before or 2 years after the sale of asset Or Constructed: within 3 years of sale of old assetTaxpayer should not own more than one residential house on the date of sale, other than the one bought for claiming exemption under this section.Taxpayer should not purchase any other house within 2 years or construct within 3 years from the date of transfer.If the above conditions are not satisfied, then exempt Capital Gains taxable in the year in which such other residential house is purchased/ constructed.Net Sale ConsiderationNet sale consideration means the sale value of property after reducing the transfer expenses like legal fees, commission, registration charges, etc.,How to Calculate Exemption u/s 54F?Exemption u/s 54F is available to the amount invested proportionate amount of sales consideration.

Income Tax Return (ITR) filing is crucial for every individual/ HUF/ self-employed, professional/ firm, etc, to comply with the provisions of the Income Tax Act, 1961 and avoid penalties. However, choosing the right ITR can be daunting as there are different ITR forms for different taxpayers based on their income sources, residential status and other criteria. ITR-3 and ITR-4 are filed by individuals/ HUF/firms (other than LLP) with income from profits or gains of business or profession; however, ITR-4 is filed by those individuals/ HUF/ Firms who opt for the presumptive taxation scheme under section 44AD, 44ADA and 44AE.Here, we will discuss the key differences between ITR-3 and ITR-4 and their applicability.The Income Tax department has released the excel-based utility for ITR-3 and ITR-4 for the FY 2024-25 (AY 2025-26). The utilities can be downloaded from the ‘download’ section on the Income Tax Department’s portal.Link to download ITR-3 and ITR-4 excel-based utilityThis article provides a comprehensive understanding of the eligibility for ITR-3 and ITR-4 (Sugam).ITR-3The taxpayers fulfilling the following criteria can file ITR-3:Eligibility Criteria For Filing ITR-3Individuals and Hindu Undivided Family(HUFs) are eligible to file ITR-3 if they have income from business or profession. Applicability for ITR-3 filing: Income from business or profession (both tax audit and non-tax audit cases presumptive taxation is not opted)Salary incomeRental income from house propertyShort or long-term capital gainsInterest, dividends, winning from the lottery and any income from other sources.Income (interest and remuneration) as a partner in a firmWho Is Not Eligible To File ITR-3 Form?Individuals and HUFs without income from a business, profession, or partnership firm are not eligible to file the ITR-3 Form. Companies, charitable and religious trusts, Limited Liability Partnerships (LLP), firms, local authorities, bodies of individuals and associations of persons.Due Date for Filing ITR-3  (For Assessment Year 2025-26)Category of TaxpayerDue date of ITRIf tax audit is not applicable15-Sep-2025If tax audit is applicable31-Oct-2025Partner of a firm where firm is required to get its books of accounts auditedITR-4 (Sugam)Who Can File ITR-4?Resident Individuals, HUFs and partnership firms are eligible to use ITR-4 with business or professional income, and opting for presumptive taxation under Section 44AD, Section 44ADA, or Section 44AE. Below are the conditions for applicability for ITR-4 filing:Total income is up to Rs.

The Union Budget is usually presented by Finance Minister Nirmala Sitharaman every year. However, the budget will be announced twice this year due to Lok Sabha Elections. An interim budget was presented on Feb 1, 2024 and the final budget is yet to be presented, which is to be held on 23rd July. This budget faces the delicate challenge of balancing bold initiatives with fiscal responsibility amidst these economic headwinds.In this article, we answer a few Frequently asked questions (FAQ) related to budget 2024. When will the Union Budget 2024 be Presented?Finance Minister Sitharaman will present the Union Budget 2024 today, i.e. July 23 at 11 a.m.