Which ITR Form to Use for Home Loan?
There are several types of ITR forms and to find the right ones to file, you need to be aware of factors like the home loan interest rate, principal amount, home loan tax benefit for claiming deductions related to your home loan. The income tax returns filing necessitates choosing the right form and listed below are explanations for a few important ones.
The different types of ITR forms include the following:
- ITR-1
- ITR-2
- ITR-3
- ITR-2A
- ITR-4S
- ITR-4
The ITR-1 Sahaj Form should be filed by individual taxpayers who are salaried/ pensioners and who earn income from a single housing property if that applies.
ITR-2A can be filed in case you have more than one housing property. Form 2 is for those who have income (capital gains) from the sale of property/ assets in India. It also applies to those who earn income from more than one property, to those who are salaried/ pensioners, and to those who own assets outside India and earn income abroad. This also applies to those whose agricultural income is more than Rs. 5,000.
Form 3 is for those who are partners in firms but do not operate businesses under the firm or earn income from the business. Those who earn a salary, commission, bonus, interest, and remuneration only from the firm can fill up this form.
The ITR 4 Form is for those who earn income from their professions. along with income earned from windfalls, speculation, housing property, lotteries, etc. Doctors, agents, shopkeepers, contractors, retailers commonly opt to file with this form. 4S Form is the Sugam form and applies to those earning income from one housing property and business. These are taxpayers whose agricultural income is lower than Rs. 5,000 and those who do not earn income abroad or own properties abroad.
