ITR-1 (Sahaj) is the simplest income-tax return, for a resident individual with total income up to Rs 50 lakh from salary or pension, up to two house properties and other sources (interest, dividends). For AY 2026-27 it now also allows long-term capital gains under Section 112A up to Rs 1,25,000 (listed shares/equity funds, with no capital loss to carry forward). Do not use ITR-1 if you are an NRI, have any short-term capital gain, business income, foreign assets, a directorship or unlisted shares. File by 31 July 2026 for FY 2025-26.
Two taxpayer-friendly changes: ITR-1 now permits income from up to two house properties (earlier only one), and it allows LTCG under Section 112A up to Rs 1.25 lakh from listed equity shares and equity mutual funds — so small investors no longer have to jump to ITR-2 just for a modest LTCG. Any short-term capital gain (111A) or any capital loss to carry forward still forces ITR-2.
Who Can File ITR-1 & Who Cannot
ITR-1 is for the salaried, pensioners and small savers. If any single condition below pushes you into the "No" column, you must move up to ITR-2 or ITR-3.
| Your situation | ITR-1? | Note |
|---|---|---|
| Resident individual, salary / pension | Yes | Core eligible group |
| Total income up to Rs 50 lakh | Yes | Mandatory ceiling — all sources combined |
| Up to two house properties (no b/f loss) | Yes | New for AY 2026-27 (was one) |
| FD / savings interest, dividends | Yes | Report under "Income from Other Sources" |
| LTCG u/s 112A up to Rs 1.25 lakh | Yes | New for AY 2026-27; only if no capital loss to carry forward |
| Senior citizen meeting the above | Yes | Pension + interest is typical |
| Any short-term capital gain (111A) | No | Even Rs 1 STCG → use ITR-2 |
| LTCG above Rs 1.25 lakh, or any capital loss | No | Use ITR-2 |
| NRI or RNOR | No | Use ITR-2 |
| More than two house properties | No | Use ITR-2 |
| Business / professional income | No | Use ITR-3 or ITR-4 |
| Director / unlisted shares / foreign assets | No | Use ITR-2 |
HUFs, firms and companies cannot use ITR-1 at all. Total income above Rs 50 lakh always disqualifies ITR-1.
ITR-1 vs ITR-2 vs ITR-3 vs ITR-4
The seven ITR forms map to who you are and what income you earn. The table below is the quick decision aid; our which ITR form guide covers every case.
| Form | Who should use it | Not for |
|---|---|---|
| ITR-1 (Sahaj) | Resident individual, income up to Rs 50L: salary, 2 house properties, other sources, LTCG 112A up to Rs 1.25L | NRI, STCG, business, >2 houses |
| ITR-2 | Individual/HUF with capital gains, more than one/two houses, foreign income — but no business income | Business / profession income |
| ITR-3 | Individual/HUF with income from business or profession | Presumptive-only filers (use ITR-4) |
| ITR-4 (Sugam) | Presumptive income u/s 44AD / 44ADA / 44AE, up to Rs 50L total | Income > Rs 50L, capital gains |
| ITR-5 | Firms, LLPs, AOP, BOI | Individuals, companies |
| ITR-6 | Companies (other than those claiming s.11 exemption) | Companies claiming s.11 |
| ITR-7 | Trusts, political parties, institutions filing u/s 139(4A)–(4D) | Ordinary taxpayers |
ITR-1 and ITR-4 are the two simplified forms; the rest are detailed returns.
ITR-1 (Sahaj) — simplest
- Resident individual only
- Income up to Rs 50 lakh
- Salary / pension + 2 house properties
- LTCG 112A up to Rs 1.25 lakh
- No business income, no STCG
ITR-2 — when ITR-1 fails
- Individual or HUF
- Any amount of capital gains
- More than two house properties
- NRI / RNOR, foreign assets or income
- Director or unlisted equity shares
ITR-1 Due Dates & Late Fee (AY 2026-27)
| Return type | Section | Last date |
|---|---|---|
| Original return (non-audit individuals) | 139(1) | 31 July 2026 |
| Audit cases | 139(1) | 31 October 2026 |
| Transfer-pricing cases | 139(1) | 30 November 2026 |
| Belated / revised return | 139(4) / 139(5) | 31 December 2026 |
| Updated return (ITR-U) | 139(8A) | Within 48 months of AY end (by 31 Mar 2031) |
Budget 2025 extended the ITR-U window from 24 to 48 months. Interest u/s 234A/B/C may also apply on unpaid tax.
A belated ITR-1 filed after 31 July 2026 attracts a late fee of Rs 5,000 under Section 234F, reduced to Rs 1,000 if total income is up to Rs 5,00,000. You also lose the ability to carry forward most losses, and interest u/s 234A runs at 1% per month on any unpaid tax until you file.
Not sure whether ITR-1 fits you this year?
Ask a TaxClue expert →How to File ITR-1 Online in 5 Steps
The portal pre-fills ITR-1 from your employer's Form 16 / Form 24Q, bank AIS data and Form 26AS. Pre-filled figures are a starting point, not the final word — reconcile every number against your own AIS/TIS and bank statements before you submit.
Documents & Forms You Need
- PAN and Aadhaar (linked)
- Form 16 from each employer
- Form 16A / interest certificates
- Form 26AS + AIS / TIS download
- Bank account & interest statements
- 80C / 80D investment proofs
- Home-loan interest certificate
- Form 10E if claiming s.89 relief on arrears
- Rent receipts for HRA (old regime)
- Pre-validated bank account for refund
| Form | What it is | Who gives / files it |
|---|---|---|
| Form 16 | Salary & salary-TDS certificate | Employer (by 15 June) |
| Form 16A | TDS certificate on non-salary income | Deductor (bank etc., quarterly) |
| Form 26AS + AIS/TIS | Consolidated tax-credit & info statement | Income-tax portal |
| Form 12BB | Investment declaration to reduce TDS | You → your employer |
| Form 15G / 15H | Nil-TDS declaration on interest (15H = senior) | You → your bank |
| Form 10E | Relief u/s 89 on salary arrears | You (file before the ITR) |
Form 10E must be filed on the portal before claiming Section 89 relief in ITR-1, or the relief is disallowed.
Want a CA to reconcile your AIS and file ITR-1 for you?
Get ITR Filing Help →Deductions Available in ITR-1
Most Chapter VI-A deductions apply only under the old regime. The new tax regime is the default and allows only a higher standard deduction plus a few items. Compare both using our income-tax calculator and see the income-tax slabs before choosing.
| Deduction | Covers | Maximum |
|---|---|---|
| Standard deduction | Salary / pension | Rs 75,000 (new) / Rs 50,000 (old) |
| Section 80C | PPF, ELSS, EPF, LIC, tuition, home-loan principal | Rs 1,50,000 (old only) |
| Section 80D | Health-insurance premium | Rs 25,000 + Rs 25,000/50,000 (parents) |
| Section 80TTA / 80TTB | Savings interest / senior FD interest | Rs 10,000 / Rs 50,000 |
| Section 24(b) | Home-loan interest (self-occupied) | Rs 2,00,000 (old only) |
| Section 80CCD(1B) | Extra NPS contribution | Rs 50,000 (old only) |
Under the new regime you keep the Rs 75,000 standard deduction and 80CCD(2) employer-NPS; most other deductions are switched off.
ITR-1 is right for you if
- You are a resident individual under Rs 50 lakh
- Your income is salary/pension + interest
- You have at most two house properties
- Any LTCG is 112A and under Rs 1.25 lakh
Move to ITR-2/3 if
- You have any STCG or a capital loss
- You are an NRI or hold foreign assets
- You have business or professional income
- You are a director or hold unlisted shares
Submitting ITR-1 is not the end — you must e-verify within 30 days using Aadhaar OTP, net-banking or a demat EVC. An unverified return is treated as never filed, which can trigger the 234F late fee if the deadline passes. Also link PAN with Aadhaar, or the portal will block filing.
ITR-1 (Sahaj) — Frequently Asked Questions
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