In this article, I have tried to explain the eligibility, manner of filing and about obligation to file ITR-2 for AY 2020-21/FY 2019-20 which is generally applicable to Individuals and HUFs not having income from profits and gains of business or profession.

ITR-2 with other ITRs alongwith manner of furnishing Return of Income for Assessment Year (AY) 2020-21 / Financial year (FY) 2019-20 is been notified by CBDT vide Notification No. 31/2020 dated 29.05.2020.

1. Who is eligible to use Form ITR-2 for A.Y. 2020-21?

This form is for Individuals and Hindu Undivided Family (HUF) not having income from profits and gains of business or profession.

2. Who is not eligible to use Form ITR-2 for A.Y. 2020-21?

This ITR Form should not be used by an Individual or HUF whose Total Income for A.Y. 2020-21 includes income under the head “Profits and Gains of Business or Profession”

3. Annexure-less ITR Form

No document (including TDS certificate) should be attached to this ITR Form.

4. Manner of filing Form ITR-2 for A.Y. 2020-21

This ITR Form can be filed with the Income-tax Department electronically on the e-filing web portal of Income-tax Department (www.incometaxindiaefiling.gov.in) and verified in any one of the following manner –

(i) digitally signing the verification part, or

(ii) authenticating by way of electronic verification code (EVC), or

(iii) by sending duly signed paper Form ITR-V (Acknowledgment) by post to CPC at the following address –

Post Bag No. 1, Electronic City Office, Bengaluru- 560500, Karnataka”.

The Form ITR-V should reach within 120 days from the date of e-filing the return of income.

5. Obligation to file return of income for A.Y. 2020-21

Every Individual or HUF whose total income before allowing deductions under Chapter VI-A of the Income-tax Act, exceeds the maximum amount which is not chargeable to tax is obligated to furnish his return of income. The claim of deduction(s) under Chapter VI-A is to be mentioned in Part C of this ITR Form. In case of any doubt, please refer to relevant provisions of the Income-tax Act. The maximum amount which is not chargeable to income tax for Assessment Year 2020- 21, in case of different categories of individuals and HUF, is as under:-

Sl. No. Category Amount (in ₹)
(i) In case of an individual who is below the age of 60 years or a Hindu Undivided Family (HUF) 2,50,000
(ii) In case of an individual, being resident in India, who is of the age of 60 years or more at any time during the previous year 2019-20 but below the age of 80 years 3,00,000
(iii) in case of an individual, being resident in India, who is of the age of 80 years or more at any time during the previous year 2019-20 5,00,000

Also Read:-

S. No. Particulars
1 A.Y. 2020-21 ITR Forms: Eligibility Criteria & Changes
2 All about filing of ITR-1 (Sahaj) for AY 2020-21
3 All about filing of ITR-2 for AY 2020-21
4 All about filing of ITR-3 for A.Y. 2020-21
5 All about filing of ITR-4 (Sugam) for A.Y. 2020-21
6 All about filing of ITR-5 for A.Y. 2020-21
7 All about filing of ITR-6 for A.Y. 2020-21
8 All about filing of ITR-7 for A.Y. 2020-21

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55 Comments

  1. vilas says:

    My wife has income from other sources (interest from FDs and Dividends from MF) only. And that too is less than 2,50,000. But bank has deducted TDS on Interest. In order to claim refund can she file ITR1 SAHAJ

  2. Prasad Borkar says:

    Hi,
    I have one question regarding ITR2:
    I am a non resident Indian and have Income from Salary outside India. I understand Income from Salary outside India is not taxable.

    As per Java utility tool, it is mandatory to fill Income from Salary and if I fill those details then heavy taxes to be paid is getting calculated. How to handle this in ITR2 ?

    Appreciate if you answer my query, Thanks

  3. Prasad says:

    Hi,
    I have one question regarding ITR2:
    I am a non resident Indian and have Income from Salary outside India. I understand Income from Salary outside India is not taxable.

    As per Java utility tool, it is mandatory to fill Income from Salary and if I fill those details then heavy taxes to be paid is getting calculated. How to handle this in ITR2 ?

    Appreciate if you answer my query, Thanks

  4. Tapan Panda says:

    While filling Salary portion in ITR2 , I donot have any perks etc except salary income but while validating the sheet it says those rows to be filled compulsorilly, How to go ahead

  5. K.Raghavan says:

    while online filing ITR 2 form on saving the filled pages i find that they are saved in XML format.How to retrieve the form for further filling and submitting.

  6. Rabindra Debnath says:

    where to apply grandfathering clause in ITR 2 for Ass y 20-21 ? in long term capital gain ITR 2 ass y 19-20 mention the clause but in the ass y 20-21 they not.

  7. Alok S says:

    Sir, while filling the ITR2_2020_PR3 file, i notice that the NPS contribution under 80CCD (2) is not considered or tax relief. The cell is protected and shows “0” despite showing in green cell the amount. Seems a bug. Any idea or solution?

  8. anil kumar behl says:

    i have interest income on Fixed Deposits, dividend on mutual fund both debt and equity fund, profit on sale of shares, one house property jointly owned with my wife, my total income is less than INR 50 lacs. Kindly advise which ITR form i have to use. Also advise where to show capital gains on redemption of mutual funds. Thanks

  9. Monty says:

    In the new form that I downloaded today it shows correct calculations of LTCG, unlike the old form where the exclusion of 1 lakh was not reflected. Hope this helps.

  10. Seema shah says:

    I do not have details of adhar card to whom I have sold immovable property, without that I am not able to file my return , I have buyers name and PAN details but they protected cell so not able to accept any entry, what should I Do?

  11. Sharad R Tankasali says:

    Sir, while filling the ITR2_2020_PR2.2 file, i notice that the NPS contribution under 80CCD (2) is not considered or tax relief. The cell is protected and shows “0” despite showing in green cell the amount. Seems a bug. Any idea or solution?

  12. Rahul says:

    Hello

    For Schedule 112A entry, If I have ~1000 transactions (MF STP/redemptions etc.), how do I go about entering all? Is there a way to consolidate say based on ISIN number? Weighted avg price did not work and gave higher gain! Any suggestion?

    Thanks,
    Rahul

  13. Emilio says:

    While filling up ITR2 schedule 112A, I see 2 issues:
    1. It does not consider rows where there is loss. It takes the loss as 0 and totals all the profit numbers.
    2. It carries the final figure in the CG sheet without deducting the 1 lakh tax free limit for LTCG on equity and shows it added to the total income.
    Are these errors in the utility?

    1. PRASAD says:

      I am also facing same issue. Schedule 112 A is not calculating Long term capital Loss. Making everything as Capital Gain.

      For shares purchased after 1st feb also calculation is not working.

      1. p c venkataraman says:

        In Sch 112A NO WAY WE CAN DISCLOSE IF MF UNITS SOLD WERE BOUGHT PRIOR TO 31-01-2018 OR THEREAFTER .ALL TO FILL UP FMV AS ON 31-01-2018 COLUMN.IF SALE PRICE IS MORE THAN THIS GODFATHERING BENEFIT GIVEN EVEN FOR UNITS BOUGHT AFTER 31-01-2018 .RESULTING(COL14) LTCG IS LESS THAN WHAT MF STATEMENT SHOWS. ANY SOLUTION ?

  14. Subhash Chander Kalra says:

    Sir, I am Veteran and recipient of Gallantry Award. My pension is not taxable under Sec10(18) and I have rental income from parental house. I have the ownership of other house where I live. Cold you kindly intimate ITR Form to be used for AY 2020-2021. Thanks & regards

  15. Mohandass says:

    I was filling up ITR-2 schedule OS item 2(c) for declaring the accumulated balance of recognised pf.This shows AY-19-20 why for the transaction as explained below.My family member who resigned his job on 12/03/2019 after completing more than 10 years service,and went abroad,so he has withdrawn his accumulated PF from company .trust and was paid the sum after deduction of TDS amount on balance as of 25/08/2019.My question is while filling up OS sheet for item 2(c) it should AY 19-20,where as this TDS was made in FY 19-20.please guide if this is correct.

  16. K SRIDHAR says:

    1. For AY 2020-21, in ITR2, I wish to enter consolidated figures of sale consideration, purchase cost and LTCG and do not want to fill up schedule 112 A. How to do that?
    2. For AY 2020-21, in ITR2, schedule 112 A does not accept mutual fund folio number. How do I fill up ISIN number for mutual fund units?

    1. gourang sahoo says:

      In efilingincometaxindia website after selecting ITR2 then option comes for file upload, not for filling information and data online

  17. A K Pradhan says:

    In ITR 2 , Capital Gain form where to file LTCG & STCG of DEBT MF where INDEXATION is to be considered. For Equity MF it is clear but not for DEBT MF

  18. Vivekananda Murthy says:

    This is regarding a new question on deposit of 1 Crore or more in your current accounts during previous year in the ITR.

    Can you explain the correct interpretation. If the question – what all transactions are to be I cluded in arriving at this 1 Crore limit.

    Thank you in advance

    .

  19. AK Gupta says:

    I understand long-term gain upto Rs 100000 is tax free for equity fund. Where this is to be claimed in ITR 2 for AY 2020-21. I filled form 112 and gain is 32000 but it is adding full amount for taxation without giving benefit. Please advise.

    1. Neha Chhawchharia says:

      The LTCG U/S 112A should be properly filled in ITR 2 in sheet 112A.The amount will be added in capital gain .However no tax will be calculated on it.You can refer schedule SI where tax taken on LTCG U/S 112A if it is below Rs 100000/- is zero.

  20. AK Gupta says:

    I understand capital gain up to 100000 is exempt in case of equity fund. Where to claim this rebate in ITR 2 for AY 2020-21. I could not find any row for claim including in Sec 112 form.

  21. Avtar Shinh says:

    Dear CA Harsh Bubna,
    I am a SENIOR CITIZEN NRI living in Canada,I get my pension and interest on fixed deposits in India.Which form I have to use to file my ITR and what are the deductions I am allowed U/S 80C,80TTA ,80TTB ,Standard deduction,LTA and how much.Is it the same as for Resident Indians.
    I shall be thankful for an early reply,at my E Mail address or message on my phone.
    Avtar Singh Shinh
    E Mail: avtar_shinh @ yahoo.com
    Phone:+9162840 95252

    1. cabubna@gmail.com says:

      Kindly file your Return of Income in ITR-2. Since you do not Salary Income therefore, you cannot claim LTA, etc which is available to a salaried person.
      However, you can claim deductions under Sec. 80C, 80D, etc.

    1. cabubna@gmail.com says:

      If the property has been registered or purchase agreement contains both the names, both of you will be the co-owners of the property. Accordingly both of you will have to shown the property as your asset and the income from such property, if any, will have be disclosed in the IT Returns for both of you. If the ratio of ownership has not been defined in the purchase agreement, you can divide the income equally.

  22. Puthucode Sundaram says:

    I have income from Interest, LT/ST Capital gains from Sale of Mutual Funds. I have two flats both self occupied. Which form should i use.

    1. cabubna@gmail.com says:

      Presuming that the Interest Income is not in the nature of Business Income, kindly file Return of Income in ITR-2.

  23. Anshu Narula says:

    Dear sir , Help on Two Points on ITR-2 For AY 2020-21 1) Where to fill in “CG” Form LTCG on Gold ETF after Indexation (Sold after 7 Years ) 2) In LTCG on Equity , I sold 25 Securities and Total LTCG is Rs 18000 ( After Grandfathering as on 31st JAN 2018 – Do I have to enter detail of all 25 Securities ? , Any Option of mentioning Aggregate Amount ?

  24. Mahendra Gamare says:

    Dear Sir
    Online filing utility for ITR-2 is available now. One of the representative CA in India is working on my case but not heard anything from him yet.
    Kindly update

    1. cabubna@gmail.com says:

      The online filing software/utility provided by the Income Tax Dept. on the e-filing website is not yet available for ITR-2 pertaining to A.Y. 2020-21.

    2. cabubna@gmail.com says:

      The online filing software/utility provided by the Income Tax Dept. on the e-filing website is currently available for ITR-1, ITR-2 and ITR-4 pertaining to A.Y. 2020-21. It is not yet available for ITR-3 pertaining to A.Y. 2020-21.

  25. Shivang says:

    Dear Sir,
    I am a salaried person but I also have capital gains from listed stocks and equity mutual funds. Also, I have income from capital gains on debt mutual funds.
    Q.1 For Equity MFs and stocks , Do I need to show capital gain details per share and per MF scheme in Sch. 112? If yes, do I need to show each and every transaction for all the scrips? If no, where can I show these details in schedule CG?
    Q.2 For debt MFs, where do I show STCG and LTCG? As STCG in debt funds is taxed at applicable tax rate do i need to show in “Income from other sources”? Where do I show LTCG in debt funds? There is no such option in sch. CG.

    1. Antony K R says:

      In the LTCG statement112A, should I furnish details of each and every share in mutual fund redemption ?
      2. What should be filled in column of fair market value in the case of equity shares acquired after31.01.2018 ?

  26. venkat says:

    I filled sheet tool-112A regarding LTCG. But I do not know how to fill the column ISIN because when I tried to search I get number of ISIN for the same share. when validating this sheet the absence of ISIN is notified as error.

  27. RK NAIR says:

    I am a NRI student.

    I have no employer, no income except a small amount by way of interest from bank deposit.
    I have to get a refund on tax deducted only.
    How to fill the ITR 2 which is asking for details of employer etc.
    Pl help by providing guidance

  28. venkat says:

    I havd LTCG on shares for AY 20-21 like this
    icicidirect ==55
    iifl========5145
    total 5170

    should I enter share by share or consolidated amount and how to enter and which sheet?
    How can I

    1. cabubna@gmail.com says:

      Your question seems to be incomplete. However, we suggest you take the help of a CA or some other professional at the time of filing your IT Return.

  29. Kiran says:

    Sir,
    I’ve income from Dividend, Interest and share trading activity includes STCG, LTCG and Intraday also. Which form should I use? I heard Intraday is considered as business, but I’ve other income from interest also, please help

    1. cabubna@gmail.com says:

      Till now the Income Tax Dept. has only come up with IT Return filing Utilities for ITR-1 and ITR-4. Request you to kindly wait for a few more days for other ITR Utilities.

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