With the financial year 2024-25 about to end, the filing of income tax returns (ITRs) for the Assessment Year 2025-26 will start from April 1. Like previous years, taxpayers can file their tax returns online and offline both. The Income Tax Department every year enables new forms, updates existing ones and launches Excel utilities to help taxpayers file their income tax returns in a smooth and hassle-free manner.

Why is it important to file ITR?

Filing ITR is not only a legal responsibility but also important for taxpayers’ financial health. It keeps a record of one’s income and tax payments and helps in taking loans, applying for visas or other financial transactions in the future.

Also read: Tax sleuths to target undisclosed income only

Types of ITR Forms – Which one is right for you?

  1. ITR-1 (Sahaj) – For small taxpayers

Who can fill it?

Only resident individuals whose total income is up to Rs 50 lakh.

Salaried individuals, pensioners and those whose income is from only one house.

Individuals with income from interest or other small sources.

Who cannot fill it?

Those whose income includes capital gains.

People earning from business.

Those who have foreign assets.

  1. ITR-2 – For those with high income and capital gains

Who can fill it?

Individuals whose income is more than Rs 50 lakh.

Those receiving income from salary, more than one property, capital gains, foreign assets or agricultural income (more than Rs 5,000).

  1. ITR-3 – For business and professionals

Who can fill it?

People who earn from business or profession (like doctors, lawyers, freelancers).

Those who have capital gains from stock market or other investments.

  1. ITR-4 (Sugam) – For small businessmen

Who can fill it?

People who come under presumptive taxation.

Whose total income is up to Rs 50 lakh.

Small businessmen and professionals like shopkeepers, cab drivers, plumbers, electricians etc.

Who cannot fill it?

Those who have income from foreign assets.

Whose income comes under any special exemption section.

  1. ITR-5 – For partnership firms and trusts

Partnership firms, LLPs, societies and trusts fill it.

  1. ITR-6 – For companies

All companies (who are not claiming exemption under section 11).

  1. ITR-7 – For charitable trusts, political parties and institutions

Religious institutions, political parties, research institutes etc. fill it.

Also read: Tax Disparity: Salaried person pays Rs 4 crore tax on Rs 9 crore income; Rs 40 crore agriculture revenue taxed zero

Last dates for filing ITR (AY 2025-26)

Individuals and firms (who do not require audit) – 31 July 2025

Businesses (who require audit) – 15 October 2025

Businesses that require transfer pricing report – 30 November 2025

How to file ITR online?

Nowadays, filing ITR online has become very easy. Follow these steps –

Step 1: Login

Go to the e-Filing portal.

Login by entering PAN/Aadhaar and password.

Step 2: Click on ‘File Income Tax Return’

Go to the ‘e-File’ section and select ‘File Income Tax Return’.

Select Assessment Year 2025-26.

Step 3: Choose the right ITR form

Choose the right ITR form based on your source of income.

Automatic suggestions are also available on the portal.

Step 4: Fill in the required information

Enter personal information, source of income, tax deductions and exemptions.

Check the auto-fill data from Form 26AS and AIS (Annual Information Statement).

Step 5: Verify tax calculation

Check whether you have to pay additional tax or get a refund.

Step 6: Submit and verify ITR

After filing ITR, do e-verification.

Use Aadhaar OTP, net banking or digital signature for e-verification.

Step 7: Download ITR-V

Download ITR-V (Acknowledgment) and save it for future.

Summing up:

So, if you belong to salaried class or own a business or do freelance work, filing ITR is mandatory for you. It is not just a process of paying tax but also an important part of your financial planning. If your income falls under the tax slab, then file ITR on time so that you do not face any problem.