It’s that time of the year again! The Income Tax Return (ITR) filing season for the Assessment Year 2025–26 has officially begun, and like every year, the same old confusion is back — which ITR form to file?
If you’re scratching your head wondering which of the 7 ITR forms is the right one for you, don’t worry — we’ve got your back! In this comprehensive guide on which ITR form to file, we’ll break it all down in simple language so you can confidently pick the right form and avoid penalties.
Why Filing ITR is Important (and Which ITR Form to File)
What is an ITR?
An Income Tax Return (ITR) is a form that taxpayers in India use to report their income, deductions, and taxes paid to the government. Filing ITR is not just a legal obligation—it’s also proof of your financial standing.
Why is Filing ITR Mandatory?
Even if your income is below the taxable limit, filing ITR has perks:
- Helps in visa applications
- Required for loan approvals
- Ensures refund for excess tax paid
Key Deadlines for AY 2025–26
- For individuals: 31st July 2025
- For companies and audits: 31st October 2025 Mark your calendars — late filing means penalties!
ITR Filing Methods
Online Method
Filing through the Income Tax Portal is quick and easy. You can use your Aadhaar OTP or digital signature for verification.
Offline Method
Ideal for super senior citizens (aged 80+) or those with limited access to digital tools.
Excel Utilities
The IT department also offers downloadable Excel utilities for each ITR form for ease of offline entry and upload.
Categories of Taxpayers
Knowing your category is the first step to choosing the right form:
- Individual
- Hindu Undivided Family (HUF)
- Company
- Partnership/LLP
- Trusts & Institutions
Available ITR Forms for AY 2025–26
There are 7 forms notified by the Income Tax Department:
- ITR-1 (Sahaj)
- ITR-2
- ITR-3
- ITR-4 (Sugam)
- ITR-5
- ITR-6
- ITR-7
Each form serves a different taxpayer type and income source.
Choosing the Right ITR Form – Key Factors
Don’t just guess your form. Consider:
- Source(s) of income
- Total annual income
- Nature of employment or business
- Residential status
- Whether you own foreign assets
- Deductions/exemptions claimed
Detailed Breakdown of ITR Forms
ITR-1 (Sahaj)
- ✅ Applicable to: Resident individuals with income up to ₹50 lakh
- ✅ Income from salary, one house property, and other sources
- ❌ Not for: Those with capital gains, foreign income, business income, or multiple properties
ITR-2
- ✅Suitable for individuals/HUFs with:
- ✅Capital gains
- ✅Foreign assets
- ✅Agricultural income over ₹5,000
- ❌ Not for: Those with business or professional income
ITR-3
- ✅ Ideal for:
- ✅Business owners
- ✅Professionals like doctors, lawyers, freelancers
- ✅Investors in stocks and mutual funds
- ✅Includes income from partnerships
ITR-4 (Sugam)
- ✅ Meant for:
- ✅Small business owners under presumptive taxation
- ✅Shopkeepers, electricians, drivers, etc.
- ✅Income up to ₹50 lakh
- ❌ Not for: Those with foreign assets or multiple deductions
ITR-5
- ✅ For:
- ✅ LLPs
- ✅Partnership firms
- ✅Societies and trusts not filing under ITR-7
ITR-6
- ✅ Applicable to companies not claiming exemption under section 11
ITR-7
- ✅ For:
- ✅Charitable trusts
- ✅Political parties
- ✅Religious and research institutions
Quick ITR Form Selection Table
| ITR Form | Applicable To | Salary | House Property | Business Income | Capital Gains | Foreign Assets |
| ITR-1 | Individual | ✅ | ✅ (One) | ❌ | ❌ | ❌ |
| ITR-2 | Individual/HUF | ✅ | ✅ | ❌ | ✅ | ✅ |
| ITR-3 | Individual/HUF | ✅ | ✅ | ✅ | ✅ | ✅ |
| ITR-4 | Individual/Firm | ✅ | ✅ (One) | ✅ (Presumptive) | ❌ | ❌ |
| ITR-5 | Firms/LLPs | ❌ | ✅ | ✅ | ✅ | ✅ |
| ITR-6 | Companies | ❌ | ✅ | ✅ | ✅ | ✅ |
| ITR-7 | Trusts/Parties | ❌ | ✅ | ✅ | ✅ | ✅ |
Common Mistakes While Choosing an ITR Form
- Filing ITR-1 when you have capital gains
- Ignoring income from foreign sources
- Using ITR-4 without qualifying under presumptive scheme
What Happens If You File the Wrong ITR Form?
- Return may be marked defective
- You may receive a notice
- Refunds get delayed or denied
- You may have to refile the return
FAQs
- Can I file ITR-1 if I have two house properties?
No, ITR-1 is only for those with one house property. You should use ITR-2 instead.
- What if I made capital gains from stocks?
Use ITR-2 or ITR-3 depending on whether you’re an investor or trader.
- I’m a freelancer earning from multiple clients, which form do I use?
Use ITR-3 for professional/business income.
- I have agricultural income above ₹5,000. Can I still use ITR-1?
Nope! You’ll need to file ITR-2 in this case. - I filed the wrong ITR. Can I correct it?
Yes! You can file a revised return before the end of the assessment year.
