Income Tax News: E-Filing Made Easy ! Is ITR-1 (Sahaj) Right for You? Check

As the Income Tax Return (ITR) season rolls in, taxpayers are being encouraged to file early — and accurately. With the aim of simplifying the process, the Income Tax Department reiterates the importance of choosing the right form for the right filing. For many salaried individuals, ITR-1 (Sahaj) continues to be the go-to option, provided they meet specific eligibility criteria.

"E- Filing MadeEasy"

who should file ITR-1 (SAHAJ)

Not sure if ITR-1 is for you?
This chapter simplifies eligibility and exclusions -

Stay informed. File right.
“Right Form. Right Filing.” pic.twitter.com/pLQzKBpMLr

— Income Tax India (@IncomeTaxIndia) June 11, 2025

Who is Eligible to File ITR-1 (Sahaj)?

ITR-1 is designed for resident individuals whose total income does not exceed ₹50 lakh in a financial year. The permitted sources of income under ITR-1 include:

Salary or Pension

Income from one house property (excluding cases where loss is being carried forward)

Income from other sources such as:

Interest from savings accounts

Fixed deposits

Family pension, etc.

Agricultural income up to ₹5,000

This form is meant to ease the compliance burden for individuals with simple income sources.

Who Cannot File ITR-1?

Despite the form's simplicity, several categories of taxpayers are excluded from using ITR-1. These include:

Individuals who are Directors in a company

Individuals who have invested in unlisted equity shares during the previous year

Those earning income from business or profession

Residents who have foreign income or hold foreign assets

Individuals with capital gains exceeding the permitted threshold (e.g., long-term capital gains under Section 112A exceeding ₹1.25 lakh or those with carry-forward/backward capital losses)

Stay Informed. File Right.

To ensure smooth processing and avoid notices, taxpayers are advised to file their returns correctly — using the appropriate form based on their income profile.

Right Form. Right Filing. That’s the mantra for a hassle-free tax season.