ITR Filing AY 2025-26: New ITR Forms 1 & 4 Notified – Know What’s Changed

The Income Tax Department has officially notified ITR Forms 1 (Sahaj) and 4 (Sugam) for the Assessment Year 2025-26. This time, filing your ITR has become easier, especially if you have long-term capital gains (LTCG) up to ₹1.25 lakh from listed shares. The government has also made some updates regarding deductions under sections like 80C, 80GG, and others. Plus, taxpayers now need to give complete details related to TDS (Tax Deducted at Source) in the form.

Last Date to File ITR – July 31, 2025

Once the e-filing portal is updated with these forms, taxpayers can start filing returns for income earned in FY 2024-25 (April 1, 2024 to March 31, 2025). For most individuals — especially those who are not required to audit their accounts, the last date to file ITR is 31st July 2025.

Why Was There a Delay in ITR Forms This Time?

Usually, ITR forms are released around February or March. However, this year, there was a slight delay as revenue department officials were busy working on the new Income Tax Bill, which was introduced in Parliament in February 2025.

Big Update for LTCG up to ₹1.25 Lakh

Now salaried individuals and those falling under the presumptive taxation scheme, who have long term capital gains of up to Rs 1.25 lakh in a financial year, will be able to file ITR-1 and ITR-4 respectively. Earlier, such taxpayers had to file ITR-2, which is more complex.

Who Can File ITR-1 (Sahaj)?

• Earn up to ₹50 lakh total income annually
• Have income from salary, one house property, other sources (like interest), and up to ₹5,000 from agriculture
• Have LTCG up to ₹1.25 lakh

Who Can File ITR-4 (Sugam)?

• Individuals, HUFs, and firms (except LLPs)
• With total income up to ₹50 lakh
• Who opt for presumptive taxation under sections 44AD, 44ADA, or 44AE

Key Changes in This Year's ITR Forms:

• Detailed breakup required for deductions like 80C, 80GG, etc.
• You’ll need to provide complete TDS details, including category-wise info
• Now, LTCG up to ₹1.25 lakh doesn’t push you to ITR-2 — you can stick to ITR-1 or ITR-4

About Forms 1 and 4 ITR Form 1 (Sahaj) and ITR Form 4 (Sugam) are simple forms that suit the needs of a large number of small and medium taxpayers. Sahaj can be filed by individuals whose annual income is up to Rs 50 lakh and who have income up to Rs 5,000 per annum from salary, one house property, other sources (interest) and agricultural income. Sugam can be filed by individuals, Hindu Undivided Families (HUFs) and companies (other than Limited Liability Partnerships (LLPs)) whose total annual income is up to Rs 50 lakh and have business and any professional income.