The Income Tax Department classifies taxpayers based on their income, sources of income, and other factors to simplify compliance. The ITR-2 Form is specifically designed for individuals and Hindu Undivided Families (HUFs) who do not have income from business or profession but earn from salary, property, and capital gains from assets like stocks, bonds, and real estate. While filing ITR-2 may seem complicated, especially with multiple income sources and capital gains, understanding the process can make it much easier. This article provides a detailed, step-by-step guide to help you file your ITR-2 for FY 2024-25 (AY 2025-26) accurately and efficiently.
ITR-2 Filing for FY 2024-25 (AY 2025-26): Income Tax Return
What is the ITR-2 Form?
In India, taxpayers are categorized based on their income, and specific Income Tax Return (ITR) forms are assigned to individuals according to their income sources. The ITR-2 form is specifically designed for individuals and Hindu Undivided Families (HUFs) who do not earn income from business or professional activities but have income from salary, property, and capital gains on the sale of assets such as stocks, bonds, and real estate
Who is Eligible to File ITR-2 for AY 2025-26?
The ITR-2 form is intended for individuals and Hindu Undivided Families (HUFs) earning income from sources other than ‘Profits and Gains from Business or Profession.’ If your income comes from any of the following sources, you must file ITR-2:
Income from Salary/Pension
Income from House Property, including multiple properties
Capital Gains from the sale of investments or property, covering both long-term and short-term gains or losses
Income from Other Sources, such as lottery winnings, gambling, or legally recognized betting
Agricultural Income exceeding Rs 5,000
Foreign Income or Assets held outside India
Status as a Resident Not Ordinarily Resident (RNOR) or a Non-Resident
If your total income from the above sources exceeds Rs 50 lakh, or if you are a director in a company or have investments in unlisted equity shares, you must file ITR-2
Who Cannot File ITR-2 for AY 2025-26?
The following individuals or entities are not eligible to file ITR-2:
Individuals or HUFs with income from business or profession
Individuals eligible to file ITR-1 (Sahaj)
Due Date for ITR-2 Filing
The deadline for filing ITR-2 for the financial year 2024-25 (assessment year 2025-26) is July 31, 2025 for individuals and HUFs not requiring an audit. If this deadline is missed, a belated return can be filed by December 31, 2025. Additionally, taxpayers now have the option to file an updated return up to four years from the end of the relevant assessment year. Timely filing of ITR-2 is essential to avoid penalties and ensure compliance with tax regulations
Structure of the ITR-2 Form
The ITR-2 form is structured to capture various income details of an individual or HUF to ensure an accurate and comprehensive declaration of financial information. The form is divided into two main parts and several schedules, each serving a specific purpose for the computation of taxable income. Understanding this structure is vital for filing correctly.
Part A: General Information
This section gathers key personal information, including:
PAN
Name, address, and contact details
Assessment year
Filing status
It acts as the introductory section, providing the Income Tax Department with necessary identification details.
Schedules:
The schedules are where taxpayers report specific income, deductions, and other relevant financial information. Key schedules include:
Schedule S: Income from Salaries, including allowances, perquisites, and deductions.
Schedule HP: Income from House Property, including rental income, deductions for taxes paid, and home loan interest.
Schedule CG: Capital Gains, for calculating profits or losses from the sale of property or investments (both long-term and short-term).
Schedule 112A: Long-term capital gains from the sale of equity shares or units subject to Securities Transaction Tax (STT).
Schedule VDA: Income from Virtual Digital Assets (VDAs).
Schedule OS: Income from Other Sources, such as interest, lottery winnings, and gambling income.
Schedule CYLA: Adjustment of current year losses.
Schedule BFLA: Adjustment of brought-forward losses.
Schedule CFL: Details of losses to be carried forward to future years.
Schedule VIA: Deductions, including contributions to LIC, PPF, NPS, and other eligible deductions.
Schedule 80G: Donations to charitable organizations.
Schedule AMT: Computation of Alternate Minimum Tax (AMT).
Schedule SPI: Income of a spouse or minor child included in the taxpayer’s income.
Schedule SI: Special rate income, subject to taxation at special rates.
Schedule EI: Exempt income, which is not included in the total income.
Schedule FA: Disclosure of foreign assets and income.
Schedule AL: Reporting assets and liabilities, applicable for incomes over Rs 50 lakh.
Part B – TI: Computation of Total Income
This part consolidates the reported income from various schedules to determine the taxpayer’s gross total income and then subtracts eligible deductions to calculate the taxable income.
Part B – TTI: Computation of Tax Liability on Total Income
Here, the tax liability is calculated based on the taxable income, taking into account tax credits, rebates, and other adjustments. This section will determine the final amount of tax payable.
Tax Payments
Details of advance tax payments, self-assessment tax, and TDS deductions are required in this section to ensure proper credit for taxes already paid.
Declaration and Verification
The taxpayer must declare that the information provided is accurate and complete, followed by a verification process to validate the return.
Tax Return Preparer (TRP) Details (if applicable)
If a Tax Return Preparer has assisted in filing the return, their details must be provided here.
Documents Required for Filing ITR-2 Online
Filing ITR-2 requires a set of documents based on your income sources, deductions, and exemptions. Below is a checklist to help you prepare:
Form 16: Provided by your employer, detailing salary income and TDS.
Form 16A: Issued for TDS on interest from fixed deposits, recurring deposits, etc.
Form 26AS: A consolidated tax statement to verify TDS across all income sources.
Rent Receipts: Required for claiming HRA or deductions if not submitted to your employer.
Capital Gains Statement: Summary of gains/losses from the sale of stocks, mutual funds, or property.
Bank Statements/Passbooks: To report interest income.
Property-Related Documents: Include rent agreements, municipal tax receipts, and loan interest certificates.
Loss Statements: For current or previous financial year losses—ensure ITR-V copies are available for carry-forward claims.
Investment Proofs for Tax Savings: Includes evidence for deductions under Sections 80C (LIC, PPF, ELSS), 80D (health insurance), 80G (donations), and 80GG (rent paid without HRA).
Modes of Filing ITR-2
Offline Mode
Only available for individuals aged 80 and above. The return can be filed using a paper form or bar-coded return. An acknowledgment is issued upon submission.
Online Mode
Recommended for all other taxpayers. File electronically on the Income Tax e-filing portal, with or without a digital signature. Post-filing, you must verify the return using Aadhaar OTP, EVC, DSC, or by sending ITR-V to CPC.
Instructions to Fill ITR-2 for FY 2024-25 (AY 2025-26)
Complete sections in order: Part A → Schedules → Part B-TI → Part B-TTI → Verification.
Strike out unused schedules with “NA”.
Round off figures to the nearest rupee (except total income/tax, which should be rounded to the nearest ₹10).
Indicate employment type: “Government” for state/central govt., “PSU” for public sector units.
ITR-2 is annexure-less – do not attach documents.
Cannot be used if claiming relief under Sections 90/90A/91
Step-by-Step Guide to File ITR-2
Login: Visit incometax.gov.in and sign in with your credentials.
Select Assessment Year: Choose AY 2025–26 and the mode (online/offline).
Assessee Status: Choose Individual or HUF.
Choose Form ITR-2: Select the appropriate form and begin filling.
Enter Income Details: Input data from all sources—salary, capital gains, house property, and other sources.
Claim Deductions: Provide details under Sections 80C to 80U as applicable.
Tax Computation: The system will auto-calculate tax liability after deductions.
Validate & Generate JSON File: Use portal tools to validate and generate the file.
Verify Return: Complete verification via Aadhaar OTP, EVC, DSC, or ITR-V post.
Receive Acknowledgment: Once verified, you’ll receive a confirmation on your registered email
ITR-2 Filing Charges
Charges vary depending on the complexity of your financial profile and assistance required.
IndiaFilings offers affordable and professional ITR-2 filing services tailored for salaried individuals and HUFs
Key Differences Between ITR-1 and ITR-2
Choosing the correct Income Tax Return (ITR) form is crucial to ensure your filing is accepted and processed without penalties or rejections. Many taxpayers are confused between ITR-1 and ITR-2, as both cater to individuals but differ based on income type and amount.
| Particulars | ITR-1 (Sahaj) | ITR-2 |
|---|---|---|
| Applicable To | Resident Individuals (Not Ordinarily Resident) | Resident and Non-Resident Individuals, and Hindu Undivided Families (HUFs) |
| Salary/Pension Income | Up to ₹50 lakh | Exceeding ₹50 lakh |
| Income from Other Sources | Allowed, except income from lotteries, racehorses, gambling, etc. | Includes all sources, including lotteries, gambling, race winnings |
| Exempt Income | Up to ₹5,000 | Above ₹5,000 |
| Income from House Property | Only from one residential property | Income from more than one house property |
| Capital Gains | Not applicable | Short-term and long-term capital gains allowed |
How to Download the ITR-2 Form
To download the ITR-2 form for FY 2024–25 (AY 2025–26), follow these simple steps:
Visit the Official Portal: Go to https://www.incometax.gov.in.
Login: Enter your PAN and password to access your e-filing account.
Navigate to ‘Downloads’: Find the Downloads tab on the homepage.
Select ITR-2: Choose the relevant form (ITR-2) for the appropriate Assessment Year.
Download the Form: Choose your preferred format (Excel, PDF, or JSON/XML).
Fill & Upload: Complete the form, validate details, and upload it via the e-filing portal
Key Updates in ITR-2 for FY 2024-25 (AY 2025-26)
Several new provisions introduced in the past two financial years continue to apply:
Schedule VDA: Mandatory reporting of income from Virtual Digital Assets (e.g., cryptocurrency).
Section 89A Relief: Relief for taxpayers with income from foreign retirement accounts, including:
Point 1(e)4: Income taxable in the current year where relief was claimed earlier.
Section 10(12C): Tax exemption for payments received from the Agniveer Corpus Fund.
Schedule SI: Addition of Section 115BBH for VDA income.
Section 80CCH: New deduction for contributions to the Agniveer Corpus Fund.
Schedule 80G: Mandatory entry of ARN (Donation Reference Number) for donations.
Latest Feature: 'Pay Later' Option
The Income Tax e-filing portal now allows users to file their return first and pay taxes later using the new ‘Pay Later’ feature. This simplifies the process and gives taxpayers more flexibility during ITR submission.
For full details, check out our guide on the Pay Later option (Insert link if applicable)
Easy ITR-2 Filing with IndiaFilings
Filing ITR-2 can seem complex, especially with multiple income sources or capital gains involved. IndiaFilings simplifies this process by offering:
Expert guidance at every step
User-friendly platform for a seamless filing experience
Timely support to ensure compliance and avoid penalties
Whether you’re a salaried professional, a property owner, or an investor, IndiaFilings helps you file ITR-2 accurately and stress-free
