ITR 2 Filing for FY 2025-26

ITR 2 is applicable when the taxable income crosses ₹50 lakh, income is derived from more than two house properties, capital gains income arise except for LTCG u/s 112A within ₹1.25 lakh, short term capital gains, crypto income, and other special tax income. When the assessee is required to disclose foreign income details, or foreign asset details, etc, ITR 2 is applicable.

Yes, you can file the updated return, choosing ITR 2. Know more about long-term capital gains

Under the Income Tax utility, home loan deduction section is available under the head income from house property. Know more about short-term capital gains

It is important to capture the sale proceeds which is accurate. It can be referred from the sources like your capital gain statement and AIS. Filling up the quarterly break-up of the capital gain details in the appropriate field is necessary, to successfully complete the ITR filing process.

Agricultural income is shown under the field 'exempt income' in the ITR.

Dividend income should be reported under the head 'Income from other sources'.

Since speculative income is classified as business income, it cannot be reported under form ITR 2. Therefore, the assessee should choose ITR 3, and report speculative income as business income.

Schedule FA needs to be filled by residents-ordinary-residents who own foreign assets at any time during the year. It needs to be filled considering the calendar year, not the financial year. For example, for FY 2025-26, Schedule FA disclosure is required for the period Jan 2025 to Dec 2025. Learn more

You can set off short term capital losses against short term and long term capital gains, not against any other head of income. However, long term capital gains can be set off against only long term capital gains.

No, indexation benefits are not available for short term capital assets. Learn more

Yes. Since the property is situated in India, the income is considered to be arising in India. Therefore, NRIs are liable for taxation when they sell Indian properties. Learn more

You can carry forward your capital losses for up to 8 subsequent assessment years. Use LTCG Calculator

ESOPs are usually provided at a discounted price to the employees, whereas RSUs are restricted stock units, usually provided free of cost. Both are provided on satisfaction of vesting conditions.

Cryptocurrency is taxed at 30%, with only cost of acquisition available as a deduction.

Yes, if the value of crypto is more than ₹50,000 during the financial year, it is taxable under the head 'other sources'.

ITR 1 generally applies to residents with very simple income structure like salary and interest income. Whereas ITR 2 is comparatively complicated, which includes taxable capital gain income, carry forward of losses, income from more than two house properties, foreign income and asset disclosure, etc.

The most important changes in ITR 2 for AY 2026-27 includes removal of 15% and 10% capital gain tax rates, additional field for revised return late fees, etc.

Most important documents are capital gain statements, AIS, salary slips, Form 16, tax deduction proof, etc.

Foreign income needs to be reported under Schedule FSI of ITR 2. It is recommended to check for DTAA provisions, if the income qualifies for any tax relief in India.