What is ITR-1?
ITR-1, also known as Sahaj, is a simplified income tax return form used by individuals in India with income from salary, pension, one house property, and other sources like interest or dividends, provided their total income does not exceed ₹50 lakh. This form is not applicable for those having income from business, capital gains, or foreign assets.
Who Should File ITR-1?
Individuals can file ITR-1 if they meet the following conditions:
Income up to ₹50 lakh from salary or pension.
Income from a single house property (excluding cases with brought-forward losses).
Income from other sources like interest, dividends, or family pension (excluding winnings from lotteries or horse racing).
Agricultural income up to ₹5,000.
Resident individuals only (Not applicable to Non-Residents or RNORs).
Benefits of Filing Correctly:
✅ Avoid Penalties: Timely and accurate filing prevents late fees under Section 234F.
✅ Claim Deductions: Avail deductions under sections like 80C (investments), 80D (medical insurance), and 80TTA (interest on savings accounts).
✅ Faster Loan Approvals: Banks and NBFCs require ITR for loan processing.
✅ Easy Visa Processing: Embassies consider ITR while granting visas.
✅ Prevent Notices: Errors can lead to tax department scrutiny.
