Filing ITR-2 Form: Starting July 18, 2025, the Income Tax Department initiated the online submission of ITR-2 forms. Now, salaried individuals with capital gains and crypto income, or other special income sources, can file their taxes through the e-filing portal of the Income Tax Department (https://incometax.gov.in/iec/foportal/).ITR-2 form users can now file it online with pre-filled fields, as announced by the Income Tax Department on social media platforms. The cut-off date for submission is set for September 15, 2025. Previously, only ITR-1 and ITR-4 forms, which catered to lower-earning taxpayers, were available both online and through an Excel utility. At the moment, only Excel utility is available for ITR-3. An online option will be available shortly. Who can file ITR-2? In an ET report, chartered accountant Abhishek Soni, co-founder of Tax2Win, explains ITR-2 is for these taxpayers or Hindu Undivided Families (HUF). A portion of their earnings comes from salary or pension. Earnings from one or several properties. Other income streams like lotteries, horse racing, or income that’s taxed at special rates. Those who have stakes in private unlisted companies.Directorship in a company or resident (ROR/RNOR) Capital gains or foreign sourced income/assets. Income from agriculture exceeding five thousand rupees. Income that is subject to clubbing provisions. Individuals having financial or proprietary interest in assets or accounts held overseas. Individuals applying for carry forward or set-off of losses in house property. Individuals possessing tax deduction under section 194N. Changes made recently in ITR-2. Capital gains— new schedules will be introduced for gains pre and post 23 July 2024 (Post Finance Act 2024 modifications). Share buyback losses— losses will be accepted if dividend income is classified under income from other sources (post 1 October 2024). Reporting Assets and liabilities— mandatory reporting for income over 1 crore. Detailed spending for 80C credits - enhanced reporting for 80C, 10(13A) etc. TDS section codes— reporting of TDS section codes in Schedule TDS. Documents needed to file ITR-2.As per the website of the Income tax department, the following documents will be required to fill out the ITR-2 form. For salary income, the employer issued a Form 16 showing the salary and TDS deductions.For interest income, TDS- Form 16A- Form 16A is issued by the deductor when TDS is levied on interest income from Fixed Deposit (FD) accounts or a savings bank account. Form 26AS- To verify TDS for salary and other income sources, it can be retrieved from the e-filing portal. For renters- Rent receipts- For individuals renting a house, they may seek an allowance called HRA (House Rent Allowance) which is only available if the employer agrees to such payment. For capital gains- Summary of capital gains and profit and loss statement- These are needed for computing capital gains on share or other security transactions. For interest income statement- Bank passbook- For savings accounts as well as fixed deposits, bank passbooks provide information on interest income. For income from house property- Tenant details- The information on rent payable is required. Local tax payment- Receipt of payment of property tax on borrowed funds and their corresponding interest- An individual who takes a loan for a house would need to state the interest incurred on the loan. Relating to loss in the current year- Documents related to loss- The relevant documents that substantiate the loss claimed should be provided. For loss for the prior period- ITR – V of prior period, prior year return stating loss.For Section 80C, 80D, 80G, and 80GG claims, relevant documents include receipts for life and health insurance, tuition fees, tax-saving investments, and for 80GG, rental receipts. Also, proof of other tax saving investments, and donation receipts.
Around the web
