ITR 4 for Presumptive Taxation Scheme

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Hiral Vakil

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ITR-4
Presumptive Tax

The ITR 4 is meant for those taxpayers who have opted for the presumptive taxation scheme under Section 44AD, Section 44ADA, or Section 44AE of the Income Tax Act.

However, if the turnover of the mentioned business exceeds INR 2 crores (INR 50 lakh in case of professionals), the taxpayer will have to file ITR 3. You can also download income tax utility from the income tax department website.

For FY 2019-20, due to COVID-19 the due date for filing ITR has been extended to 30th November 2020 for all taxpayer.
Tip
For FY 2019-20, due to COVID-19 the due date for filing ITR has been extended to 30th November 2020 for all taxpayer.

Up to FY 2018-19 (AY 2019-20), it was not mandatory to file Income Tax Return if the total income was less than the basic exemption limit. However, Budget 2019 inserted the seventh proviso to Section 139(1). As per this new provision, if a taxpayer has entered into high-value transactions, it is mandatory to file the ITR even if the total income does not exceed the basic exemption limit. The high-value transactions can be either of the following:

  1. If the taxpayer has deposited more than INR 1 Cr in a current account
  2. If the taxpayer has incurred foreign travel expense of more than INR 2 lacs
  3. Or, if the taxpayer has incurred electricity expense of more than INR 1 lac

Who can file ITR 4?

Individual/HUF/Partnership firm whose total income includes following can use this form:

File Your Tax Return

On Time , Online on Quicko.com

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File Your Tax Return

On Time , Online on Quicko.com

Open Your Account Today

Who can not file ITR 4 Form?

This Return Form cannot be used in case of the following incomes:

Earned Professional Income during the year?
Let our experts file ITR for you.
[Rated 4.8 stars by customers like you]
Earned Professional Income during the year?
Let our experts file ITR for you.
[Rated 4.8 stars by customers like you]

Structure of ITR Form Number 4

Part/ Schedule Heading Fields
PART A- GENERAL Personal Information Name, Address, Date of Birth, PAN, contact details, etc.
Filing Status Employer Category, Tax status, Residential status, Return filed u/s, etc.
PART B Income And Deduction Income from Business, Salary, Pension, House Property, Other Sources
PART C Deduction under Chapter VI-A Deductions under section 80C, 80D, 80E, 80G, 80TTA, etc.
PART D Tax computation Breaking up Tax computation, Interest, Cess, Rebate, etc.
Schedule NOB BP Nature of Business, If more than one business, indicates the three main activities/ products Nature of Business, Computation of Presumptive Income under 44AD, 44ADA and 44AE, Financial Particulars of Business
Schedule AL Details of Assets and Liabilities Details of an immovable asset, Details of a movable asset, Interest held in the asset of a firm or AOP, etc.
Schedule IT Details of Advance Tax and Self Assessment Tax Payments BSR Code, Date of Deposit, Chalan Number, Tax Paid
Schedule TCS Details of Tax Collected at sources Tax collection Account Number, Name of Collector, Tax Collected, Amount Claimed
Tax Details TDS1: Details of Tax Deducted at Source from SALARY TAN of Employer, Employer Name, Ted Deducted, etc.
Tax Details TDS2: Details of Tax Deducted at sources from Income other than Salary TAN, Name of Deductor, Year of Deduction, Tax deducted, etc.
Check which ITR Form to file?
Income Tax Return Forms to file depends on your Income Source, Residential Status, and other financial situation. Know which ITR Form you should file.
Explore
Check which ITR Form to file?
Income Tax Return Forms to file depends on your Income Source, Residential Status, and other financial situation. Know which ITR Form you should file.
Explore

List of Documents Needed to file ITR 4

Acquire the given list of documents on the basis of relevant Incomes in order to indulge in a smooth filing process.

Essential documents:

Documents on the basis of your type of Income:

Earned Business Income during the year?
Let our experts file ITR for you.
[Rated 4.8 stars by customers like you]
Earned Business Income during the year?
Let our experts file ITR for you.
[Rated 4.8 stars by customers like you]

How to file the ITR 4?

You can either file your ITR 4 physically or electronically. Since the Financial year 2013-14, electronic filing of ITR 4 has been made compulsory for the taxpayers who:

In case of Physical submission:

The department will provide you with an acknowledgment along with stamp of submission on your copy.

In case of Online / Electronic submission:

ITR 4 for AY 2020-21

Sample ITR-4 Sugam
Download Sample from Income Tax Department
31st July
The due date to file ITR-4 (SUGAM) for Proprietors and Freelancers earning Business & Profession Income.
31st July
The due date to file ITR-4 (SUGAM) for Proprietors and Freelancers earning Business & Profession Income.

FAQs

Can NRI file ITR 4?

No. NRI can not file ITR 4. They need to file ITR 3 for income earned from Business & Profession.

My turnover from business is more than INR 2 Crore can I file ITR 4?

No, since presumptive taxation scheme is only available to businesses having turnover up to INR 2 Crore. You can not opt for the Presumptive Taxation Scheme and file ITR 4.

Can I file ITR 4 if my professional receipts are more than INR 50 lakhs?

No. since presumptive taxation scheme is only available to professionals having receipts up to INR 50 lakhs. You can not opt for the Presumptive Taxation Scheme and file ITR 4.

Can I file ITR 4 after the due date?

Yes, ITR 4 can be filed after the due date. It will be considered a belated return. And late filing fees will be levied while filing a belated return.

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