Expert Assistance for Filing ITR-4 Form

At Mantra and Co., we make the process of filing the ITR-4 form seamless, precise, and hassle-free. As one of the leading online platforms specializing in tax and compliance solutions, we understand the challenges that taxpayers face in navigating the intricacies of income tax returns. Whether you are a small business owner, a professional with presumptive income, or a Hindu Undivided Family (HUF) with straightforward income sources, our expert team is dedicated to guiding you every step of the way.

What is the ITR-4 Form?

The ITR-4 form is specifically designed for individuals, HUFs, and firms (other than LLPs) who opt for the presumptive taxation scheme under sections 44AD, 44ADA, or 44AE of the Income Tax Act. This scheme simplifies the process of income declaration by allowing taxpayers to report a percentage of their total turnover or gross receipts as taxable income. The ITR-4 form is ideal for taxpayers with straightforward income sources, enabling them to comply with tax laws efficiently and accurately.

Who Should File the ITR-4 Form?

The ITR-4 form is applicable to individuals, HUFs, and firms (other than LLPs) who meet the following criteria:

1. Presumptive Income: Taxpayers who have opted for presumptive taxation under sections 44AD, 44ADA, or 44AE should use this form. This includes small businesses, professionals, and those involved in the transport business.

2. Income from Business or Profession: Individuals earning income from a business or profession, provided they opt for presumptive taxation, are eligible. This scheme simplifies tax filing for small taxpayers by estimating income at a fixed percentage of gross receipts.

3. House Property Income: Taxpayers earning income from one or more house properties can file ITR-4, provided the total income does not exceed the prescribed limit.

4. Other Income Sources: The form accommodates income from other sources such as interest, dividends, or agricultural income up to ₹5,000.

5. Income Cap: ITR-4 is applicable only if the total income is less than ₹50 lakh in a financial year.

Who is Not Eligible to File ITR-4?

The ITR-4 form is not applicable to:

1. Taxpayers earning income from capital gains.

2. Individuals with income exceeding ₹50 lakh.

3. Taxpayers with income from more than one house property where losses need to be carried forward.

4. Individuals who have foreign income or assets that require disclosure.

5. Those who are directors in a company or have investments in unlisted equity shares.

6. LLPs or firms not eligible for presumptive taxation.

Such taxpayers should consider filing ITR-3 or other appropriate forms based on their income structure and eligibility.

Important Deadlines for Filing ITR-4

The due date for filing the ITR-4 form depends on the taxpayer’s case:

• Non-Audit Cases: The deadline is July 31, 2023, for the Assessment Year 2023-24. Filing within this date ensures compliance without penalties.

• Audit Cases: For businesses requiring an audit, the deadline extends to October 31, 2023, as per the Income Tax Act.

It’s crucial to adhere to these deadlines to avoid penalties and interest charges for late filing. Stay updated on any extensions announced by tax authorities.

Late Filing Penalties for ITR-4

Filing the ITR-4 form after the due date can attract penalties, as outlined below:

1. Delay till December 31: A late fee of ₹5,000 may be imposed for returns filed after the due date but before December 31 of the assessment year.

2. Beyond December 31: The penalty increases to ₹10,000 for returns filed beyond this period.

3. Income Below ₹5 Lakh: The penalty is capped at ₹1,000, providing relief to taxpayers with lower incomes.

Timely filing not only avoids these penalties but also ensures a smooth tax compliance record.

Documents Required for Filing ITR-4

To file your ITR-4 form successfully, ensure you have the following documents ready:

1. PAN (Permanent Account Number): Essential for tax identification.

2. Aadhaar Card: Mandatory for linking with your PAN.

3. Bank Account Details: Include account number and IFSC code for refunds or verification.

4. Details of Turnover/Gross Receipts: Provide accurate figures to declare presumptive income.

5. Form 16/16A: For salaried individuals or those with TDS deductions.

6. Investment Details: Information on eligible tax-saving investments under sections like 80C, 80D, etc.

7. Books of Accounts: For businesses not entirely covered under presumptive taxation, maintaining and submitting financial records may be necessary.

Sections of the ITR-4 Form

The ITR-4 form is structured into five sections to streamline the filing process:

1. General Information: This section captures personal details such as name, PAN, Aadhaar, and filing status. Ensure accurate entry to avoid processing delays.

2. Income Details: Report income from business, profession, house property, or other sources. Calculate the presumptive income under relevant sections.

3. Deductions and Taxes Paid: Claim deductions under various provisions and report taxes paid, including advance tax and self-assessment tax.

4. TDS/TCS Credit: Provide details of Tax Deducted at Source (TDS) or Tax Collected at Source (TCS) to claim credit against your tax liability.

5. Verification and Declaration: Validate your return with a digital signature or by submitting a physical signed copy to the CPC. Confirm the accuracy of the information provided in this section.

Why Choose Mantra and Co. for Filing ITR-4?

Mantra and Co. offers a hassle-free and professional service for filing your ITR-4. Here’s why we are the right choice:

1. Expert Guidance: Our team of seasoned tax professionals ensures accuracy and compliance with the latest regulations.

2. Simplified Process: Enjoy a user-friendly platform designed to cater to all your tax filing needs, from document submission to final validation.

3. Tailored Solutions: We analyze your income and deductions to optimize your tax savings while ensuring accurate filing.

4. Document Management: Our team helps organize and verify your financial documents, eliminating errors and omissions.

5. Timely Alerts: Stay on top of deadlines with proactive reminders and notifications.

6. Post-Filing Support: Receive assistance for post-filing activities, including follow-ups and resolving notices from the tax department.

How Mantra and Co. Simplifies ITR-4 Filing

At Mantra and Co., we understand the importance of accurate and timely filing. Our comprehensive service includes:

• Expert consultation to guide you through eligibility and form requirements.

• Document verification to ensure all necessary details are in place.

• Assistance with claiming deductions and credits for maximum tax benefits.

• Secure and seamless filing through our platform.

• Post-filing support to address queries or compliance issues.