Instructions For Filling Form Itr-2 1: Fill & Download for Free

There are two options.Download ITR 4 utility (Java/Excel) (Prefer Java utility) from income tax e-filing site. e-Filing Home Page, Income Tax Department, Government of IndiaClick on 'ITR Forms - AY 2016–17 in the download section.Select proper assessment year eg. If you want to file return for year 2015–16 then select assessment year 2016–17.Download ITR 4 Java utility.Fill appropriate fields, you can also import basic details from previous return or PAN card.After everything is filled, return can be uploaded from Java utility itself.After uploading, e-verify the return by logging in on e-filing site.THIS METHOD IS ADVISED ONLY WHEN YOU HAVE SOME KNOWLEDGE ABOUT RETURN FILLING. DON'T FOLLOW THIS METHOD IF THIS IS THE FIRST TIME YOU ARE FILLING THE RETURN.Else prepare the return on online return filing sites like https://cleartax.in/The site contains all the instructions on how to file the return and is safe and secure and FREE.Return is uploaded from that site only.You have to login to e-Filing Home Page, Income Tax Department, Government of India to e-verify the return.Hope this helps. :)

The checklist seems extensive. But, It may not be the case with you. There are very few people who had investments in property, shares, bonds as well as other income altogether. All the sections of ITR-2 are not applicable to everyone. You have to focus only on the sections which is applicable to you. You should go the following way.Check the whole ITR-2 and write down the applicable sections.Prepare your own smaller checklist.Collect all the information and documentsCalculate the aggregate value of similar investments.Start filing the form.Login to the e-Filing Home Page, Income Tax Department, Government of India.Click at ‘download’ on the menu.Go to the ITR-2 section and download the excel utility.Sheet – CGThis is the most complicated sheet of ITR-2. However, if you understand the motive of this form, you can easily fill it.This sheets asks the information about your investments. Since the profit of investment may be taxable, the income tax department wants to know the profit of your investment.To get the accurate data it also want to know the sale value and purchase value of investment.The income tax department also considers the inflation effect in your investment. It does not want to tax on the price increase just because of the inflation. But the profit should be real after discounting the inflation effect. Therefore, indexing is used to get the purchase cost at today’s price.The sheet CG is divided in two parts. The short term capital gains and long term capital gains.Short Term Capital gainsIf a share, property or a mutual fund is sold before the stipulated time, it is considered as short term capital gains. Every investment class has its own stipulated time for deciding the long and short term capital gains.Investment classShort term limitShares and equity mutual fund1 yearListed bond and NCD1 yearDebt mutual fund3 yearGold ETF1 yearPhysical gold3 yearProperty3 yearYou should classify your investment according to given table. The short term capital gains should be the part of short term section.The sub section 1 is to give details of property transaction. If you have not sold a property within 3 years of purchase, You should skip this item.In the first column (ai) you need to give the actual value of the property salesIn the second column (aii) you are required to give the stamp value of sold property. This value is fixed on the basis of circle rate of the locality. The municipal corporation fixes the circle rate. You will know it while registering the sale deed of the property.In the third column (aiii), you have to fill the greater value of above 2. For tax computation this value would be considered. This column is to check under reporting of the property value.In the section b you are required to give cost incurred by you. It includes the purchase value (bi), property improvement value (bii) and transaction cost (brokerage stamp duty etc.)Since this section is for the short term investments, indexing benefit is not allowed. Therefore, you have to give the values without indexation (as it is).The column d is to claim the deduction for agriculture land. If the sold property is an agriculture land, you can avail this deduction, otherwise skip this column.The subsection 2 is for equity investments. You are required to give these details.The amount received from salePurchase cost.Improvement cost. It is rare. you can skip.The transaction cost. It includes brokerage and STT. don’t fill, if it is already included in the purchase cost.There is a column ‘id’ in this sub section. In this column you should fill the loss incurred on share or mutual fund because of the corporate action. You need to fill this column if you satisfies these condition.You have incurred loss in any security.The record date of bonus, dividend or rights issue was within 3 month of purchase.Sub section 2(ii) is for FIIs. I am skipping it. FII can hire CA .Section 3 and 4 is also for ‘non resident’. I am also skipping this to make this tutorial simple.The section 5 is for other investment which is neither property nor equity/ equity http://MF.In this section you can give the details of short term capital gains arising from sale of bond, debt mutual fund, gold and gold ETF.like equity section, you are required to give the sale value, purchase cost, improvement cost (if any) and transaction cost (if not included in purchase cost ).You have to combine the value of all the investments which are eligible for the respective sections.Section 6 is for the reporting of money put into the capital gains account. The property buyer can save capital gains tax by buying another property or investing money in capital gains account.The section 7 is again for the non residents. I am not touching this section.Long Term Capital GainsThe long term gains part is also similar to the short term capital gains except it also considers the indexing for some investments. refer the above table for the investments qualifying as long term capital gains.The section 1 is for the reporting of capital gains on property. If you have sold a property after three years of purchase, you must fill this section.You are required to give the sale value of the property in sub section ‘a(i)’.You must fill the value of the property ascertained by the stamp valuation authority. You will get this value at the time of property registration.In the column a(iii) you are required to fill the value which is greater of the sale value and the ascertained value.In the sub section you should give the cost incurred by you. But, unlike short term, you can increase the purchase cost of your property corresponding to the inflation. The indexation is used to get the enhanced cost value of the property. The use of indexation reduces your tax outgo. You must give the indexed cost of the property.The improvement cost of property is also given with the indexation.you must give the transaction cost (stamp duty, brokerage etc) as well to reduce the tax.The sub section D has many columns of available deductions on the capital gains of property. The deductions under section 54, 54B, 54EC, 54F, 54GB deals with the use of capital gains.Section 54 – purchase of another house within 2 years or construction of another house within 3 years. You can fill the spent amount.Section 54B- capital gains is used to buy agriculture land within 2 years. The sold land should be also agriculture land.Section 54EC- Investment in infra bonds within 6 months of transaction.Section 54F- Similar to section 54, this section is for sale of non housing property. The purchased property should be first residential property.Section 54GB- Investing is small and medium enterprises.The section 2 consist of the capital gains details of bonds or debenture.The bonds or debenture are not eligible for indexation benefit. Therefore, you need to give the original cost value of the bonds.The capital gains from the sale of the bond are also eligible for some deductions. The section 54EC and section 54F is also applicable for the bonds.Section 3 is for the listed bonds and debt mutual funds (sold before 1 July 2014)The indexation benefit is not available for these investments. The tax is deducted at the flat rate of 10%.However, the deductions are available under section 54EC and 54F.the sub-section 3(ii) is for the GDRs, It does not matter to most of the taxpayer, hence I am skipping this as well.Section 4,5 and 6 are for the non residents. I will not cover these section. Anyway, It does not matter to the resident Indian.Section 7 is an important section. In this section you can give details of the investment which does not fall in section 1, 2 and section 3. These includes the gold, and debt mutual funds.Section 8 is for reporting the amount put on capital gains account. The section is self explanatory. You need to give the utilised and unutilised money from the capital gains account.Section 9 is again for the non residents.Now there are other supplementary part of the capital gains.In the part ‘D’you are required to give details of deduction claimed against the capital gains of property.Part E shows the carry forward of capital loss. It takes value from the sheet CFL. You need not to bother about it.In the Part F you are required to fill the value of aggregate capital gain and loss. You should use schedule BFLA to fill this part. The instructions are given with every column.Source : e-Filing Income Tax Return Form ITR-2, Not a Big Deal

Yes, you have to file ITR. It is compulsory for who has income more than 2.5 lacs.Firstly, if you don't have login on income tax portal. You have to create a login on the portal.If your income is from salary and house property income. Then, you have to file ITR-1.And if you also have business income than you have to file ITR-3.You just have to fill the form as per instructions given, ITR-1 can be file online but. ITR-2 or ITR-3 are offline form. In this case you have to download offline utility and fill the form. And a xml will be generated from utility you have to upload it.