Types of ITR Forms & Eligibility (2024)

There are seven different types of ITR forms available to Indian taxpayers. These forms cater to individual taxpayers and organisations. The type of ITR form you must use will depend on whether you are an individual taxpayer or an organisation, your total income, as well as the sources of your income. Here is a list of seven types of Income Tax Return forms:

1. ITR-1 or Sahaj

Individuals who fall under the following categories should opt for the ITR-1 form, also known as Sahaj:

• Salary and pension earners
• Income of up to Rs.50 Lakh
• Income earned from other sources (except winning a lottery or horse racing)
• Agricultural income less than Rs.5,000
• Payments received for a single-house property with certain exclusions

2. ITR-2

Individuals and Hindu United Families (HUF) who fall under the following categories should opt for the ITR-2 form:

• Income exceeding Rs.50 Lakh
• Income received through salary, pensions, capital gains, and other sources (income received from sources other than business or profession)
• Income generated from foreign assets
• Agricultural income exceeding Rs.5,000

3. ITR-3

Individuals and Hindu United Families who fall under the following categories should opt for the ITR-3 form:

• Income from a business or profession
• Income received from being a partner in a firm
• Income received through salary, pension, capital gains, and other sources
• Investments in unlisted equity shares
• Individual director in a company

4. ITR-4 or Sugam

Individuals, Hindu United Families, and firms with an income up to Rs.50 Lakh from businesses or a profession can opt for the ITR 4 form. Moreover, those who have chosen the presumptive income scheme under Section 44AD, Section 44ADA, and Section 44AE of the Income Tax Act are eligible to file their returns using the ITR 4 form.

5. ITR-5

The ITR-5 form is meant for firms, Body of Individuals, co-operative societies, Limited Liability Partnerships, Association of Persons, local authorities, Artificial Judicial Persons, estates of insolvent, estates of deceased, and business trusts (not individual citizens).

6. ITR-6

The ITR-6 form is to be filed electronically by companies, except for those that claim an exemption under Section 11, which is income from a religious or charitable property.

7. ITR-7

Companies filing their return under the below sections of the Income Tax Act, 1961 can use ITR-7:

Section 139(4A): Individuals holding a property for charitable or religious purposes

Section 139(4B): Political parties and affiliates

Section 139(4C): Institutions or associations such as medical institutions, news agencies and establishments, educational institutions, think tanks, and agencies involved in scientific research

Section 139(4D): Colleges and universities, or other institutions where revenue and losses are not required to be reported as per the rules laid under this section of the Income Tax Act, 1961

Aspiring Home Loan borrowers should familiarise themselves with the Indian tax norms and fill out the right ITR form. Borrowers need to submit Income Tax Return documents while availing of a Home Loan. The ITR form serves as income proof for borrowers and establishes their sources of income and creditworthiness.

​​​Here are the various types of ITR forms based on an assessee’s eligibility:

Individuals who plan on filing an ITR for their Home Loan must select the ITR-1 or ITR-2 form. It applies to salaried and professional borrowers repaying their Home Loans for a self-occupied property.

The form allows you to claim the Home Loan tax benefit of up to Rs.1.5 Lakh on the principal repayment, stamp duty and registration charges. One can also be eligible for deductions worth Rs.2 Lakh on interest repaid annually under Section 24(b). 

Also Read: Tax Deductions Under Section 24(b) on Home Loan

The process to file your income tax returns on a Home Loan is straightforward and easy to follow. The process can be completed through the following steps:

1. Visit the e-filing portal.

2. Login with your credentials or register yourself if you are a new user.

3. Click on the ‘e-File’ tab and select ‘File Income Tax Return’ from the drop-down menu.

4. Choose the year you wish to file the ITR for and then click on 'Continue'.

5. Select your profile – individual, HUF, or others.

6. Now select the type of ITR form you wish to opt for (ITR-1 or ITR-2 form, in the case of Home Loans).

7. Enter your bank account details or validate the existing details.

8. At the final stage, you will be redirected to a new page.

9. Enter and check all your personal and other details mentioned on this page.

10. Confirm the summary and click on 'Submit'.

If you wish to download your ITR-V form or the Income Tax Return Verification form, which the Income Tax Department releases as proof of an individual's e-Filing, follow these simple steps:

• Visit the official website of the Income Tax Department and log in to your account.
• Once you log in, click on 'Income Tax Returns' and then on 'View Filed Returns'.
• Next, click on 'Download Receipts' for the form you wish to download.
• If you wish to verify your ITR-V, click on 'Verify Returns'.
• Click on ITR-V/Acknowledgement and the downloading process will be initiated.
• Once the document is downloaded, you will be required to enter your PAN along with your date of birth as a password to open the document.
• If you do not want to e-verify, you can sign the downloaded document and send it to CPC Bangalore to complete the ITR verification process.

*Terms and conditions apply.

Also Read: Tax Benefits on Second Home Loan