CBDT Releases New ITR-2 Excel Utility for Tax Return Filing

The Income Tax Return (ITR) filing season has begun! Starting April 1, 2025, taxpayers can file their returns for the assessment year 2025-26 (financial year 2024-25). As in previous years, there were two options available for filing income tax returns: online and offline.

New Excel-Based Utility for ITR-2

An upgraded version of the Excel-based utility for filing ITR-2 has been released by the Income Tax Department. It is made for individuals and Hindu Undivided Families (HUFs) who do not earn income from business or profession.

On 25 March 2025, this new utility (version 1.11) was launched. It furnishes the utility to submit the revised returns u/s 139(8A), permitting the taxpayer to amend their returns if needed. The same tool will make the filing of the return facilitated for the salaried employees, pensioners, and other non-business taxpayers.

What is ITR-2, and Who is Mandated to File It?

For the individuals whose annual income surpasses Rs 50 lakh, and who earn from sources like capital gains, rental income (from more than one house), foreign income, etc, the ITR-2 will be applicable.

Beyond this, you must need to submit the ITR-2 if you are a director of a company or hold the unlisted equity shares.

Difference Between ITR-1 (Sahaj) vs ITR-2

It is crucial to opt for the correct ITR form if you are a salaried person and do not secure any income from business or profession. There are two major options available for you: ITR-1 (Sahaj) and ITR-2.

If your income is less than Rs 50 lakh and you are earning from salary, rent from one house property, interest, dividend, or pension, then you can file ITR-1 (Sahaj).

You need to file ITR-2 if your income exceeds Rs 50 lakh, you secure capital gains, you own more than, you are a director of a company, hold unlisted shares, or you have any foreign assets.

• Updates to ITR-2 Excel-based New Utility

  
  

• For whom: Individuals and HUFs whose income source is not from business or profession.

  
  

• Version: Excel-based utility (version 1.11).

  
  

• Latest update: Revised return filing facility under section 139(8A).

  
  

• New utility release date: 25 March 2025.

  
  

• Utility first released: 1 April 2024.

  
  

• First JSON schema release date: 29 March 2024.

  
  

• Latest JSON schema release date: 16 January 2025.

  
  

• Fill your ITR with the right form, avoid the wrong form

If you plan to file your income tax return, make sure to use the new utility provided and select the correct ITR form. Choosing the wrong form could result in your return being classified as 'defective,' which may lead to a notice from the Income Tax Department. Therefore, it’s important to choose the right ITR form in order to file your tax return smoothly and without any issues!