TAX
PaieOverview of ITR-4 Form Filing Service
The ITR-4 Form, also known as the Sugam Form, is a simplified income tax return form designed for individuals, Hindu Undivided Families (HUFs), and businesses with income under the presumptive taxation scheme. It is suitable for small businesses, freelancers, and professionals who meet the criteria under sections 44AD, 44ADA, or 44AE of the Income Tax Act. This form offers a more efficient and streamlined process to file taxes, minimizing the complexity involved in reporting business income.
At Taxpaie, we provide expert ITR-4 Form Filing Services to help small business owners, freelancers, and professionals file their taxes quickly and accurately. Whether you're a freelancer, consultant, or running a small business, our team ensures full compliance with tax laws while maximizing eligible deductions and minimizing tax liabilities.
What is ITR-4 Form?
The ITR-4 form is an income tax return form designed for individuals, HUFs, and businesses that opt for the presumptive taxation scheme under the Income Tax Act. This form simplifies the tax filing process, especially for small taxpayers, by allowing them to declare their income on a presumptive basis, instead of maintaining detailed books of account.
The ITR-4 Form includes essential details such as:
• Personal information (Name, PAN, Address)
• Income details (Income from business, profession, or other sources)
• Presumptive income declaration (under applicable sections of the Income Tax Act)
• Tax deductions under section 80C to 80U (if applicable)
Eligibility Criteria for ITR-4:
• Individuals, HUFs, or Firms with Income from Business or Profession:
Those who earn income from business or profession and have opted for the presumptive taxation scheme under sections 44AD, 44ADA, or 44AE.
• Presumptive Taxation Under Section 44AD:Businesses with a turnover of up to ₹2 crore can file ITR-4 under Section 44AD.
• Presumptive Taxation Under Section 44ADA:Professionals such as doctors, lawyers, consultants, etc., with gross receipts of up to ₹50 lakh can file under Section 44ADA.
• Presumptive Taxation Under Section 44AE:Individuals engaged in the business of plying, hiring, or leasing goods carriages can file under Section 44AE.
Who Cannot File ITR-4 ?
• Individuals or businesses whose income exceeds the prescribed limits for presumptive taxation must use ITR-3.
• Those with income from capital gains, foreign income, or more than one house property cannot file ITR-4 and must use ITR-2 or ITR-3 based on their specific situation.
• Individuals involved in corporate businesses or partnership firms that do not meet the requirements for presumptive taxation are not eligible to file ITR-4.
• Income derived from winning a lottery.
• Engagement in the activity of owning and maintaining racehorses.
• Income is subject to taxation at special rates under Section 115BBDA or Section 115BBE of the Income Tax Act.
• Agricultural Income exceeding Rs. 5,000.
• Income from agency business, speculative business, commission, or brokerage income.
Why is Filing ITR-4 Important
1. Simplified Tax Filing:
The ITR-4 Form simplifies the tax filing process for small businesses, freelancers, and professionals by allowing them to declare income on a presumptive basis. This reduces complexity and saves time.
2. Compliance with Tax Laws:Filing the ITR-4 ensures compliance with the Income Tax Act, preventing penalties and scrutiny from the tax department.
3. Minimize the complexities:Under the presumptive taxation scheme, a particular percentage of turnover is declared as income. This helps in reducing the complexity of accounting.
4. Claim Tax Refund:If excess taxes have been paid or TDS has been deducted at a higher rate, filing ITR-4 allows you to claim a tax refund.
5. No Need for Detailed Accounting:Under presumptive taxation, detailed books of account are not required, making the process more convenient and less time-consuming. Minimal and basic accounting is highly recommened for the smooth running of business.
Our ITR-4 Form Filing Services
1. Consultation and Document Review
We begin by reviewing your business or professional income, including any gross receipts or turnover, and determining whether you qualify for presumptive taxation under sections 44AD, 44ADA, or 44AE.
2. Income Reporting
We assist in reporting your presumptive income based on your gross receipts or turnover. If you meet the requirements for Section 44AD, we help calculate and report your presumptive income at 8% of your turnover (6% for digital transactions). For professionals under Section 44ADA, we help report income at 50% of your gross receipts.
3. Claiming Deductions
We ensure that you claim all eligible deductions under sections like 80C, 80D, 80E, etc., to reduce your taxable income and minimize your tax liability.
4. Reporting Other Income
If you have income from sources like interest, dividends, or rental income, we help you report these additional income sources accurately.
5. E-Filing of ITR-4
After preparing the ITR-4 Form, we file it electronically with the Income Tax Department, ensuring compliance and securing a timely submission.
6. Tax Computation and Refund Assistance
We calculate your tax liability based on your total income and apply any eligible deductions to ensure accurate tax filing. If you are entitled to a tax refund, we assist in tracking and claiming it.
7. Acknowledgment and E-Verification
Once your ITR-4 is filed, we provide you with the ITR-V (acknowledgment receipt) and guide you through the e-verification process for secure and easy filing completion.
8. Post-Filing Support
If you receive any notices or queries from the Income Tax Department after filing, we provide ongoing post-filing support to help resolve any issues quickly.
How ITR-1 Filing Works with Us
- 1
Consultation
Contact us to discuss your business or professional income and determine if you qualify for presumptive taxation under the relevant sections.
- 2
Document Collection
Provide your gross receipts, turnover, and other documents related to your income (such as bank statements, Form 16A, etc.).
- 3
Form Preparation
Our experts prepare the ITR-4 Form based on your income and deductions, ensuring all sections are filled accurately.
- 4
Review and Filing
We review your form for accuracy and file it electronically with the Income Tax Department.
- 5
E-Verification
We guide you through the e-verification process, which completes the filing.
- 6
Tax Refund (if applicable)
We track and assist you in claiming your tax refund (if applicable).
- 7
Post-Filing Support
If you receive any communication from the tax authorities, we provide post-filing assistance to resolve any issues.
Frequently Asked Questions
What is ITR-4?
Who can file ITR-4?
Who cannot file ITR-4?
What documents are needed for ITR-4?
How to file ITR-4?
What is the last date for filing ITR-4?
Can I revise ITR-4?
What if I make a mistake in ITR-4?
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ITR 1 Form Filing
ITR 2 Form Filing
ITR 3 Form Filing
ITR 5 Form Filing
ITR 6 Form Filing
ITR 7 Form Filing
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