When filing income tax returns, each category of persons, has a different form that must be used. The government has issued ITR 2 form for individuals and HUF’s who derive income from other sources, including their salary or pension. The previously used ITR 2A has been removed and now only ITR 2 form only exists, to be used by individuals meeting the requirements outlined in this guide.
Individuals and HUFs (Hindu Undivided Families) can file ITR 2. This return form will be applicable to you if you receive income from:
You can file form ITR-2 form either offline or online. Click the above image to download ITR 2 Form for financial year 2016/17 and click here for FY 2015/16.
NOTE: For filing of FY 2015/16, you can refer to the special rates of tax to be filled out in Schedule SI here.
You can file online ITR Form 2 with the Income Tax Department in the below mentioned ways:
Form ITR-2 has the following components:
If you e-file your return, then you will receive the copy of acknowledgement (ITR-V) on your e-mail, you can take print out from there or you can download the acknowledgement copy from the Income Tax Department website and take a print out of it, sign in the space provided and send it to CPC office, Bengaluru. You can also e-verify your ITR-V now by using any of the methods mentioned here.
[ Read: How to Send ITR-V Form to CPC Banglore ]
|Changes in ITR 2||Details|
|More details of salary and house property income||Old ITR form required the taxpayers to report only the taxable amount but the new ITR forms require you to report detailed calculation of income from salary and house property.|
|Penalty for late filing of ITR||A new field has been added where the late filers need to provide the details of late filing fees paid.|
|Capital gains as a result of transfer of unquoted shares||A new filed has been added for the taxpayers to provide information on unquoted shares in accordance with the amendment in the section 50CA of the Finance Act, 2017.|
|Reporting gifts||A field has been added to report the amount taxable as gift.|
|Credit of refund to foreign bank account||A field has been added where an NRI taxpayer can provide the details of a foreign bank account in which he wants the credit of the tax refund he wants to claim.|
|Reporting disallowance of expenses||A new field has been added to report disallowance of expenses in case of TDS default.|
|Claiming credit of TDS deducted in the name of another person||A new field has been added to facilitate the claim for TDS credit where the TDS was deducted in the name of another person or from a common pool or other similar situations.|
|Change of applicability for a partner in a firm||Partners cannot use ITR 2 – for the Assessment Year 2018-19, an individual or an HUF, who is a partner in a firm, shall be required to file his ITR in Form ITR 3 only.|
|Claiming relief under DTAA||The form now asks the taxpayer claiming relief as per DTAA to report more details like rate as per treaty, rate as per I-T Act and applicable rate etc.|
|Claiming exemption on capital gains||The taxpayers now need to provide more details in the form if they are claiming capital gains exemption.|
|Reporting of remission or cessation of trading liability||New forms require separate reporting of remission or cessation of trading liability in case of income from other sources.|
|Reporting GST payments and refunds||New columns have been introduced in the ITR forms to report the details of GST paid and refunded.|
|Removal of gender field||Taxpayers now do not need to mention their gender in the form.|
All these changes have been made by the tax department in the ITR form are aimed at making the assessment procedure online. Therefore, we can see that the department is seeking more and more information from the taxpayers to facilitate e-assessment.
|Assets and liablities of Individuals/HUF whose income exceeds Rs 50 lakhs in schedule ‘AL’
|You are required to declare the cost of immovable property (address too), jeweler, bullion, vehicles, shares, bank and cash balance, etc. Also, description of movable assets.|
|Income derived as a partner in a Firm||You are required to disclose income earned from the firm in which you are a partner along with the details of interest held in the assets of a Partnership firm or Association of persons as a partner or member. Also name, address, PAN of the firm or AOP.|
|As per section 139AA, taxpayers must quote aadhaar number or aadhaar enrolment number while filing ITR.|
|Other income and in dividend income exceeding Rs 10 lakhs||Under ‘schedule OS,’ you are required to declare unexplained credit or investment and dividend received from domestic companies exceeding Rs 10 lakh.|
|Amount of cash deposited during demonetisation
|If you have deposited Rs 2 Lakh or more then, you need to report cash deposited by you in all the bank accounts during the period from 9th November 2016 to 30th December 2016.|
Under the schedule CG you can mention your Capital gains income. Also under schedule CFL, you can carry forward your losses.
Gross Annual Value – Municipal Taxes = Net Annual Value – (Deductions u/s 24 + Standard 30% deduction + interest paid on loan) = Income from house property.
If the property is self-occupied then the maximum deduction allowed under the head HP is restricted to Rs. 2 lakh but for a rented or deemed rented property there is no limit for tax deduction. But From A.Y. 2018-19 the maximum loss under the head HP that can be set-off against other head of income is also restricted to Rs. 2 lakh and balance can be carried forward for next 8 years.
Save yourself the stress of understanding the various changes to tax laws and let the experts at H&R Block India file your taxes with accuracy and confidentiality.