ITR-4 Return Filing
ITR-4 Return Filing
ITR-4, also known as Sugam, is an Income Tax Return form for individuals, Hindu Undivided Families (HUFs), and firms (excluding LLPs) who opt for the presumptive taxation scheme under Sections 44AD, 44ADA, or 44AE of the Income Tax Act. This scheme simplifies tax calculations for small businesses, freelancers, and self-employed professionals by allowing them to declare income at a fixed percentage.
📌 Who Should File ITR-4?
✔️ Individuals & HUFs with business income up to ₹2 crore under Section 44AD
✔️ Professionals with income up to ₹50 lakh under Section 44ADA
✔️ Transporters with income up to ₹10 lakh per vehicle under Section 44AE
✔️ Firms (excluding LLPs) opting for presumptive taxation
🚫 Who Cannot File ITR-4?
❌ Individuals with income above the prescribed limits
❌ Businesses & professionals who maintain books of accounts
❌ Directors of a company
❌ Individuals with foreign income or assets
❌ Individuals with capital gains
Importance of ITR-4 Filing
✅ Simplifies Tax Filing – No need to maintain detailed books of accounts
✅ Reduces Tax Liability – Fixed percentage of turnover/professional receipts is considered as income
✅ Avoids Audit Hassles – No audit required if declared income is above the prescribed limits
✅ Ensures Legal Compliance – Helps in avoiding tax penalties and scrutiny
✅ Essential for Loans & Credit Approvals – Strengthens financial credibility
how we help
Great Support for Funding & Compliance
Documents Required for ITR-4 Filing
📌 PAN Card & Aadhaar Card – For identity verification
📌 Bank Account Details – For tax refunds
📌 Business Turnover/Receipts Details – Under presumptive taxation
📌 GST Details (if applicable) – For businesses under GST
📌 TDS Certificates (Form 16A/16C/26AS) – For tax deducted at source
📌 Investment & Deduction Proofs – Under Sections 80C, 80D, etc.
📌 Advance Tax Payment Receipts (if applicable)
Benefits of ITR-4 Filing
✅ Easy & Hassle-Free Filing – No need for complex accounting records
✅ Lower Compliance Costs – Avoids the need for detailed financial statements
✅ No Audit Requirement – Reduces regulatory burden for small businesses & professionals
✅ Quick Tax Refunds – Faster processing due to simplified tax calculation
✅ Improves Financial Standing – Crucial for business expansion, loans & investments