Understanding Income Tax Return (ITR) Forms in India

Filing your income tax return is something you need to do every year, but picking the correct ITR form can feel confusing. The Income Tax Department has designed different return of income forms based on your income sources, residential status, and financial activities. Choosing the wrong ITR form can cause delays in processing your return, problems with refunds, or your return being marked as defective.

This tool helps you identify which income tax return form applies to your situation under the Income Tax Act, 2025.

ITR Forms at a Glance

Here’s a quick snapshot of commonly used income tax ITR forms for individuals:

Selecting the correct ITR form is the first step before you proceed to file your tax return.

What is the Quicko ITR Form Tool?

Quicko’s Know your ITR Tool helps identify the income tax ITR form you need to file based on your unique financial situation in minutes. Instead of manually reviewing complex eligibility criteria across ITR-1, ITR-2, ITR-3, and ITR-4, the tool asks simple questions and automatically applies the rules under the Income Tax Act, 2025 to determine your applicable form.

Step-by-Step: How to Identify Your ITR Form

To file ITR correctly, follow this simple process:

Step 1: Select all your income sources — salary, house property, business, capital gains, or other income.

Step 2: Choose your residential status — resident, NRI, or RNOR.

Step 3: Check all applicable additional information.

Using Quicko’s tool automates this process and ensures you don’t miss critical details that affect your form selection.

Why Choosing the Correct Form Matters

Filing your tax return using the wrong form can have the following consequences:

Processing delays: The tax department may treat your return as defective and issue a notice under Section 263, asking you to file the correct form.

Refund delays: Incorrect forms can delay refunds by weeks or even months.

Loss of benefits: Using the wrong form may prevent you from carrying forward losses or claiming certain deductions.

Compliance issues: A defective return may attract notices and require you to file a revised return.

Legal complications: In serious cases, filing the wrong income tax ITR form may be treated as non-compliance.

Taking a few minutes to confirm the correct form can save significant time and stress later.

Detailed Eligibility for Each ITR Form

• ITR-1 (Sahaj)

  Who Can File	Who Cannot File
  • Resident individuals • Salary/pension income • Income from one house property • Interest income and other sources • Agricultural income up to ₹5,000 • LTCG from listed equity shares, MFs and ETFs up to ₹1.25 lakh (taxable under section 198) • Total income up to ₹50 lakhs	• Non-Residents (NRI) or RNOR • Business or professional income • Capital gains (except specified LTCG) • Foreign income or assets • Income from more than one house property • Director of a company • Unlisted equity shares holder • Losses to carry forward

Most salaried employees find this the easiest income tax ITR form to complete.

• ITR-2

  Who Can File	Who Cannot File
  • Resident, NRI, or RNOR individuals and HUFs • Income from salary, house property, capital gains and other sources • Income from more than one house property • Foreign income and assets • Director of a company • Unlisted equity shares holder • Losses to carry forward • Total income more than ₹50 lakhs	• Individuals/HUFs with business or professional income

This return of income form requires more detailed disclosures compared to ITR-1, making it suitable for individuals with diverse income sources.

• ITR-3

  Who Can File	Who Cannot File
  • Resident, NRI, or RNOR individuals and HUFs • Business or professional income • Proprietary business owners and partners in firms • Any income combination with business/profession • Losses to carry forward from business	• Those without business/professional income

This income tax return form is comprehensive and includes schedules for profit and loss statements, balance sheets, and detailed business income reporting. Even if your business income is below the audit threshold, you must use this form unless you are opting for presumptive taxation.

• ITR-4 (Sugam)

  Who Can File	Header 2
  • Resident individuals, HUFs, and firms • Opting for presumptive taxation • Salary/pension income • Income from one house property • Interest income and other sources • Agricultural income up to ₹5,000 • LTCG from listed equity shares, MFs and ETFs up to ₹1.25 lakh (taxable under section 198) • Total income up to ₹50 lakhs	• Non-Residents (NRI) or RNOR • Capital gains (except specified LTCG) • Foreign income or assets • Income from more than one house property • Director of a company • Unlisted equity shares holder • Losses to carry forward

Presumptive taxation simplifies compliance for small businesses and professionals by eliminating the need to maintain detailed books of account.

What to Keep Ready Before You File ITR

• PAN and Aadhaar details

• Form 16 (for salaried individuals)

• Form 26AS

• Annual Information Statement (AIS)

• Interest certificates

• Capital gains statements (if applicable)

• House property details

• Business books (if applicable)

• Bank account details

• Previous year’s ITR (if available)

Use Quicko’s Know your ITR Form Tool above to instantly identify the income tax return form you need to file. Answer a few simple questions about your income, residential status, and financial details to get your result in under two minutes. The tool automatically applies all rules and exceptions under the Income Tax Act, 2025, ensuring you file the correct ITR form with complete confidence — no confusion, no guesswork.