Save BIG on 2-Yr Ad-Free CAclubindia Pro Membership. Subscribe Now!

Which ITR for SGB Maturity

513 views

Save Share

Join Us Follow Us Add as Source

Kumar

Others

105 Points Posted on 13 July 2024

Sirs,

We've income from the following sources:

Interest (Banks, IT Refund, SGB interest)
LIC Pension (Not related to employment)
House Rent
Dividends from stocks & equity mutual fund
SGB Maturity

Usually we file ITR-2, since there typically is capital gain (Stocks & MF). But this year there were no Stock/MF transactions. So only heads of income are as detailed above.

Is it ok to file ITR-1?

I ask since SGB Maturity is a capital gain, but exempt, hence I'm wondering if I can show it under Exempt Income -> Any other and get away with just filing ITR-1

Thanks

Replies (4)

Quick Summary

This discussion explores whether taxpayers can use the ITR-1 form when they have income from sources like bank interest, LIC pension, house rent, dividends, and importantly, Sovereign Gold Bond (SGB) maturity. While SGB maturity is technically a capital gain, it is often exempt from tax. The consensus is that if SGB maturity is the only capital gain and it's exempt, filing ITR-1 is permissible, as the selection of the ITR form is not solely dependent on having capital gains but rather the nature of the income.