Understanding ITR-4 Form for Taxpayers: Simplified

Presumptive Taxation Scheme: For small businesses and professionals. Declares income at a set rate without detailed accounts. Relevant sections: 44AD, 44ADA, 44AE. Turnover Limits: Up to INR 2 crores for businesses. Up to INR 50 lakh for professionals. Above these limits? File ITR-3 instead.

Mandatory Filing Conditions: Engage in high-value transactions even if income is below the exemption limit. Transactions include high deposits, foreign travel, and high electricity expenses. Eligible Taxpayers: Individuals, HUFs, Partnership firms (excluding LLPs). Total income can include salary, pension, one house property, and other sources.

Non-eligible Situations: Multiple house properties. Lottery winnings or capital gains. High agricultural income or speculative business income. ITR-4 Structure: Personal Info, Income, Deductions, Tax Computation. Includes business details and assets/liabilities.

Filing Methods: Online or physically (with conditions). Electronic filing mandatory for higher incomes or foreign assets. Document Checklist: PAN, bank details, TDS certificates, tax payment proofs. Specific documents based on income type (salary, business, property, etc.).