ITR-1 (SAHAJ)
Salaried individuals/pensioners with simple income — salary, 2 house properties, basic deductions.
COMPLIANCE GUIDE
ITR-4 SUGAM
For Presumptive Business & Professional Income
A complete client-friendly guide
01
What is ITR-4 (SUGAM)?
ITR-4, also called SUGAM, is the return form for resident individuals, HUFs, and partnership firms (excluding LLPs) opting for presumptive taxation.
It applies to taxpayers declaring business income under Section 44AD, professional income under Section 44ADA, or transport income under Section 44AE — without maintaining detailed books of accounts.
It is designed for total income up to ₹50 lakh, alongside salary, one house property, and simple other-source income.
The non-audit due date for ITR-4 has moved to 31st August 2026, aligning it with other business-income returns.
02
Who Can File ITR-4?
Resident Individuals, HUFs & Partnership Firms
Opting for presumptive taxation under Sec 44AD, 44ADA, or 44AE
Business Taxpayers (Sec 44AD)
Turnover up to ₹3 crore (₹2 crore if cash receipts exceed 5% of total receipts)
Professionals (Sec 44ADA)
Gross receipts up to ₹75 lakh (₹50 lakh if cash receipts exceed 5%)
Transport Operators (Sec 44AE)
Owning up to 10 goods vehicles at any time during the year
Multiple Income Streams
Total income up to ₹50 lakh, including salary/pension, one house property, and other-source income
Farmers
Individuals with agricultural income up to ₹5,000
03
Who Cannot File ITR-4?
| Situation | Why ITR-4 Doesn't Apply |
|---|---|
| Capital Gains of Any Kind | Even small capital gains push you to ITR-2 or ITR-3. |
| More Than One House Property | ITR-4 allows only a single property — use ITR-2/ITR-3 for more. |
| Foreign Assets or Foreign Income | Not permitted in ITR-4 — use ITR-3 with Schedule FA. |
| NRIs, RNORs, or LLP Partners | ITR-4 is for residents only, and excludes LLPs entirely. |
| Director in a Company / Unlisted Shares | Use ITR-2 or ITR-3 instead. |
| Turnover/Receipts Beyond Presumptive Limits | Above ₹3 crore (business) or ₹75 lakh (profession) — file ITR-3. |
| Brought Forward or Carry Forward Losses | Any loss to be carried forward requires ITR-3. |
04
Types of ITR Forms in India
ITR-2
Individuals/HUFs with capital gains, multiple house properties, foreign income or dividends, and who don't have Business Income.
ITR-3
Business owners, freelancers — income from profits, professional activities, multiple streams.
ITR-4 (SUGAM)
Presumptive income scheme for small businesses & professionals.
ITR-5
Partnership Firms / LLPs / AOPs / BOIs and other entities.
ITR-6
Companies (except those claiming Sec. 11 exemption).
ITR-7
Trusts / NGOs / Political parties & charitable institutions.
05
Documents Required for ITR-4 Filing
PAN Card & Aadhaar
Identification and linking your tax profile
Form 16 (if applicable)
Proof of any salary income and TDS deducted
Form 26AS / AIS / TIS
Consolidated statement of TDS, taxes paid, and reported income
Bank Statements
To verify turnover/gross receipts and the cash vs digital transaction ratio
Sales / Receipts Summary
Total turnover or gross receipts for the year, by mode of receipt
Vehicle Details (for Sec 44AE)
Registration certificates and ownership period for goods vehicles
House Property Details
Rent receipts or self-occupancy details, home loan interest certificate
Investment Proofs
Documents for Sec 80C, 80D, 80G deductions — if opting for the old regime
06
How ITR-4 Filing Works - 4 Steps
Consultation & Turnover Review
We review your turnover/receipts, cash vs digital split, and confirm presumptive scheme eligibility.
Duration: 1-2 daysIncome Computation
We compute presumptive income under 44AD/44ADA/44AE, plus salary and house property income.
Duration: 1-2 daysFiling & Submission
We file your ITR-4 securely on the e-Filing portal - accurately and within the due date.
Duration: Same day once readyVerification & Support
We guide you through e-verification and assist with refund tracking or any notices.
Duration: Same day
07
ITR-4 Filing Due Dates & Deadlines (current assessment year)
| Filing Type | Due Date / Notes |
|---|---|
| Original Return (Non-Audit) — Sec 139(1) | 31st August — standard due date for presumptive taxpayers filing ITR-4 |
| Advance Tax (Presumptive Scheme) | 15th March — single instalment, instead of the usual four |
| Belated Return — Sec 139(4) | 31st December — late filing; late fee and interest apply |
| Revised Return — Sec 139(5) | 31st March — correct errors in the original/belated return |
08
Penalties for Late ITR-4 Filing
Filed after due date — Income up to ₹5 Lakh
₹ 1,000
late fee (Sec 234F)Filed after due date — Income above ₹5 Lakh
₹ 5,000
late fee (Sec 234F)Delayed tax payment
1% per month
interest on outstanding tax (Sec 234A)Missed the Single Advance Tax Instalment
Interest
on the shortfall under Sec 234COpting Out of Presumptive Scheme Early
5-Year Lock-In
5-year re-entry lock-out under Sec 44AD(4)(5)
09
3 Ways to File Your ITR-4
Self-Filing Online
Use the pre-filled ITR-4 utility on the e-Filing portal. Best for straightforward presumptive cases with clean turnover records.
Expert-Assisted Filing
Our specialists confirm scheme eligibility, compute presumptive income correctly, and handle the filing end-to-end.
Offline Excel / JSON Utility
Prepare your return offline before uploading. Useful when consolidating turnover and TDS records first.
10
Why Filing ITR-4 on Time Benefits You
Compliance Assurance
Filing on time keeps you compliant and helps you avoid penalties, fines, and scrutiny notices.
Lower Compliance Burden
Presumptive taxation under ITR-4 avoids the need for detailed books and a tax audit.
Faster Refunds
Accurate, on-time filing speeds up processing of TDS refunds credited to your bank account.
Verified Income Record
A filed ITR-4 supports loan, tender, and credit applications for small business owners.
Peace of Mind
Expert-assisted filing ensures accuracy in turnover classification and presumptive rate selection.
11
Common ITR-4 Filing Mistakes to Avoid
Filing ITR-4 Despite Ineligibility
Capital gains, foreign assets, or a second house property make the return defective.
Wrong Presumptive Rate Applied
Mixing up the 6%/8% (44AD) or 50% (44ADA) rates, or the cash vs digital receipt split.
Turnover Mismatch with GST / AIS
Reported turnover not matching GST returns or AIS data triggers notices.
Exiting the Scheme Without Realising the Lock-in
Opting out of 44AD before 5 years blocks re-entry for the next 5 years.
Missing the Single Advance Tax Instalment
Presumptive taxpayers must pay 100% advance tax by 15th March, not in four parts.
12
What to Do After Filing Your ITR-4
Verify your ITR-4 immediately
via Aadhaar OTP, net banking, or by sending a signed ITR-V
Track your refund status
monitor processing on the e-Filing portal
Keep a copy of your turnover records
save the acknowledgment and receipt/turnover summary
File a revised return if needed
correct any errors within the allowed period
13
How to Check Your ITR-4 Status & Refund
1.
Log in to the Income Tax e-Filing portal using your PAN and password at incometax.gov.in
2.
Navigate to 'e-File > Income Tax Returns > View Filed Returns'
3.
Check status — your return may show as Submitted, Verified, Processed, or Refund Issued depending on progress.
4.
Refund tracking — the amount is credited to the bank account validated and linked with your PAN on the portal
KYC Document Quick Checklist:
PAN Card | Aadhaar Card | Turnover/Receipts Summary | Form 26AS
14
ITR-4 Document & Information Checklist
Who files: Individual / HUF — Business or Profession Income (Regular Books of Account)
| # | Document / Information Required | Details / What to Check | Mandatory? | Source |
|---|---|---|---|---|
| A. PERSONAL / ENTITY DETAILS | ||||
| 1 | PAN, Aadhaar, DOB, Name | Basic identity details as per PAN | Yes | PAN / Aadhaar |
| 2 | Nature of Business / Profession | Business code as per IT Dept schedule | Yes | IT Dept business code list |
| 3 | Bank Account Details | All accounts — main operating + refund account | Yes | Bank passbook |
| 4 | Residential Status | Resident / NRI — for global income taxability | Yes | Self declaration |
| 5 | Partner / Member Details (if applicable) | PAN, name, share ratio of all partners/members | If firm/HUF | Partnership deed |
| B. BUSINESS / PROFESSIONAL INCOME (Regular Books) | ||||
| 6 | Books of Account | P&L Account + Balance Sheet as on 31 March 2026 | Yes | Tally / Accounting software |
| 7 | Trading Account | Opening stock, purchases, sales, closing stock | If trading | Books of account |
| 8 | Audit Report — Form 3CA/3CB & 3CD | If turnover > ₹1 Cr (Business) / ₹50L (Profession) — mandatory Tax Audit | If applicable | CA certificate |
| 9 | Form 3CEB | If international / specified domestic transactions exist — Transfer Pricing audit | If applicable | CA / TP specialist |
| 10 | GST Returns (GSTR-1, 3B, 9) | Reconcile turnover with IT return | Yes | GST portal |
| 11 | Purchase / Sales Registers | For reconciliation and verification | Yes | Books of account |
| 12 | Expense Vouchers & Bills | All business expenses with supporting documents | Yes | Physical / Digital records |
| 13 | Fixed Asset Register | Details of assets — additions, deletions, depreciation | Yes | Books of account |
| 14 | Loan Statements | All business loans — principal + interest breakup | If applicable | Bank statement |
| 15 | Stock Statement | Opening + Closing stock with valuation method | If trading | Books of account |
| 16 | Debtors / Creditors Ledger | Ageing and confirmation if possible | Yes | Books of account |
| 17 | Cash Book | Daily cash transactions; cash limit ₹2,00,000 per day transaction | Yes | Books of account |
| C. SALARY INCOME (if also receiving salary) | ||||
| 18 | Form 16 — Part A & B | TDS certificate from employer | If applicable | Employer |
| 19 | Form 12BA | Prerequisites statement | If applicable | Employer |
| D. HOUSE PROPERTY INCOME | ||||
| 20 | Property details — each HP | Address, ownership, let-out/self-occupied | Yes (if HP) | Property documents |
| 21 | Rental Income Details | Rent received / receivable month-wise | Yes (if let-out) | Rent receipts |
| 22 | Home Loan Interest Certificates | Sec 24(b) — all home loans | If applicable | Bank / NBFC |
| 23 | Municipal Tax Payment Receipts | Actual taxes paid during FY | If paid | Municipal authority |
| E. CAPITAL GAINS | ||||
| 24 | Asset Sale Deeds / Broker Notes | Property, equity, MF, gold, bonds | If applicable | Registrar / Broker |
| 25 | Cost of Acquisition Records | Original purchase price + improvement costs | If applicable | Old deed / records |
| 26 | Capital Gains Account Scheme (CGAS) | If CG deposited before filing in nationalized bank | If applicable | Bank certificate |
| 27 | Capital Gains Statement | Consolidated from broker / CAMS / KFintech | If applicable | Broker / CAMS / KFintech |
| 28 | Exemption Claim Documents (54/54F/54EC) | New asset purchase or bond investment details | If applicable | Property deed / Bond cert. |
| F. DEPRECIATION DETAILS | ||||
| 29 | Block-wise Asset Values | WDV of each block as on 1 April 2025 | Yes | Books / Last year ITR |
| 30 | New Assets Added During FY | Date of addition, cost, put-to-use date | If applicable | Purchase invoices |
| 31 | Assets Sold / Discarded | WDV impact and short-term capital gain / loss on asset | If applicable | Sale documents |
| 32 | Additional Depreciation | Manufacturing / production unit — 20% additional dep. | If applicable | Books |
| 33 | Accelerated Depreciation | Specific assets (e.g., solar, wind — 40%) | If applicable | Asset details |
| G. FOREIGN ASSETS & INCOME | ||||
| 34 | Foreign Bank Accounts | Account No., bank address, peak balance, interest income | If applicable | Bank statements |
| 35 | Foreign Assets / Investments | Value, nature, date of acquisition | If applicable | Records |
| 36 | Form 67 — Foreign Tax Credit | File before ITR u/s 90/91 relief claim | If applicable | IT portal |
| H. DEDUCTIONS — CHAPTER VI-A | ||||
| 37 | Sec 80C investments (max ₹1.5L) | LIC, PPF, NSC, ELSS, FD, EPF, principal repayment | If claiming | Receipts / Statements |
| 38 | Sec 80D — Health Insurance | Self, family, parents premium — enhanced limit for sr. citizen | If claiming | Premium receipts |
| 39 | Sec 80G — Donations | NGO/Trust with Form 10BE | If claiming | Form 10BE + receipt |
| 40 | Sec 80JAA — New Employment | 30% of additional wages paid — employer claiming this | If applicable | CA certificate |
| 41 | Other deductions (80E, 80TTA, etc.) | As applicable | If claiming | Relevant certificates |
| I. TAX PAID DETAILS | ||||
| 42 | Form 26AS | TDS / TCS / Advance Tax — verify every entry | Yes | TRACES / IT portal |
| 43 | AIS / TIS | Cross check all income reported | Yes | IT portal |
| 44 | Advance Tax Challans (Challan 280) | Quarterly payments — June, Sep, Dec, Mar | If paid | Bank / IT portal |
| 45 | Self Assessment Tax Challan | Balance tax paid after computation | If applicable | Bank / IT portal |
| 46 | Form 16A / 16B | TDS by banks, tenants, clients, etc. | If applicable | TRACES / Deductor |
| 47 | TCS certificates (Form 27D) | If TCS collected on purchases, LRS, etc. | If applicable | Seller / deductor |
Keep all documents ready before starting filing.