Save Rs 499. Go Ad-Free with CAclubindia Pro for 2 Full Years. Subscribe Now!

INCOME TAX RETURN

222 views 2 replies

neha

Account Assistant

104 Points Posted on 22 June 2026

If an individual retires from the Central Government (a ministry) and receives a pension from PNB, and subsequently purchases shares for the first time and sells them at a profit within 2–3 days, which income tax return form must they file?

If they file ITR-2, should they list PNB as the employer—rather than the ministry—when filling in the salary details?

please guide where show the short term capital gain?

Replies (2)

Quick Summary

A retired Central Government employee receiving pension through PNB and earning short-term gains from share sales should generally file ITR-2. Pension should be reported under Central Government, while short-term capital gains from listed shares should be disclosed in Schedule CG.

Aashok Kumar Sharma

Finance/Compliance Consultant

62101 Points Posted on 22 June 2026

File ITR-2. Select Central Government (not PNB) as your employer type for the pension income. Report your 2-to-3-day share profits in Schedule CG under Section 111A as Short-Term Capital Gains.

Thinking Bridge

Practical Finance Training

122 Points Posted on 22 June 2026

The right ITR form depends on your kind and sources of income earned in that financial year.

ITR-1 (Sahaj) : Salary/Pension, one house property and other income (excluding lottery, race horses, etc.) with total income within the prescribed limits.
ITR-2:Individuals/HUFs not having business or professional income but having capital gains,multiple house properties,foreign assets,etc.
ITR-3 : Individuals/HUFs having income from business or profession.
ITR-4 (Sugam) : Taxpayers opting for presumptive taxation under Sections 44AD, 44ADA, or 44AE and satisfying the eligibility conditions.

To suggest the right return and tax treatment, please share :

1.Nature of Income (salary, business, profession, capital gains, etc.).

2.Whether any capital gains,foreign assets or crypto transactions are involved.

3. Approximate total income for the year.