ITR 4 Filing Process, Incometax Return AY 2022-23 Filing

ITR 4 Filing Process, Incometax Return AY 2022-23 Filing Process.

ITR stands for Income Tax Return (Under Income tax Of India) and ITR 4 Sugam Form is for the taxpayers who are filing return under the presumptive income scheme in Section 44AD, Section 44ADA and Section 44AE of the Income Tax (IT) Act. If the turnover of the aforementioned business becomes more than Rs 2 crores then the taxpayer can’t file ITR-4.

Who can File the ITR 4 Sugam Form?

ITR-4 Form is the Income Tax Return form for the taxpayers who opt for a presumptive income scheme under Section 44AD, Section 44ADA and Section 44AE of the Income Tax Act.

However, if the turnover of the business mentioned above exceeds Rs 2 crores, the taxpayer will have to file ITR-3.

Who is required to file ITR 4?

ITR 4 is to be filed by the individuals/HUF/ Partnership firm whose total income of AY 2020-21 includes as below:

• Business income under section 44AD or 44AE
• Income from profession calculated under section 44ADA
• Salary/pension having income up to Rs 50 lakh
• Income from One House Property having income up to Rs 50 lakh (excluding the brought forward loss or loss to be carried forward cases under this head)
• Income from Other Sources having income up to Rs 50 lakh (Excluding winning from lottery and income from horse races).

Note: Freelancers engaged in the above profession can also opt for this scheme if their gross receipts don’t exceed Rs 50 lakhs.

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ITR 4 Filing Process Step By Step All Steps

1. Home https://incometaxindia.gov.in
2. File ITR-4 (Sugam) Online User Manual

1. Overview

The pre-filling and filing of ITR-4 service is available to registered users on the e-Filing portal. This service enables individual taxpayers, HUFs, and firms (other than LLPs) to file ITR-4 online through e-Filing portal. This user manual covers the process for filing ITR-4 online.

2. Prerequisites for availing this service

General

Registered user on the e-Filing portal with valid user ID and passwordStatus of PAN is active

Others

Link PAN and Aadhaar (Individual taxpayers)Pre-validate at least one bank account and nominate it for refund (recommended)Valid mobile number linked with Aadhaar / e-Filing portal / your bank / NSDL / CDSL (for e-Verification)Download the offline utility or avail a third-party software (If using offline mode)

3. Form at a Glance

ITR-4 has six sections that you need to fill before submitting the form and a preview page where you can validate all your details filled. The sections are as follows:

• Personal Information
• Gross Total Income
• Disclosures
• Total Deductions
• Taxes Paid
• Total Tax Liability

Here is a quick tour of the various sections of ITR-4:

3.1 Personal Information

In the Personal Information section of the ITR, you need to verify the pre-filled data which is auto-filled from your e-Filing profile. You will not be able to edit some of your personal data directly in the form. However, you can make the necessary changes by going to your e-Filing profile. You can edit your contact details, filing type details, authorized representative, partner details (if applicable) and bank details in your e-Filing profile.

3.2 Gross Total Income

In the Gross Total Income section, you need to review the pre-filled information and verify your income source details from salary / pension, house property, business or profession and other sources (such as interest income, family pension, etc.). You will also be required to enter the remaining / additional details including your exempt income, if any. 

Note: Some parts of this section will be greyed off depending on whether you’re an HUF or a firm (other than LLP). 

3.3 Disclosures

In the Disclosures section, you need to provide details of financial particulars related to presumptive business, gross receipts reported for GST (optional) and exempt income.

Note: The deduction in respect of the investment / deposit / payments for the period 1st April 2020 to 31st July 2020 cannot be claimed again, if already claimed in the AY 20-21.

3.4 Total Deductions

In the Total Deductions section, you need to add and verify any deductions you need to claim under Chapter VI-A of the Income Tax Act. 

3.5 Taxes Paid

In the Taxes Paid section, you need to verify taxes paid by you in the previous year. Tax details include TDS from Salary / Other than Salary as furnished by the Payer, TCS, Advance Tax and Self-Assessment Tax.  

3.6 Total Tax Liability

In the Total Tax Liability section, you will be able to view your computation of income, computation of tax and total tax, cess and interest. You need to check your tax liability details as per the sections you filled previously in the computation of tax section. 

Note: For more details, refer to the instructions to file ITR issued by CBDT for AY 2021-22.

4. How to Access and Submit

You can file and submit your ITR through following methods:

• Online Mode – through e-Filing portal
• Offline Mode – through Offline Utility

Refer to the Offline Utility (for ITRs) user manual to learn more.

Follow the steps below to file and submit the ITR through online mode: 

Step 1: Log in to the e-Filing portal using your user ID and password.

Step 2: On your Dashboard, click e-File > Income Tax Returns > File Income Tax Return.
 

Step 3: Select Assessment Year as 2022– 23 and click Continue.

Step 4: Select Mode of Filing as Online and click Proceed.

Note: In case you have already filled the Income Tax Return and it is pending for submission, click Resume Filing. In case you wish to discard the saved return and start preparing the return afresh click Start New Filing.

Step 5: Select Status as applicable to you and click Continue to proceed further.

Step 6: You have two options to select the type of Income Tax Return:

• If you are not sure which ITR to file, you may select Help me decide which ITR Form to file and click Proceed. Once the system helps you determine the correct ITR, you can proceed with filing your ITR.

• If you are sure which ITR to file, select I know which ITR Form I need to file. Select the applicable Income Tax Return from the dropdown and click Proceed with ITR.

Note: 

• In case you are not aware which ITR or schedules are applicable to you or income and deductions details, your answers in response to a set of questions will guide in determining the same and help you in correct / error free filing of ITR.
• In case you are aware of the ITR or schedules applicable to you or income and deduction details, you can skip these questions.

Step 7:  Read the instructions to fill the form carefully and note the list of documents needed and click Let’s Get Started.

Step 8: Select the checkboxes applicable to you and click Continue.

 

Step 9: Review your pre-filled data and edit it if necessary. Enter the remaining / additional data (if required) and click Confirm at the end of each section.

 
Step 10: Enter your income and deduction details in the different section. After completing and confirming all the sections of the form, click Proceed.

Step 10a: In case there is a tax liability:

You will be shown a summary of your tax computation based on the details you provided. If there is tax liability payable based on the computation, you will get the Pay Now and Pay Later options at the bottom of the page.

Note:

• It is recommended to use the Pay Now option. Carefully note the BSR Code and Challan Serial Number and enter them in the details of payment.
• If you opt to Pay Later, you can make the payment after filing your Income Tax Return, but there is a risk of being considered as an assessee in default, and liability to pay interest on tax payable may arise.

Step 10b: In case there is no tax liability (No Demand / No Refund) or if you are eligible for a Refund

After paying tax, click Preview Return. If there is no tax liability payable, or if there is a refund based on tax computation, you will be taken to the Preview and Submit Your Return page.

Step 11: On the Preview and Submit Your Return page, enter Place, select the declaration checkbox and click Proceed to Validation.

Note: If you have not involved a tax return preparer or TRP in preparing your return, you can leave the textboxes related to TRP blank.

Step 12: Once validated, on your Preview and Submit your Return page, click Proceed to Verification.

Note: You will be shown a list of errors in your return, if any. You need to go back to the form to correct the errors. If there are no errors, you can proceed to e-Verify your return by clicking Proceed to Verification.

Step 13: On the Complete your Verification page, select your preferred option and click Continue. 

It is mandatory to verify your return, and e-Verification (recommended option – e-Verify Now) is the easiest way to verify your ITR – it is quick, paperless, and safer than sending a signed physical ITR-V to CPC by post.

Note: In case you select e-Verify Later, you can submit your return, however, you will be required to verify your return within 120 days of filing of your ITR.

Step 14: On the e-Verify page, select the option through which you want to e-Verify the return and click Continue.

Note:

• Refer to the How to e-Verify user manual to learn more.
• If you select Verify via ITR-V, you need to send a signed physical copy of your ITR-V to Centralized Processing Center, Income Tax Department, Bengaluru 560500 by normal / speed post within 120 days.
• Please make sure you have pre-validated your bank account so that any refunds due maybe credited to your bank account.
• Refer to the My Bank Account user manual to learn more.

Once you e-Verify your return you, a success message along with the Transaction ID and Acknowledgment Number. You will also receive a confirmation message on your mobile number and email ID registered with the e-Filing portal.