ITR-4 Filing: Essential Information Every Taxpayer Must Know

ITR-4 Filing: Mandatory Information Guide for AY 2026-27

Introduction

ITR-4 (Sugam) is a simplified Income Tax Return form applicable to resident individuals, Hindu Undivided Families (HUFs), and firms (other than LLPs) opting for the presumptive taxation scheme under Sections 44AD, 44ADA, or 44AE of the Income Tax Act.

While ITR-4 is simpler than other return forms, taxpayers must ensure that all mandatory information is accurately disclosed to avoid notices, refund delays, or compliance issues.

Who Should File ITR-4?

ITR-4 can be filed by taxpayers having:

• Business income under Section 44AD
• Professional income under Section 44ADA
• Income from goods carriage business under Section 44AE
• Total income up to ₹50 lakh (subject to applicable conditions)
• Income from Salary/Pension
• Income from One House Property
• Income from Other Sources (excluding lottery and racehorse income)

Mandatory Information Required in ITR-4

1. Personal Information

Taxpayers must provide:

• Full Name
• PAN
• Aadhaar Number
• Date of Birth
• Mobile Number
• Email ID
• Residential Address

The details should match the records available with the Income Tax Department.

2. Bank Account Details

The following information is mandatory:

• Bank Name
• Account Number
• IFSC Code
• Account Type
• Pre-validated Bank Account

Accurate bank details help ensure timely refund processing.

3. Business or Professional Information

Taxpayers must disclose:

• Nature of Business or Profession
• Business Code/Profession Code
• Gross Turnover or Gross Receipts
• Presumptive Income Declared

The information should be consistent with business records and financial transactions.

4. Salary and Pension Income

Where applicable, disclose:

• Gross Salary
• Standard Deduction
• Exempt Allowances
• TDS Deducted

5. House Property Income

Details to be reported include:

• Self-Occupied or Let-Out Property
• Rental Income
• Home Loan Interest

6. Income from Other Sources

This includes:

• Savings Account Interest
• Fixed Deposit Interest
• Family Pension
• Other Interest Income

The reported income should match AIS and Form 26AS.

7. Deduction Details

Eligible deductions under Chapter VI-A include:

• Section 80C
• Section 80D
• Section 80G
• Section 80CCD(1B)
• Section 80TTA / 80TTB

Taxpayers should retain supporting documents for all claims.

8. Tax Payment Details

Verify the following carefully:

• TDS Credits
• Advance Tax Paid
• Self-Assessment Tax
• TCS Credits

These details should reconcile with Form 26AS and AIS.

9. Tax Regime Selection

Taxpayers must choose the applicable regime:

• Old Tax Regime
• New Tax Regime

Selecting the correct regime helps determine the accurate tax liability.

10. E-Verification of Return

After filing ITR-4, the return must be verified through:

• Aadhaar OTP
• Net Banking
• Bank Account EVC

An unverified return is treated as invalid.

Common Mistakes While Filing ITR-4

• Incorrect turnover or gross receipt reporting
• Mismatch with AIS or Form 26AS
• Wrong presumptive income declaration
• Non-disclosure of interest income
• Incorrect deduction claims
• Wrong tax regime selection

Conclusion

ITR-4 filing is relatively simple under the presumptive taxation scheme, but taxpayers must ensure that all mandatory information is accurately disclosed. Proper reporting of turnover, presumptive income, deductions, and tax payments helps avoid notices and ensures smooth processing of the return.

Careful compliance and verification can lead to faster refunds and hassle-free tax filing.