ITR 2: Who Should File, Applicability and How to File ITR 2 Online?

ITR-2 is applicable for individuals and HUFs not having business income. ITR-2 is applicable for taxpayers with total income exceeding Rs. 50 lakhs, having capital gains income, having foreign income or foreign assets, NRIs, and more than one house property. 

ITR Due Date Extension 2025

The ITR due date has been extended to 16-09-2025, due to glitches in the Income Tax Portal.

What is ITR-2?

ITR-2 is an Income Tax Return form used by individuals and Hindu Undivided Families (HUFs) who do not have income from business or profession. This form is generally applicable to taxpayers earning income from:

• Salary or pension
• Capital gains (short-term or long-term)
• More than one house property
• Foreign assets or foreign income
• Other sources such as interest, dividends, etc.

It is ideal for those who do not qualify for simpler forms like ITR-1 (Sahaj) but still need to report non-business income in detail.

How to File ITR-2 on ClearTax?

To file your ITR-2 on ClearTax, follow the below mentioned steps:

Step 1: Log in or sign up on the ClearTax portal.

Step 2: Link your PAN by entering your PAN, Date of Birth, and the OTP received on your registered mobile number.

Step 3: Complete OTP verification to pre-fill your data from the Income Tax Portal.

Step 4: Upload your Form-16. You can fill in the data manually by selecting “Continue to e-file”. 

Step 5: Review all the details entered under “Personal Information” and move to “Income Sources”.

Step 6: If you skipped uploading Form 16 earlier, you can upload it here and fill up the salary details in seconds!

Step 7: If you have sold assets like stocks, mutual funds, Gold, bonds, shares received as a part of ESOP or RSU scheme, land or building, then the profit/loss from such transactions.

Step 8: First, is stocks and mutual funds. You will have to obtain a report from your broker and identify the list of sell transactions and the corresponding buy transactions from this report. 

Step 9: All you have to do is select your stockbroker from the list and log in to your investment account and your capital gains are computed in just seconds.

Step 10: If you have done any intraday transactions, we will automatically add them under the business income section as they do not qualify as capital gains.

Step 11: And in case you do not find your broker here (which is in the rarest of rare cases), you can download the excel template given here and fill in all these details and upload the filled template here. 

Step 12: If you have mutual funds, you should upload CAMS or Karvy P&L report by clicking on their respective icons here. You can also click on the "Mutual funds" tab. 

Step 13:  If you have invested in foreign stocks, then what? Then there is a separate section here. Like shown for stocks, you can either directly import the details from your broker. We support transactions from players like INDMoney, Vested etc. Even if your broker is not mentioned here, you can use our excel template to report all the transactions in a single go.

Step 14: Likewise, you can add details for all the other assets like Bonds, gold, land and building.

Step 16: One common error people make while filing ITR is they miss adding income from dividends, savings bank and FD interest. You can add them in the other income sources section. Again, if your broker's P&L statement or your 26AS has it, we will populate it. Otherwise, you can provide the details manually. 

Step 16: Now let’s move to the Tax Savings tab- if you have made declarations to your employer, all such details will be auto-filled here. You can also enter the details manually and claim all the deductions here.

Step 17: If you had carried forward losses from last year, you can add them here and offset them with the gains. 

Step 18: If you scroll down, you will find the ‘tax-paid’ section. All the details of TDS and advance tax that you’ve paid will appear here. You can also add these details by uploading Form 26AS. 

Step 19: Based on all the details you’ve added, we have auto-selected the ITR Form for you. Also, the best part about filing with us is that we auto-suggest the best tax regime for you that saves you the maximum taxes. 

Step 20: Click on file now, make payment, e-verify your return and be done with taxes this year!   

Here is a video to help you file taxes on ClearTax easily!

How to File Your ITR-2 Online on Income Tax Portal?

Step 1: Visit the Income Tax e-Filing Portal and log in using your PAN as the User ID and your password.

Step 2: After logging in, go to the e-File menu and select “Income Tax Return” from the drop-down. Choose the relevant Assessment Year and select the Online mode of filing.

Step 3: Click “Start New Filing” and select your applicable taxpayer status (Individual, HUF, etc.).

Step 4: Select the appropriate ITR Form (e.g., ITR-2, if applicable to you).

Step 5: Click “Let’s Get Started” and select the reason for filing your return.

Step 6: Choose the schedules applicable as per your sources of income.

Step 7: Begin with General Information, verify the pre-filled data, and select the tax regime (Old or New) applicable to you.

Step 8: Fill in all the relevant schedules according to your income details, then click “Proceed to Verification”.

Step 9: Review your return for errors, correct them if necessary, pay any self-assessment tax due, and submit your ITR.

Who can file ITR-2 for AY 2025-26?

ITR-2 form is for individuals and HUF receiving income other than income from ‘Profits and Gains from Business or Profession’. Thus, individuals with income from the following sources are eligible to file Form ITR-2:

• Income from salary/pension
• Income from house property (income can be from more than one house property)
• Income from capital gains/loss on sale of investments/property (both short-term and long-term)
• Income from other sources (including winning from lottery, bets on racehorses and other legal means of gambling)
• Agricultural income of more than Rs 5,000
• Resident not ordinarily resident and a non-resident

The total income from the above sources may exceed Rs 50 lakh.

Further, if you are a Director of any company and an individual who has invested in unlisted equity shares of a company, you must file returns in ITR-2.

Who Cannot file ITR-2 for AY 2025-26?

• Any individual or HUF having income from business or profession.

Note - Taxpayers eligible to file ITR-1 can also file ITR-2. However, it is advisable to file using ITR-1 as long as they meet the eligibility criteria.

Major Changes in ITR-2 in AY 2025-26

The key changes made in form ITR-2 for FY 2024-25 (AY 2025-26) are listed below:

• Capital gains must be split based on transfer date: before or after 23rd July 2024.
• From 1st October 2024, capital losses on share buybacks are allowed if the related dividend income is reported under "Income from Other Sources."
• A new field has been added to the Capital Gains Schedule in ITR forms to report such buy-back losses, ensuring compliance with the amended provisions.
• Reporting required only if total income exceeds ₹1 crore (raised from previous limit).
• Detailed disclosures now required for deductions under Sections 80C, 10(13A) (HRA), etc
• Taxpayers must report TDS sections in 'Details of TDS deducted' for better accuracy and reconciliation.

What Documents do I Need to File ITR-2? 

• Form 16 issued by your employer.
• Form 16A: If TDS has been deducted on interest income on fixed deposits or saving bank account
• Form 26AS: For verification of TDS on salary and non-salary income.
• Rent receipts: For the calculation of HRA (in case you have not submitted the same to your employer).
• Capital Gains Statement: If you have any capital gains transactions in shares or mutual funds.
• Bank Passbook, Fixed Deposit Receipts (FDRs): To calculate amount of interest income.
• Proof documents for tax saving deductions: For claiming tax saving deductions u/s 80C, 80D, 80G, and 80GG such as life and health insurance receipts, donation receipts, rent receipts, receipts for tuition fees etc., 

What is the Structure of ITR-2?

ITR-2 is divided into:

• Part A: General information
• Schedule S: Details of income from salaries
• Schedule HP: Details of income from house property
• Schedule CG: Computation of income under capital gains
  • Schedule 112A- From the sale of equity share of a company or a unit of equity oriented fund /business trust on which STT is paid
  • Schedule 116AD(1)(b)(iii) proviso- For non-residents -From the sale of equity share of a company or a unit of equity oriented fund/business trust on which STT is paid
  • Schedule VDA - Income from Transfer of Virtual Digital Assets
• Schedule OS: Computation of income under income from other sources
• Schedule CYLA: Statement of income after set off of current year’s losses
• Schedule BFLA: Statement of income after set off of unabsorbed loss brought forward from earlier years
• Schedule CFL: Statement of losses to be carried forward to future years
• Schedule VIA: Statement of deductions (from total income) under Chapter VIA
• Schedule 80G: Statement of donations entitled for deduction under Section 80G
• Schedule 80GGA: Statement of donations for scientific research or rural development
• Schedule 80GGC: Statement of contribution made to political parties
• Schedule 80DD: Details of deduction in respect of maintenance including medical treatment of a dependent who is a person with disability 
• Schedule AMT: Computation of Alternate Minimum Tax payable under Section 116JC
• Schedule AMTC: Computation of tax credit under Section 116JD
• Schedule SPI: Statement of income arising to spouse/minor child/son’s wife or any other person or association of persons to be included in the income of the assessee in Schedules-HP, CG and OS
• Schedule SI: Statement of income which is chargeable to tax at special rates
• Schedule EI: Details of exempt income
• Schedule PTI: Pass through income details from business trust or investment fund as per Section 116UA, 116UB
• Schedule FSI: Statement of income accruing or arising outside India
• Schedule TR: Details of taxes paid outside India
• Schedule FA: Details of Foreign Assets and income from any source outside India
• Schedule 5A: Statement of apportionment of income between spouses governed by Portuguese Civil Code
• Schedule AL: Asset and liability at the year-end (applicable in case the total income exceeds Rs 50 lakh)
• Schedule tax deferred on ESOP: Information of tax-deferred on ESOPS received from eligible start-ups referred to in Section 80-IAC
• Part B-TI: Computation of total income
• Part B-TTI: Computation of tax liability on total income
• Tax payments- Details of payment of advance tax and self-assessment tax
• Declaration by the taxpayer
• Details to be filled if a tax return preparer has prepared the return

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