The Income Tax Department has now made ITR Form-2 and ITR Form-3 available for filing. Taxpayers can now file returns using these two forms through the department’s e-filing portal.
Different ITR forms are assigned based on taxpayer categories. The Income Tax Department shared through its official X account that the Excel utilities for Form-2 and Form-3 are now live.
This Year’s ITR Filing Deadline Is 15 September
Until now, only ITR-1 and ITR-4 were active for online filing. This year, the last date for filing Income Tax Returns is 15 September. Normally, the deadline is 31 July.
But in last year’s Union Budget, the government made several changes, including to Capital Gains Tax rules.
Because of these changes, the Income Tax Department had to update the forms. After updating, the department is gradually activating the new forms.
Who Should Use ITR-2 Form?
The ITR-2 form is for individuals and Hindu Undivided Families (HUFs) who do not have income from business or profession. This form is generally used by taxpayers whose income comes from:
Salary or pension
Capital gains from sale of property or investments
Income from more than one house property
Winnings from lottery or horse racing
Both non-resident and resident individuals classified as ‘not ordinarily resident’ can use ITR-2.
Who Should Use ITR-3 Form?
ITR-3 is for individuals and Hindu Undivided Families (HUFs) who have profits or losses from business or profession.
It is often called a master form due to its wide usage. This form allows taxpayers to report:
Income from house property
Salary or pension income
Capital gains
Income from other sources
If a taxpayer earns income from a partnership firm, they can also file using ITR-3.
