Taxpayers have to decide on amongst 7 earnings tax return (ITR) varieties to file their earnings tax returns (ITR) foundation the quantity and nature of their earnings. ITR-1 or Sahaj is the least complicated of all of the varieties meant for salaried people with less complicated funds. You possibly can go for ITR-1 in case you are an Indian resident particular person taxpayer with…
-total earnings lower than ₹50 lakh
-income from wage or pension
-income from one home property or beneath the ‘earnings from different sources head’ (IFOS)
ITR-1 shouldn’t be meant for Hindu Undivided Household (HUF). Over and above this standards, there are specific situations which make a taxpayer ineligible for ITR-1 even when their earnings is beneath ₹50 lakh and so they have earnings solely from the above sources. You can not use ITR-1 if…
– earnings tax on the ESOPs (worker inventory choices) you might have exercised has been deferred. That is relevant solely to individuals working in a startup as outlined by the earnings tax division
-you personal a couple of home even when it’s not rented out
-have investments in shares of an unlisted firm
-you have freelance earnings. Freelance earnings, no matter the quantity and period for which you’ve freelanced, can solely be reported in ITR-3 or ITR-4. In case you’ve labored a job for almost all a part of the monetary 12 months and freelanced in between, or earned freelance earnings alongside a job, you continue to can’t go for ITR-1.
-hold directorship in any firm
-you have earned earnings from profitable a lottery, puzzles, card video games, horse races or some other sport that entails betting or playing. These incomes fall beneath IFOS head however can’t be declared in ITR-1
Supply: Live Mint