Itr4 or itr 3

550 views 7 replies
if tds deducted on 194d. can I file ITR4
Replies (7)
(May be Yes...)

But, I can't confirm without known the actual works/business...

you will go with ITR-3 

Originally posted by : CA Anoop Kumar Sharma
opening quote you will go with ITR-3  closing quote

Please can you give reason for above suggestion...

Why ITR 3 & Reason...??

Why not ITR 4 & reason...??

Originally posted by : RAJA P M
opening quote


Originally posted by : CA Anoop Kumar Sharma



you will go with ITR-3 





Please can you give reason for above suggestion...

Why ITR 3 & Reason...??

Why not ITR 4 & reason...??
closing quote

Before we understand the difference between ITR-3 and ITR-4, we need to be clear about ITR-4 is for resident individuals & HUF & partnership firms that have chosen the presumptive taxation scheme under Sections 44AD, 44ADA, or 44AE, with an income of up to Rs. 50 lakhs. 

Presumptive taxation for businesses is covered under Section 44AD. Businesses with a turnover of less than Rs. 2/3 crore can choose this scheme and must declare profits of 8% for non-digital transactions or 6% for digital transactions. The following businesses cannot use presumptive:

  • Life insurance agents
  • Commission agents
  • Businesses involved in plying, hiring, or leasing goods carriages  

so we need file ITR-3. 

Selection of itr based on source of income and others
Originally posted by : CA Anoop Kumar Sharma
opening quote


Originally posted by : RAJA P M






Originally posted by : CA Anoop Kumar Sharma



you will go with ITR-3 





Please can you give reason for above suggestion...

Why ITR 3 & Reason...??

Why not ITR 4 & reason...??





Before we understand the difference between ITR-3 and ITR-4, we need to be clear about ITR-4 is for resident individuals & HUF & partnership firms that have chosen the presumptive taxation scheme under Sections 44AD, 44ADA, or 44AE, with an income of up to Rs. 50 lakhs. 

Presumptive taxation for businesses is covered under Section 44AD. Businesses with a turnover of less than Rs. 2/3 crore can choose this scheme and must declare profits of 8% for non-digital transactions or 6% for digital transactions. The following businesses cannot use presumptive:


Life insurance agents
Commission agents
Businesses involved in plying, hiring, or leasing goods carriages  


so we need file ITR-3. 
closing quote

 

Well...

Now, the query resolved and querist also got why insurance income through ITR 3.

ITR-4 is the simpler form and works if your only income sources are presumptive business or professional income (44AD or 44ADA), salary, and interest or small dividend income. If you also have capital gains from stocks, mutual funds, or property, or have a foreign asset to declare, or the business turnover exceeded the 44AD or 44ADA limits, you move to ITR-3. The CBDT released ITR-1 and ITR-4 Excel utilities on May 15, 2026, so presumptive filers can start now. ITR-3 utility is expected shortly after. Our [ITR-4 filing guide for AY 2026-27](https://taxgarden.in/blog/itr-4-sugam-filing-guide-ay-2026-27) has the eligibility checklist so you can confirm which form applies to you before starting.

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
24 June 2026
Senior Account (VA Client Operations)

Karbon Business

Bengaluru

CA Inter

View Details
Company
ARTICLESHIP 24 June 2026
ARTICLE ASSISTANT

BHUPINDER SHAH AND COMPANY

New Delhi

CA Inter

View Details
Company
Featured 15 June 2026
Senior Auditor

N. Dhawan & Co

New Delhi

CA Inter

View Details
Company
ARTICLESHIP 30 June 2026
Taxation Content Writer Intern

Interactive Media Pvt Ltd.

New Delhi

CA Inter

View Details
Company
20 June 2026
Assistant Accounts Manager

Fintax Professionals

Gurgaon

CA Inter

View Details
Company
19 June 2026
Accounts Executive

Getfive Advisors Pvt. Ltd.

Ahmedabad

CA Inter

View Details
Company
24 June 2026
Chartered Accountant - GST & Direct Tax

APL

Mumbai

CA

View Details
Company
24 June 2026
Chartered Accountant

CA Darshita Shah & Co

Nadiad

CA

View Details