ITR-2 Return

In the realm of Indian taxation, individuals and Hindu Undivided Families (HUFs) are classified based on their income types, with specific Income Tax Return (ITR) forms assigned accordingly. The ITR-2 form is intended for those who do not earn income through business or professional activities. 

Eligibility for ITR 2 Form

The ITR2 form is designed for individuals and HUFs whose income does not stem from 'Profits and Gains from Business or Profession.' If your income falls into any of the following categories, you need to file using the ITR2 form:

• Salary or Pension Income: Earnings from employment or retirement benefits.
• Income from House Property: Revenue from renting out one or more properties.
• Capital Gains: Profits or losses from selling investments or real estate, including both long-term and short-term.
• Other Sources of Income: Includes winnings from lotteries, bets on racehorses, and other legal gambling activities.
• Agricultural Income: Receipts over Rs 5,000 from farming activities.
• Foreign Income or Assets: Income earned abroad or ownership of foreign assets.
• Resident Status: Applicable for Resident Not Ordinarily Resident (RNOR) or Non-Residents.
• Directorships: If you hold a director’s position in any listed or unlisted companies.

The ITR2 form is designed for individuals and HUFs whose income does not stem from 'Profits and Gains from Business or Profession.' If your income falls into any of the following categories, you need to file using the ITR2 form:

• Salary or Pension Income: Earnings from employment or retirement benefits.
• Income from House Property: Revenue from renting out one or more properties.
• Capital Gains: Profits or losses from selling investments or real estate, including both long-term and short-term.
• Other Sources of Income: Includes winnings from lotteries, bets on racehorses, and other legal gambling activities.
• Agricultural Income: Receipts over Rs 5,000 from farming activities.
• Foreign Income or Assets: Income earned abroad or ownership of foreign assets.
• Resident Status: Applicable for Resident Not Ordinarily Resident (RNOR) or Non-Residents.
• Directorships: If you hold a director’s position in any listed or unlisted companies.

The ITR2 form is designed to capture your financial details through two main sections, each tailored to gather specific information and calculate your tax obligations:

Section A: Personal Details

This section collects your basic personal information, such as your Name, Address, Date of Birth, PAN, Aadhar card details, Contact Number, and Email Address.

Section B: Income and Tax Calculation

Here, we calculate your total income and determine the tax owed based on your earnings. The form also includes various schedules to provide a detailed breakdown of different income sources and allowable deductions.

Part B-TI – Total Income Calculation

In this section, we compute your Gross Total Income by including earnings from various sources such as salary and property. We then subtract applicable deductions to determine your Total Income.

Part B-TTI – Tax Liability Computation

Based on your Total Income, this part calculates your tax liability, ensuring accurate assessment of the taxes you owe.

For expert assistance with your ITR2 form, rely on Corpadda to guide you through a smooth and accurate filing process.

While the ITR 2 Form itself doesn't require any attachments during submission, having the right documents and information ready can make your filing process smooth and efficient. Before you start, ensure you have the following:

• Form 16/16A: These forms detail your salary and the tax deducted at source (TDS).
• Form 26AS/AIS/TIS: This statement shows your tax credits, TDS, and other important tax-related details.
• Bank Statements: Collect statements showing income from interest, dividends, or other transactions.
• Capital Gains Information: If you’ve sold assets like property or stocks, gather all relevant transaction documents.
• Foreign Assets and Income Details (if applicable): Include documents for any foreign assets or income you have earned abroad.
• Identification Documents: Keep your Aadhaar Card, PAN Card, and other identification ready for reference.

How to Complete the ITR 2 Form

Follow these steps to accurately complete the ITR 2 Form:

1. Fill in the Form Sequentially: Start with Part A, proceed through all schedules, then complete Part B-TI, Part B-TTI, and finally the verification section.
2. Mark Non-Applicable Schedules: Strike out any schedules that don't apply to you and label them as 'NA.'
3. Use 'NA' Where Needed: Apply 'NA' to any items that don't pertain to your financial situation.
4. Round Figures: Round all figures to the nearest rupee, except for total income/loss and tax payable, which should be rounded to the nearest ten rupees.
5. Select the Correct Employer Category: Choose 'Government' if you’re a government employee, or 'PSU' if you work for a public sector unit of the Central/State Government.
6. Double Taxation Relief: Note that if you claim relief under sections 90/90A/91, the ITR 2 Form is not applicable.

ITR 2 Submission Methods

You can file the ITR 2 Form using either of these methods:

• Offline Filing:
  • Available for individuals aged 80 or above. Submit a physical return or a bar-coded form and receive an acknowledgment from the Income Tax Department.
• Online Filing:
  • Transmit your information electronically, with or without a digital signature. After submitting online, verify the return using Return Form ITR-V. If you file with a digital signature, you’ll receive an acknowledgment via email.

Expert Assistance: Our skilled professionals at Corpadda provide personalized guidance throughout the ITR-2 filing process, ensuring your submission is accurate and fully compliant with tax regulations.

Ease of Use: Enjoy the convenience of our user-friendly online platform, allowing you to file your returns effortlessly from anywhere. No more standing in long queues or dealing with cumbersome paperwork!

Precision: We perform a comprehensive review of your ITR-2 to ensure it's error-free, significantly reducing the likelihood of future tax-related issues.

Prompt Filing: At Corpadda, we recognize the importance of timely tax filing. Count on us to ensure your returns are submitted on schedule, avoiding unnecessary penalties.

Get in Touch with Corpadda Today: Our dedicated team is here to support you every step of the way. Experience the peace of mind that comes with knowing your tax matters are handled by experts.