ITR -2 Good News: Now Asset Liability schedule required for Income of more than 1 Cr:

ITR -2 Good News: Now Asset Liability schedule required for Income of more than 1 Cr The Central Board of Direct Taxes has notified the Income Tax Return (ITR) Form 2. With this, ITR-1, 2, 3, 4 and 5 are notified. However, ITR-6 and 7 are still pending. The due date to file income tax return , for non-audit cases is 31st July 2025. While ITR Forms have been notified, ITR filing utilities are still pending to be released.

What are Key changes introduced in the ITR Form 2

The changes are as follows:

• Schedule-Capital Gain split for gains before/after 23.07.2024 (post changes in Finance Act, 2024)
• TDS section code to be reported in Schedule-TDS
• Asset and Liability Schedule for Income more than 1 Cr.
• Reporting of Capital Gains from Unlisted Bonds and Debentures As STCG or LTCG Based on the Transfer Date
• Reporting of Buy-back Proceeds As Deemed Dividend Starting 1st October 2024
• Reporting of Disability Certificates for Deductions Under Sections 80DD and 80U
• Enhanced reporting for deductions [80C,10(13A)], etc.
• Capital loss on share buyback allowed if corresponding dividend income is shown as income from other sources (post 01.10.2024)

Major Change related to Asset and Liability Schedule

Mr A has Salary Plus Interest Income of Rs. 63 Lakhs. Is he required to file the Asset and Liability Schedule with ITR? No, one of the major changes in the ITR-2 Form this year is, that the Asset and Liability Schedule is now required if your Income is more than 1 Crore. Upto Assessment Year 2024-25 this limit was Rs. 50 Lakhs.

Does this means, Mr. A can file ITR-1?

Even with only salary and Interest Income and no Asset and Liability Schedule, Mr. A has to file ITR - 2.

What precautions should I take to avoid issues while filing my ITR?

To avoid issues in filing your return and getting your refund, you must ensure you have done the following:

• Linked Aadhaar and PAN.
• Pre-validated your bank account where you want to receive your refund.
• Choose the correct ITR before filing it; else filed return will be treated as defective and you will need to file a revised ITR using the correct form.
• File the return within the specified timelines.
• Verify your return - you can opt for e-Verification (recommended option – e-Verify Now) is the easiest way to verify your ITR.