Who can use ITR-4S (SUGAM) for filing income tax return?

presumptive-business-incomeFor Presumptive Business Income an assessee needs to file his return using ITR-4S Form (commonly known as SUGAM). Who can use the ITR-4S ITR-4S Form is applicable on Individuals, HUFs & small business taxpayers deriving income from

  • Business income where Presumptive scheme under section 44AD & 44AE of the Act is used for computation of business Income
  • Salary/Pension
  • One House Property
  • Other Sources

Moreover, in case any income of spouse, minor child, etc. gets clubbed with the income of the assessee, then ITR-4S can be used only if the clubbed income falls into the above income source. Also, the above income will be deemed to be computed after considering every losses, allowances, depreciation, etc. Who cannot use the ITR-4S ITR-4S is not applicable if income is derived from

  • More than one House Property
  • Winning from lotteries/horse races
  • Capital gains not exempt from tax
  • Agricultural Business in excess of Rs. 5000
  • Speculative Business
  • Losses to be carried forward

Return in ITR-4S cannot be filed by a person, who: a) Is a resident Individual or a HUF (other than not ordinarily resident in India) deriving income as referred to in section 44AD or 44AE, and has:

  • Any asset (including financial interest) located outside India;
  • Signing authority in any account located outside India;

b) Has claimed any relief of tax under section 90, 90A or 91; c) Has income exceeding Rs. 5,000 which is not chargeable to tax. In other words, if assessee claims exemption in respect of any income under sections 10, 10A, 10AA, etc. What are the benefits of ITR-4S? ITR–4S Form:

  • Is user friendly form.
  • Creates simplicity & Accuracy.
  • Helps in optimizing our cost.
  • Is faster in processing & generate transparency.

Points to be noted:

  • No documents are required to be affixed with any ITR Forms.
  • ITR Forms can be filed either manually or electronically, with or without digital signature, with the Income Tax Department.

We at Taxmantra.com would be able to help you in filing of tax returns and also other tax related issues. Please feel free to check this page – Income tax return Filing  OR call us at +91 88 208208 11, +919230033070  OR email us at ‘info@taxmantra.com’