15 July 2015
In the previous year i received replay but i have filed ITR2 last year, because I was told that ITR1 can not be filed if exempt income under section 10 is more than Rs. 5000. Since Conveyance allowance (Rs. 800 * 12 = Rs. 9600 and hra 15000 ) comes under section 10 and is obviously more than Rs. 5000, I was convinced to file ITR2.�
Hence which form to fill up this year - ITR1 or ITR2?
15 July 2015
From the past two years, the Tax Payers were using ITR 2 if the exempt income was more than Rs. 5000. This created a lot of debate and dilemma among Tax payers, whether to file ITR 2, even they receive exempt HRA allowance, which is normally more than Rs.5000.
This year, it brought a great sigh of relief. From now onwards, any Tax Payer enjoying any amount of exempt income such as PPF Interest , House Rent Allowance etc. can file ITR-1.
However, Payers who are enjoying the Agricultural income above Rs.5000 are still required to file ITR 2.
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