Unable to complete your ITR filing?
Applicable period: FY 2025-26 | AY 2026-27
Applicable law: Income-tax Act, 1961 and notified AY 2026-27 ITR forms
Applicable law: Income-tax Act, 1961 and notified AY 2026-27 ITR forms
Selecting the correct ITR form depends on the taxpayer category, residential status, income level and nature of income. A return filed in an inapplicable form may be treated as defective and may require correction.
Common misconception: Having a PAN does not by itself make ITR filing mandatory. Filing depends on the statutory conditions. However, where filing is required, the correct form must be selected even when the final tax payable is nil.
AY 2026-27 ITR Form Overview
| Form | Broad Applicability |
|---|---|
| ITR-1 (Sahaj) | Resident ordinarily resident individual with total income up to ₹50 lakh from salary or pension, up to two house properties, eligible other sources, agricultural income up to ₹5,000 and long-term capital gains under section 112A up to ₹1.25 lakh, subject to exclusions. |
| ITR-2 | Individuals and HUFs without business or professional income. It generally covers capital gains, foreign assets or income, more complex house-property income, non-residents and taxpayers not eligible for ITR-1. |
| ITR-3 | Individuals and HUFs having income from business or profession, including partners receiving taxable business-related income and taxpayers not eligible for ITR-4. |
| ITR-4 (Sugam) | Eligible resident individuals, HUFs and firms other than LLPs with total income up to ₹50 lakh and presumptive income under sections 44AD, 44ADA or 44AE, subject to the form’s conditions and exclusions. |
| ITR-5 | Firms, LLPs, AOPs, BOIs, cooperative societies, estates of deceased or insolvent persons and other eligible entities not required to file ITR-7. |
| ITR-6 | Companies other than companies claiming exemption under section 11. |
| ITR-7 | Persons required to file under sections 139(4A), 139(4B), 139(4C) or 139(4D), including specified trusts, political parties, institutions and universities. |
When Is Filing Mandatory?
Filing may be mandatory where:
- A company or firm is required to furnish a return regardless of profit or loss.
- An individual, HUF, AOP, BOI or artificial juridical person exceeds the applicable basic exemption limit, computed before specified deductions and exemptions.
- A resident ordinarily resident person holds specified foreign assets, has foreign signing authority or is covered as a beneficiary, subject to statutory conditions.
- A person satisfies a high-value condition under the seventh proviso to section 139(1) and Rule 12AB.
- A special filing provision applies to a trust, institution, political party or another entity.
Nil return: A “nil return” is not a separate ITR form. It simply means the selected return results in no tax payable. The correct ITR must still be chosen from ITR-1 to ITR-7.
Quick Selection Guide
- Salary and simple income: Check ITR-1 eligibility first.
- Capital gains but no business: Usually ITR-2.
- Business, profession, F&O or intraday trading: Usually ITR-3, unless eligible for ITR-4.
- Presumptive business or profession: Check ITR-4 conditions.
- Firm or LLP: Usually ITR-5.
- Company: Usually ITR-6.
- Specified trust or institution: Check ITR-7.
Important Checks Before Selection
Confirm residential status, total income, number of house properties, capital-gain type, foreign holdings, directorship, unlisted shares, business income, brought-forward losses and special-rate income. These factors can make a shorter form inapplicable.
AY 2026-27 update: The notified ITR-1 description now permits up to two eligible house properties and long-term capital gains under section 112A up to ₹1.25 lakh, subject to all other conditions.
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