The Income Tax Department has taken an extremely important step for the convenience of taxpayers. The department has announced that ITR-1 and ITR-4 forms for the assessment year 2025-26 are now available in ‘Excel format’.
With this, taxpayers can file income tax returns on the basis of income for the financial year 2024-25. This is big news for all those small taxpayers who want to avoid complex processes. Let us know in detail how this change will benefit you.
Official announcement of Income Tax Department
The Income Tax Department has informed on its official Twitter handle, “Excel facility of ITR-1 and ITR-4 for the assessment year 2025-26 is available to taxpayers.” This will make the process of filing returns easier for taxpayers, especially those who prefer the convenience of filing offline instead of the online portal. This technical upgrade will improve the taxpayer experience.
Who are ITR-1 and ITR-4 for
The ITR-1 (Sahaj) and ITR-4 (Sugam) forms are for individuals, Hindu Undivided Families (HUFs), and firms (except LLPs) whose annual income is up to ₹50 lakh and who do not have to get their accounts audited. This includes people whose income comes from salary, one-house property, other sources (such as interest), or business. These are favourable forms for small and medium taxpayers.
You can file ITR till September 15
This year the government has extended the last date for filing ITR-1 and ITR-4 from July 31 to September 15, 2025. This will give taxpayers more time to prepare and they can file returns without any hurry. This will help avoid last-minute rush and reduce the possibility of errors.
Reporting long-term capital gains now easier
Under the new changes, long-term capital gains up to ₹1.25 lakh from listed shares can now also be shown in ITR-1 and ITR-4. Earlier, taxpayers had to fill out ITR-2 to show such gains. This is a significant improvement to simplify the process.
Who is Excel Format beneficial for
This initiative of the Income Tax Department is a positive step towards making the process of filing returns simple and convenient for taxpayers. The Excel format facility is especially beneficial for those who like to work offline or want the option of saving repeatedly. This will enhance the user experience.