Latest news with #ITR-3
Mint
a day ago
- Business
- Mint
Income Tax: File your ITR and pay tax on e-pay portal via THESE 31 banks. A step-by-step guide
As the last date to file income tax return (ITR) on Sept 15 looms closer, taxpayers can file their tax returns using ITR-1 or ITR-4. Notably, excel utilities of other income tax forms have yet not been released including the ones for ITR-2 and ITR-3. To be able to file their income tax return via any of the forms released so far, taxpayers can visit e-filing portal and follow the due process as listed below. I. As you log in to your account and click submit return, you need to first choose the assessment year i.e., 2025-26 for filing the return of FY 2024-25. II. Then the system will ask you to choose the category of taxpayer i.e., individual or HUF. III. In the next step, you will have to choose the tax form which you need to choose based on the category of source of income. For salaried employees, it is ITR-1 and for persons with business and profession, it is ITR-4. It is worth mentioning that you will have to wait for a few more days if your income bracket aligns with any other tax form i.e., ITR-2 or ITR-3. As of now, taxpayers can choose between these two tax forms only IV. As soon as click this, the system will tell that the new tax regime is the default regime. Therefore, it is advisable to compare the tax computation on tax calculator before proceeding. You can read this article to know more about this. If your tax liability is lower in the old tax regime then you are recommended to opt for it. And if your tax liability is higher in old tax regime, then you can obviously opt for the new tax regime. The system also cautions taxpayers by telling them that the list of significant exemptions and deductions which are not available under the new tax regime are HRA, LTA, deductions under section 80C, 80D, 80U, 80E, 80G, 80TTA, 80TTB and other chapter VIA deductions. V. Suppose you are a salaried employee and total income up to ₹ 50 lakh; you need to choose ITR-1 to file your tax return. Now, you need to validate your returns breakup, confirm your return summary and finally, you can verify your return and submit the return. VI. If your tax liability is more than the tax already paid, you can pay tax through any of the 31 banks available at e-pay tax service. Income tax department recently updated the list. Now the latest list of banks includes Axis Bank, Bandhan Bank, Bank of Baroda, Bank of India, Bank of Maharashtra, Canara Bank, Central Bank of India and City Union of Bank, among others. Two new banks added to the list in 2025 are Tamilnad Mercantile Bank (w.e.f. March 5) and Yes Bank (June 27). For all personal finance updates, visit here
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Business Standard
6 days ago
- Business
- Business Standard
Earning from reels or brand deals? Here's how influencers must file ITR
From choreographed reels to brand shoutouts, India's growing tribe of digital influencers is turning social content into serious income. But as the money flows in from YouTube AdSense, affiliate links, Instagram collaborations and freebies, so does the tax department's scrutiny. With digital footprints becoming increasingly trackable, creators can no longer afford to ignore the tax implications of their online hustle. 'All income from reels, brand deals, affiliate links, and even barter collaborations, if total gifts exceed ~50,000 in a year, must be reported under 'business and professional income' in your ITR,' said Sudhir Kaushik, co-founder and chief executive officer of TaxSpanner. 'Even free gadgets or hotel stays count as taxable perks.' What you must report Unlike salaried employees, influencers are treated as self-employed professionals or business owners under tax laws. According to Ankit Jain, partner at a law firm, Ved Jain and Associates, 'Income from brand promotions, affiliate commissions, online workshops, event appearances, merchandise sales, or even foreign payments must be reported. Under Section 194R, brands offering free items worth over ~20,000 must deduct 10 per cent TDS on fair market value, this applies even if the influencer receives no cash.' Pallav Pradyumn Narang, partner at CNK & Associates LLP, an all-service firm, echoed this. 'Everything received in exchange for content, whether in cash, kind, crypto, or vouchers, falls under the taxable head of 'Income from Business or Profession',' Narang said. Deductions that lighten the tax load Influencers can reduce their taxable income by claiming relevant expenses. 'Costs like studio rent, internet bills, software tools, camera gear, or travel for brand shoots are deductible if used for business,' said Shefali Mundra, chartered accountant and tax expert at ClearTax. 'Even salaries paid to video editors or assistants can be claimed. For high-value items like laptops or lighting equipment, only depreciation is allowed under Section 32,' Mundra said. Jain recommended that creators 'maintain a separate business bank account to avoid mixing personal and professional expenses. This simplifies accounting and strengthens your defence in case of scrutiny.' ITR-3 or ITR-4? Choose wisely Not all influencers qualify for the presumptive taxation route. 'If your work involves skills listed under Section 44AA, like technical consultancy or film artistry, and your gross receipts are under ~75 lakh, you may opt for presumptive tax and file ITR-4,' explained Kaushik. 'Otherwise, you'll need to use ITR-3 and maintain proper books.' Savani added that content creators can choose between the old and new tax regimes based on which offers better deductions. Skip the guesswork -- be fully compliant Under-reporting income or choosing the wrong ITR form can backfire. 'AIS and Form 26AS already reflect what brands, platforms, and banks report to the tax department,' said Savani. 'Even minor mismatches can trigger notices, audits, and penalties up to 200 per cent of the tax due.' Mundra further warned that failing to pay advance tax can attract interest under Sections 234B and 234C. 'Foreign earnings, GST on sponsored posts, and high-value freebies are under the scanner. Don't wait for a notice, file cleanly and smartly.' Final word Being an influencer may feel fun and free-spirited, but when it comes to taxes, it's serious business. From the first brand deal to the last swipe-up link, every rupee (or ring light) counts. The Income Tax Department is watching your follower count and your Form 26AS, so file right, stay compliant, and keep creating without worry.
India Today
23-06-2025
- Business
- India Today
ITR filing deadline extended to September 15, 2025, check details
The income tax return (ITR) filing season for the assessment year 2025-26 has begun. However, many taxpayers are struggling. The ITR-1 and ITR-4 utilities have been made available by the Income Tax Department, but the key ITR-2 and ITR-3 offline utilities are still missing. So this gap is particularly alarming for individuals who will have other complicated sources of income that cannot be captured in simpler forms, such as those who have capital gains, multiple properties, or business last date for those taxpayers to file their ITR is September 15, 2025, and they are patiently waiting for the utilities to be released so they won't be late in ONE TO FILE: ITR-2 or ITR-3?Individuals and Hindu Undivided Families (HUFs) must select ITR-2 or ITR-3, depending on the sources of income. ITR-2 is for taxpayers with capital gains, more than one house, property, foreign assets or foreign income, or agricultural income above Rs 5,000. Those using ITR-2 also do not wish to claim business or professional income. It includes taxpayers with salary, capital gains, rent, lottery winnings, income from a foreign asset, etc. In contrast, if you are an individual or HUF with business or professional income, or is a partner in a partnership, you should use an ITR-3. ITR-3 encompasses all items of income in ITR-2, plus income derived from any business or professional short, if you have a complex income (such as capital gains or foreign income) but no business or professional income, use ITR-2. If you have business or professional income or are a partner in a firm, use ITR-3. If your income situation is less complicated, for example, only a salary, one house property, and you have a total income of below Rs 50 lakh, you may use ITR-1 or TO FILE YOUR ITR ONLINE: STEP-BY-STEPIf you want to file your Income Tax Return (ITR) for the financial year 2024-25 (Assessment Year 2025-26), follow the step-by-step guide below:Log in to the Income Tax PortalVisit the official Income Tax website at and log in using your user ID, which is your PAN to the 'e-File' SectionOnce logged in, click on the 'e-File' tab, then select 'Income Tax Returns' followed by 'File Income Tax Return'.Choose the Correct Assessment YearSince you are filing for FY 2024-25, select 'Assessment Year 2025-26'.Select Your Filing StatusChoose your filing category based on your situation—Individual, HUF (Hindu Undivided Family), or the Correct ITR FormPick the appropriate ITR form based on your sources of example, use ITR-1 if you have only a salary and one house property. Use ITR-2 if you have capital gains or foreign income, but no business income. Use ITR-3 if you have income from a business or the Reason for Filing ITRYou will be asked why you are filing your ITR. Common reasons include:Your total income exceeds the basic exemption are required to file under specific tax want to claim a refund or carry forward lossesVerify and Submit the DetailsMost of your personal information, such as PAN, Aadhaar, name, date of birth, and bank details will be pre-filled. Check everything in your income details, exemptions, deductions (under sections like 80C, 80D, etc.), and ensure that tax liability is correctly any tax is payable, make the payment online through the tax payment system.E-Verify Your ITRThe final and crucial step is to verify your return. It is mandatory to complete e-verification within 30 days of filing, or else your return will be treated as not can verify your ITR through the following methods:Aadhaar OTPE-Verification Code (EVC)Net bankingOr by sending a signed physical copy of ITR-V to the Central Processing Centre (CPC), BengaluruOnce verified, you will receive an acknowledgement from the Income Tax Department. Make sure to keep this for your offline utilities for ITR-2 and ITR-3 are not available at this time, but taxpayers can file via the online portal. Be sure to select the form, gather all the documents, and file the taxes ahead of the final deadline to avoid penalties.
Mint
23-06-2025
- Business
- Mint
Income Tax: What are ITR-2, ITR-3 and who should use them while filing their return?
Income Tax: Although taxpayers have a little less than three months before they can file their income tax return (ITR) prior to Sept 15, there are a few tax forms (ITR-2 and ITR-3) whose online utilities have yet not been enabled. The good news, however, is that income tax (I-T) department has already enabled the excel utilities for ITR-1 (Sahaj) and ITR-4 (Sugam). But if your income source demands that you file your return using ITR-2 or ITR-3 then you have no choice but to wait for a little longer. Lately, a number of taxpayers have urged the department to release their online utilities. Let us know more about these tax forms. The income tax return form number 2 (ITR-2) can be filed by individuals or Hindu Undivided Families (HUFs) who are not eligible to file ITR-1 (Sahaj). Taxpayers who do not have income from profits and gains of business or profession and also do not have income from profits and gains of business or profession in the nature of interest, salary, bonus and commission or remuneration, by whatever name called, due to, or received by them from a partnership firm. It can be filed by those who want the income of another person, such as a spouse or a minor child, to be clubbed with their income if the income to be clubbed falls in any of the above categories. ITR-2 cannot be filed by any individual or HUF, whose total income for the year includes income from profit and gains from business or profession, and also who has income in the nature of interest, salary, bonus and commission or remuneration, by whatever name called, due to, or received by him from a partnership firm. The income tax return form number 3 (ITR-3) is meant for individuals and HUFs engaged in business or profession requiring the maintenance of elaborate books of accounts. This category includes working professionals such as doctors, advocates and CAs, whose income is calculated based on actual profits. Sahaj refers to income tax return form number 1 (ITR-1). The excel utility of this form has already been enabled. This form is meant for resident individuals with a total income of up to ₹ 50 lakh. The sources of income include salary or pension, income from one house property (excluding cases where loss is brought forward), income from other sources (like interest from savings accounts, fixed deposits) and agricultural income (up to ₹ 5,000). It is noteworthy that tax payer is not eligible if someone is a company director and invested in unlisted equity shares during previous year, have income from business or profession, or resident having foreign assets or foreign income or more capital gains than permitted threshold with LTCG under section 112A more than ₹ 1.25 lakh or having carried forward/ brought forward losses. For all personal finance updates, visit here
Mint
04-06-2025
- Business
- Mint
ITR 2025: Sahaj or Sugam — Which is the right income tax form for you?
After the income tax department has extended the last date to file income tax return by 45 days till September 15, taxpayers are likely to be nonchalant. Meanwhile, it is worth noting that CBDT has enabled excel utilities for ITR-1 and ITR-4. As a taxpayer, you are supposed to know which tax form applies to you based on the source of your income. Here, we give a lowdown on the common income tax forms from ITR-1 (sahaj) to ITR-4 (sugam). ITR-1: Also known as sahaj, this form is meant for those taxpayers whose total income does not exceed ₹ 50 lakh during the financial year. The income should be from salary, one house property, family pension income, agricultural income (up to ₹ 5,000), and other sources, which include interest from savings accounts, interest from deposits (bank / post office / cooperative society), interest from income tax refund, interest received on enhanced compensation, any other interest income and family pension. ITR-2: This can be filed by individuals or Hindu undivided family (HUF) who are not eligible to file ITR-1 (Sahaj). Additionally, those who do not have income from profit and gains of business or profession and also do not have income from profits and gains of business or profession in the nature of interest, salary, bonus, commission or remuneration received from a partnership firm. ITR-3: The ITR-3 form is primarily meant for those taxpayers who are engaged in business or profession, who are required to maintain books of accounts. Those who do not have income from business or profession are not eligible to file their returns under ITR-3. ITR-4: Also known as sugam, ITR-4 can be filed by a resident individual/ HUF/ firm (other than LLP) who has income not exceeding ₹ 50 lakh during the financial year and has income from business and profession which is computed on a presumptive basis under sections 44AD, 44ADA or 44AE or income from salary/ pension, one house property, agricultural income (up to ₹ 5,000). Other sources which include interest from savings account, interest from deposit (bank/ post office / cooperative society), interest from income tax refund, family pension, interest received on enhanced compensation and any other interest income (such as interest income from unsecured loan). Visit here for all personal finance updates.
