ITR 1 or ITR 2 which return should be filed for salaried tax payer

income tax form


Income tax Returns for Assessment year 2013-2014 has started. New Income tax forms has been released by income tax department.
There is major change for use of ITR 1.

ITR–1 Form is to be used by an Individual having income from following sources:

  • Income from Salary/ Pension
  • Income from One House Property (not being brought forward losses from previous years)
  • Income from Other Sources (not being income from lottery or race horses)


(Please note that ITR 1 is only for indivduals , HUF’s can not use the ITR1)

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Moreover, in case any income of spouse, minor child, etc. gets clubbed with the income of the assessee, then ITR–1 can be used only if the clubbed income falls into the above income source.

Who cannot use the ITR–1 Form

ITR–1 Form should not be used by an Individual if his total income consists of:

  • Income from more than one house property
  • Income from Winnings from lottery or income from Race horses
  • Income ( not exempt from tax) under Capital Gains
  • Income exceeding Rs. 5,000 from agricultural business
  • Income exceeding Rs. 5,000 from Exempt Income ( In other words, if assessee claims exemption in respect of any income under sections 10, 10A, 10AA, etc.)
  • Income from Business or Profession
  • Losses which has to be carried forward
  • Person claiming relief of foreign tax paid under section 90, 90A or 91
  • An individual who is a resident having assets (including financial interest in any entity) located outside India or signing authority in any account located outside India. In these cases, Income tax Assessee has to use either ITR 2 or ITR4.

Who can use ITR 2  for filing income tax return for Previous Year 2012-2013 ( AY 2013-2014) ?

ITR 2 is used by an individual or a Hindu Undivided Family whose total income comprises following income:

  • Income from Salary / Pension
  • Income from House Property
  • Income from Capital Gains
  • Income from Other Sources
  • Income from Winning of Lottery
  • Income from Race Horses

Moreover, if the income of spouse, minor child, etc. is to be clubbed with the income of the assessee, then ITR 2 can be used if such income falls in any of the above categories.

Who cannot use ITR 2 for Previous Year 2012-2013 ( AY 2013-2014) ?

ITR 2 is not to used by

  • An Individual/ HUFs if his total income includes any income taxable under the head “Profit or Gain from Business or Profession. In other words, business or professional income does not form the part of ITR-2.
  • A Partnership Firm having exempt income by way of shares (& not earning any income by way of interest, salary, etc.).

Please note important points for the current year:

Still confused, Need help in filing income tax return. TaxDost is here for you, just upload your form 16 and make payment we will file income tax return for you.

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43 Responses to ITR 1 or ITR 2 which return should be filed for salaried tax payer

  1. abc says:

    if there is exemption under section 10 (13A) which is hra exemption, then will it be ITR-2 or ITR-1

  2. vicky says:

    If someone have earned the interest from savings account more than 15000 out of which 10000 will be exempt income this year. Which form should he fill ? ITR1 or ITR2 ?
    Also he has some FD interest too.


  3. monty says:

    If a person has income from salary and FD interest, which form does he need to fill ITR-1 or ITR-2? Also, the person has 2 form 16s.

    In case of FD interest, does the interest income come under “Income from other sources”?

    • Tax Dost says:

      Monty, Interest need to be shown under income from other sources.

      If you have two form 16, then ITR 2 need to be filled. However in case you have two form 16A, then you need to file ITR 4.

  4. yogesh says:

    if i have only income from agricultural business which is more than 5000 then which ITR should be used. and also how this income should be shown?

  5. Sachin says:

    Do I need to fill ITR2 form if in case of my interest amount from my PPF account is more than 5000 or ITR1 will be OK?

    • Tax Dost says:

      You will have to use ITR 2, if interest income exceeds Rs 5000/-. Any software /excel based return filling sheets will not allow you to use ITR 1.

  6. yogesh says:

    thanks for reply,
    once again thank you.

  7. Rohit says:

    Dear Sir,

    I have worked in same company (One Joint Venture and one Main) but the TDS deducted is having two TAN of employer. So, plz tell if ITR1 is to be filled or ITR-2. and how to show TDS by two deductees in ITR.

  8. Manu says:

    My interest in PPF a/c credited on 31st march 2013 exceeds Rs.5000/-. I have not done any withdrawals from PPF so far. Pls. let me know if I need to use ITR 1 or 2 ?

  9. Naveen Kumar says:

    I have filed ITR-1. However my exempt income is more than 5000. Will that attract penalty. I have claimed refund

  10. sumana says:

    Me and my husband have a joint home loan. Only he pays the EMI. But the interest paid is more than 3 lakhs. I read that both of us can claim for 1.5L of interest. I have not submitted any proof in my company and this home loan thing is not there in my form-16. Can I still claim for the benefit? Can I just put -1.5L under income from one home property in ITR1? or should I use ITR2?

  11. prathibha says:

    For interest from Fixed Deposit more than Rs. 10000, should I use ITR1 or ITR2

  12. Lalit says:

    Can anyone Please sort out my query….. actually ive got 2 forms 16A from my employers….. when im trying to enter the second certificate no in itr 1 its showing invalid….. its accepting only a single form 16 A from a single employer…. and the employer has treat me u/s 194J

  13. Aditya says:

    I have my exempt income mentioned in form 16(which includes HRA and conveyance) given by my employer. I do not have any additional exempt income(like agricultural income or from capital gains).
    Should I file ITR1 or ITR2?

  14. MOhnish says:

    Hi, for Conveyance allowance of Rs 9600 (same for years) which is exempted .
    Which ITR form to be filled – ITR1 or ITR 2?

  15. l j purohit says:

    i am salaried person with home loan and two house property which itr for me ?

  16. Naresh says:

    I am workin in a private company and brought a home under bank loan. Can any one please suggest suitable IT return form for my case.

  17. Amit says:

    Sir, I have a Insurance policy and Form 16, I want to fill income tax. where i have to enter Policy details in ITR1 for tax exemption.

  18. prince says:

    I am working in pvt company and have one house on joint name with my wife. I am applying for HRA as I am not getting any income from my house (is occupied by my wife as we are working in different state). I have got FD interest which is less than 10k. so please suggest which ITR to fill.

  19. Asutosh says:

    I have two form 16’s. I had withdrawn my pf where I had more than 5 years of service and is exempted under section 10(11). But tds was deducted on the pf withdrawn amount. I want to show the same as exempt income and claim refund. Which form to use itr1, 2a or 2,?

  20. Anupam says:

    I am a salaried person.
    For the financial year 2015-2016, I have Interest from House Loan to be shown.
    So where do I enter that in ITR1?

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