The new financial year has begun, and with it comes the responsibility of filing Income Tax Returns (ITR) for the Assessment Year 2025–26 (Financial Year 2024–25). This time, the Income Tax Department has introduced some updates to the ITR-2 form, aiming to make the process simpler and more convenient, particularly for individuals and Hindu Undivided Families (HUFs) who do not have business or professional income. One of the key changes is the launch of a new Excel-based utility version of the ITR-2 form. Released on March 25, 2025, this tool has been designed to streamline the filing experience and reduce errors during submission.
The updated ITR-2 form now includes an option to file a revised return under Section 139(8A), which allows taxpayers to correct or update their returns more easily after submission. This feature is especially useful for salaried individuals, pensioners, and others who may need to amend their return due to missed or incorrect information.
ITR-2 must be filed by individuals whose annual income exceeds ₹50 lakh or who earn from sources such as rent from more than one property, capital gains, or other income sources. It is also applicable to those who are directors in companies, own shares in unlisted companies, or have foreign assets or income. On the other hand, individuals whose total income is below ₹50 lakh and who earn income solely from salary, pension, interest, dividends, or rent from a single property may file using the simpler ITR-1 form instead. Choosing the appropriate form is essential for accurate and compliant tax filing.
