ITR-1 Filing: A Complete Guide to Filing Sahaj Form Online for AY 2025-26

As you know, filing an Income Tax Return involves submitting the corresponding income tax form to the relevant tax department. The selection of the appropriate form depends on the nature of your income sources. Among these, the ITR1 form, more commonly called Sahaj, holds significance. Widely utilized across India, this form of ITR-1 for salaried employees is one of the most prevalent. As a straightforward avenue for filing Income Tax Returns, the ITR 1 form facilitates the submission of essential details, including income, deductions, and tax-related information, to the concerned income tax authorities. This article will look at the IT return ITR 1 Sahaj Form, eligibility, documents required for ITR 1 filing, and procedure to file ITR 1 online in detail.

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ITR1 Sahaj Form

The Sahaj Form (ITR-1 Form), as its name suggests, is designed as the most straightforward method for submitting income tax returns and is specifically aimed at individual taxpayers. Resident individuals in India can use this ITR 1 for salaried employees to declare their income tax if their total income is within the threshold of Rs. 50 Lakhs and is obtained from the subsequent sources:

• Income from Salary or Pension
• Income from a Single House Property
• Income from Other Sources

The ITR-1 Form streamlines the process for eligible individuals to report their income tax details, providing a convenient and efficient approach to tax compliance.

Latest Update: CBDT Notifies New ITR-1 (Sahaj) for FY 2024–25 

The Central Board of Direct Taxes (CBDT), through Notification No. 40/2025 dated April 29, 2025, has introduced several important changes in the ITR-1 form, effective from April 1, 2025, applicable for Assessment Year 2025–26. These changes aim to simplify compliance while ensuring better transparency in tax reporting.

1. Expanded Eligibility – Inclusion of Exempt LTCG under Section 112A

For the first time, taxpayers earning long-term capital gains (LTCG) up to ₹1.25 lakh under Section 112A can file ITR-1. Earlier, any LTCG disqualified a taxpayer from using this form, requiring ITR-2 instead.

• Section 112A covers LTCG on equity shares and units of equity-oriented mutual funds/business trusts, where STT has been paid.
• Gains up to ₹1.25 lakh remain tax-exempt; this update allows small equity investors to benefit from the simpler return filing process.

2. New Reporting Requirements for Exempt Capital Gains under Section 112A

A dedicated section titled “Income on which no tax is payable” has been added to report exempt long-term capital gains (LTCG) under Section 112A. Taxpayers are now required to provide detailed information, including:

• Total sale consideration
• Cost of acquisition
• Amount of exempt LTCG as per Section 112A

3. Mandatory E-Filing of Form 10BA for Section 80GG Deductions

Individuals—whether salaried or self-employed—can claim a deduction for rent paid under Section 80GG, provided they do not receive House Rent Allowance (HRA) under Section 10(13A) and have opted for the old tax regime.

To avail this deduction, Form 10BA must now be filed electronically and submitted along with the income tax return. Taxpayers under the new tax regime (Section 115BAC) are not eligible for this benefit.

4. New Requirement: Section-wise TDS Reporting in Schedule TDS/TCS

Taxpayers are now required to specify the exact section of the Income Tax Act under which TDS has been deducted in the TDS/TCS Schedule of the return. For instance:

• Section 194 for TDS on dividends
• Section 194A for TDS on interest from bank deposits

This additional disclosure ensures accuracy and alignment with details available in Form 16A and Form 26AS.  

5. Clarity on Opting Out of New Tax Regime under Section 115BAC

The updated ITR-4 for AY 2025–26 includes specific prompts to help taxpayers declare their chosen tax regime. It asks:

• Whether Form 10-IEA was filed in the previous year (AY 2024–25), and
• Whether the taxpayer is continuing with the old regime or opting out of the new regime for the first time.

If the taxpayer filed ITR-1 or ITR-2 last year and did not submit Form 10-IEA, they must now file Form 10-IEA for AY 2025–26 to opt out of the default new regime.

As per Section 115BAC(6), this option must be exercised on or before the due date for filing the return under Section 139(1).

6. Improved E-Filing and Refund Validation Mechanisms

The ITR-1 form now features enhanced sections for pre-validating bank account details, enabling accurate and faster refund processing.

• Ensure correct IFSC code, account number, and bank selection for seamless credit of refunds.
• E-verification options have also been standardized for convenience and compliance.

Below, we have attached the official CBDT notification regarding the new ITR-1 Form for FY 2024–25 for your reference.  

Who is Eligible to File ITR 1 for Salaried Employees?

ITR1 filing is applicable for those Resident Individuals who meet the following criteria:

• Resident individuals seeking to file their Income Tax Return (ITR) using ITR1 should meet the,
  • Income Threshold: The individual's total income for the financial year must not exceed Rs.50 lakh.
  • Permissible Income Sources: ITR1 applies to individuals whose income is derived from the following sources:
    • Salary
    • Income from one-house property
    • Family pension income
    • Agricultural income 
  • Other sources include:
    • Interest from Savings Accounts
    • Interest from Deposits (Bank / Post Office / Cooperative Society)
    • Interest from Income Tax Refund
    • Interest received on Enhanced Compensation
    • Any other Interest Income
    • Family Pension
    • Clubbing of Income

In cases where the spouse's income (excluding those governed by the Portuguese Civil Code) or the income of a minor is to be combined, it is allowed only if the source of income falls within the specified limits mentioned above.

Who cannot file ITR 1 for Salaried employees?

The following categories of individuals are not eligible for IT return ITR 1 filing :

• Resident Not Ordinarily Resident (RNOR) and Non-Resident Indian (NRI) individuals
• Those with a total income exceeding ₹50 lakh
• Individuals with agricultural income surpassing ₹5,000
• Individuals with income derived from activities like lottery, racehorses, legal gambling, etc.
• Those with taxable capital gains, both short-term and long-term
• Individuals who have invested in unlisted equity shares
• Individuals with income sourced from business or profession
• Individuals serving as Directors in a company
• Individuals availing tax deduction under section 194N of the Income Tax Act
• Individuals with deferred income tax on Employee Stock Ownership Plan (ESOP) received from an eligible start-up employer
• Individuals who own and generate income from more than one house property
• Individuals who do not meet the eligibility criteria outlined for ITR1 filing

Due Date for ITR 1 Filing

The due date for ITR1 filing typically falls on July 31st of each assessment year. It's essential to adhere to this deadline to ensure timely and compliant submission of your income tax return.  

Income Tax Slab Structure for Individuals

Under the Budget 2025, individuals earning up to ₹12,00,000 will not incur any tax liability for the financial year 2025-26 (assessment year 2026-27) under the new tax regime. Salaried taxpayers can further benefit from a standard deduction of ₹75,000, effectively making incomes up to ₹12.75 lakh tax-free. The revised income tax slabs are outlined below:

Income Slab	Tax Rate
Up to ₹4 lakh	0%
₹4 lakh - ₹8 lakh	5%
₹8 lakh - ₹12 lakh	10%
₹12 lakh - ₹16 lakh	15%
₹16 lakh - ₹20 lakh	20%
₹20 lakh - ₹24 lakh	25%
Above ₹24 lakh	30%

Note: 

The new tax regime is the default option for taxpayers starting FY 2025-26 (AY 2026-27).

• For salaried individuals and non-business taxpayers, opting for the old tax regime can be done directly while filing their Income Tax Return (ITR) before the due date under Section 139(1).
• For taxpayers with income from business or profession, opting for the old tax regime requires submitting Form 10IEA on or before the due date specified under Section 139(1). Switching back to the new tax regime after choosing the old regime is allowed only once in a lifetime.

Learn more:- Old vs New Tax Regime: Which is Better for You?

Latest Update on the Pay Later Option for Income Tax Filing

The Income Tax e-filing portal has recently rolled out a 'Pay Later' option, allowing you to complete your tax filing process before making any tax payments. You can pay taxes after you are done ITR1 filing. For additional information, please refer to our guide – Pay later option for the Income tax return filing.

Structure of ITR1 Form: A Comprehensive Breakdown

Although the IT return ITR 1 Form may appear straightforward, it requires careful attention during the filling process. ITR-1 Form is organized into five distinct parts and two schedules to facilitate comprehensibility. These segments include:

• • Part A: General Information
  • Part B: Gross Total Income
  • Part C: Deductions and Total Taxable Income
  • Part D: Computation of Tax Payable
  • Part E: Other Information

Additionally, the form comprises two schedules:

• Schedule IT and
• Schedule TDS & TCS
• The final step involves the verification process.

Required Details in ITR1 Form

The ITR1 form comprises several sections, each requiring specific information for accurate completion.

• Part A:  This initial section captures personal information. Row numbers A1 to A28 encompass details such as:
  • First name, last name, and middle name (if applicable)
  • PAN Number
  • Age
  • Gender and date of birth in alignment with PAN card records
  • Ward details and, if known, the assessing officer's details
  • Communication address
  • Contact number
  • City and State
  • Filing date
  • Aadhaar details
• Part B: In this section, labeled Part B, you'll enter data regarding your gross total income, encompassing earnings from salary, property, and other sources.
• Part C: Part C mandates details related to deductions and taxable income. Rows C1 to C20 encompass deductions under sections 80C, 80D, 80U, and 80G.
• Part D: Rows D1 to D19 in this segment encompass tax computation, status, rebates, post-rebate taxes, TDS claims, etc. Fill in these rows meticulously. D20 is reserved for bank account details, including account number, bank name, IFSC code, and account type. Also, specify if you want any refund directed to this account.

Types of Income Excluded from ITR 1 Form

The ITR-1 form excludes certain categories of income. The following types of income are not included in the ITR1 form:

Profits and Gains from Business or Profession

Any income derived from businesses or professional activities falls outside the scope of ITR1.

Income from More than One House Property

If you have income from more than one house property, it does not account for in ITR1.

Capital Gains

Any earnings from capital gains, short-term or long-term, are not considered in ITR1.

Specific Other Sources of Income

• Income from owning and maintaining racehorses.
• Winnings from lotteries.
• Income is subject to special rates under Section 115BBDA or Section 115BBE.
• Income is meant to be distributed as per the regulations of section 5A.

Documents Required for ITR 1 Filing

Find the documents required for ITR 1 filing below:

• Form 16: Provided by all your employers for the relevant financial year.
• Form 26AS: Ensure the TDS details in Form 16 match those in Part A of Form 26AS.
• Receipts: If you could not submit proof for certain exemptions or deductions (like HRA allowance or Section 80C/80D deductions) to your employer on time, retain these receipts to claim them directly on your income tax return.
• PAN Card: Your Permanent Account Number (PAN) card is a vital identification document.
• Bank Investment Certificates: Details of interest earned from bank accounts, such as bank passbooks or fixed deposit certificates.

How to File ITR 1 Online for AY 2025-26 on the Income Tax Portal?

Filing your ITR1 (SAHAJ) form online on the Income Tax portal is straightforward. Follow these steps to ensure accurate and efficient filing:

Step 1: Visit the Income Tax e-filing portal.

Step 2: Register or log in to your account.

Step 3: Navigate to 'e-file' > 'Income Tax Returns' > 'File Income Tax Return.'

Step 4: Select the Assessment Year as 2023-24 and choose the mode of filing as 'Online'.

Step 5: Click on 'Start New Filing'.

Step 6: Select your applicable status.

Step 7: Choose ITR-1 as the form type.

Step 8: Click on 'Let’s Get Started'.

Step 9: Select the appropriate reason and click 'Continue'.

Step 10: Now, proceed to complete the five sections as follows. ITR1 return filing online involves a systematic approach across its seven sections:

Part A – General Information:

This section captures crucial personal details, including:

• PAN
• Full Name (First, Middle, Last)
• Date of Birth
• Aadhar Number
• Mobile Number
• Email Address
• Address
• Filed under sections 139(1), 139(4), 139(5), 119(2)(b)
• Response to notice under sections 139(9), 142(1), 148, and 153(C)
• Nature of Employment

Part B1 – Salary/Pension:

• Employer Details (TAN, Name, Nature & Address)
• Salary particulars
• Exempt allowances
• Perquisites' value
• Net Salary
• Deductions under section 16
• Income under 'salaries'

Part B2 – House Property:

• Gross Rent Received
• Local Tax Paid
• Annual Value
• 30% of Annual Value
• Interest on Borrowed Capital
• Unrealized Rent (<30%)
• Income under 'house property

Part B3 – Income from Other Sources:

• Deductions under section 57 (iia)
• Income for relief under section 89A

Part B4 – Gross Total Income:

• Sum of B1, B2, and B3

Part C – Deductions and Taxable Total Income:

• This section accommodates all deductions and taxable income, adhering to provisions under the Income Tax Act, including:
• Deductions under sections 80C, 80CCC, 80CCD(1), 80CCD(1B), 80CCD(2), 80DD, 80DDB, 80E, 80EE, 80EEA, 80EEB, 80GG, 80GGC, 80U
• Total Deduction Value
• Total Income (B4 – Deductions)

Part D – Computation of Tax Payable:

• Tax on Total Income (D1)
• Rebate under section 87A (D2)
• Tax after Rebate (D3)
• Cess on Tax after Rebate (D4)
• Total Tax and Cess (D5)
• Relief under section 89(1) (D6)
• Interest under sections 234A, 234B, 234C (D7, D8, D9)
• Fee under section 234F (D10)
• Total Tax, Fee, and Interest (D11)
• Total Tax Paid (D12)
• Amount Payable/Refundable (D13, D14)

Part E – Other Information:

• Banking Details
• IFSC Code
• Bank Name
• Account Number
• Refund Amount
• Schedule-IT: Advance Tax and Self-Assessment Tax Payments:
• BSR Code
• Date of Deposit
• Challan Serial Number
• Tax Paid
• Schedule-TDS: TDS/TCS Details:
• TAN/PAN of Deductor/Tenant
• Deductor's Name
• Gross Payment
• Year of Tax Deduction
• Tax Deducted
• TDS/TCS Credit

Step 11: Double-check the summary of tax computation for accuracy.

Step 12: Rectify any errors, if present, and complete the validation.

Step 13: E-verify the ITR to finalize the submission. At the final step, the taxpayer self-attests the form by signing the verification content. This entails entering personal details like the parent’s name and PAN details.

By following these steps meticulously, you can successfully file ITR 1 online through the Income Tax portal, ensuring compliance with tax regulations.

How to Download ITR 1 Form?

To download ITR 1 form, follow these steps:

• Visit the Income Tax Department Website: Go to the official Income Tax Department website.
• Log In to Your Account: Use your user credentials (PAN, password, etc.) to log in to your e-filing account.
• Go to 'Download' Section: After logging in, navigate to the 'Downloads' section on the homepage to download ITR 1 Form.
• Select ITR Form: From the available list, choose the ITR-1 Form and select the assessment year (e.g., AY 2025-2026).
• Download ITR 1 Form: Click the download link for the ITR-1 form in Excel, PDF, or XML format, depending on your preference'.

Distinguishing Between ITR1 and ITR 2: Key Contrasts

Here's a comparison highlighting the critical distinctions between IT Return ITR 1 and ITR 2:

Particulars	ITR1	ITR2
Applicant type	Individual (resident or non-resident)	Individuals (resident or non-resident) and HUFs
Income from salary/pension	Up to Rs 50 lakh	More than Rs 50 lakh
Income from Other Sources	Excluding activities like horse racing, gambling, lotteries, etc.	Including activities like lotteries, gambling, horse racing, card games, etc.
Exempt Income	Up to Rs 5,000	More than Rs 5,000
Income from Property	Up to 1 house	More than 1 house

Learn more: ITR-1 vs ITR-2: Know the Meaning, Differences and Applicability

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Other ITR-related articles

• ITR-2 return filing
• ITR-3 return filing
• ITR-4 return filing
• ITR-5 return filing
• ITR-6 return filing
• ITR-7 return filing

FAQs on ITR-1 Filing

1. Who is to file ITR 1?

Resident individuals whose total income does not exceed ₹50 lakh and who earn income from salary, one house property, family pension, and other specified sources can file ITR-1.

2. Who should file ITR 1 and 2?

ITR-1 is for individuals with income up to ₹50 lakh from specified sources. ITR-2 is for individuals and HUFs with income exceeding ₹50 lakh or those with capital gains, multiple house properties, or foreign assets.

3. Who will file ITR 1?

Individuals with total income up to ₹50 lakh from salary, one house property, family pension, and other sources like interest income can file ITR-1.

4. How can I file ITR 1 by myself?

You can file ITR-1 online by visiting the Income Tax e-filing portal, registering or logging in, selecting the appropriate form and assessment year, and completing the required sections.

5. How do I apply for ITR 1?

To apply for ITR-1, you must fill out the form on the Income Tax e-filing portal after logging in with your credentials.

6. What is ITR 1 called?

ITR-1 is commonly referred to as "Sahaj."

7. What is the difference between ITR 1 and 2?

The primary difference is that ITR-1 is for individuals with income up to ₹50 lakh from specific sources, while ITR-2 is for those with higher income or additional complexities like capital gains and multiple properties.

8. Is ITR 1 or 2 required for salaried employees?

Salaried employees can file either ITR-1 (if their income is within limits) or ITR-2 (if they have additional complexities).

9. Should I file ITR if income is less than ₹2.5 lakhs?

It is not mandatory to file if your total income is below ₹2.5 lakh; however, filing may be beneficial for claiming refunds or carrying forward losses.

10. Should I file an ITR below ₹3 lakhs?

Filing is not required if your total income is below ₹3 lakhs unless you wish to claim a refund or have other reasons to file.

11. How to file ITR first time?

To file your ITR for the first time, register on the Income Tax e-filing portal, select the appropriate form based on your income sources, and follow the step-by-step filing process.

12. What is the income limit to file ITR 1?

The income limit to file ITR-1 is ₹50 lakh during the financial year.

13. How much income is tax-free?

Under the new tax regime, individuals earning up to ₹4 lakh have zero tax liability; under the old regime, incomes up to ₹2.5 lakh are tax-free.

14. What is total income in ITR-1?

Total income in ITR-1 includes salary, one house property income, family pension, agricultural income (up to ₹5,000), and other specified sources.

15. Can I file ITR-1 if my income is more than ₹50 lakhs?

No, individuals with total income exceeding ₹50 lakh cannot file ITR-1; they must use a different form like ITR-2.

16. Can we file ITR-1 for rental income?

You can only include rental income if it comes from one house property; multiple properties disqualify you from using ITR-1.

17. What happens if I don’t file ITR?

Failing to file your return may result in penalties, interest on unpaid taxes, and restrictions on carrying forward losses.

18. How to file ITR step by step?

To file your return:

• Visit the Income Tax e-filing portal.
• Log in or register.
• Select 'e-file' > 'Income Tax Returns'.
• Choose the assessment year and form type.
• Fill in personal details and income information.
• Validate and submit your return.

19. What is the last date for ITR?

The last date for filing individual returns for AY 2025-26 is July 31, 2025.

About the Author

RENU SURESH
Renu Suresh is a proficient writer with a knack for turning intricate legal concepts into clear, actionable advice. Her articles empower entrepreneurs by providing the knowledge they need to navigate the complexities of business laws, ensuring they can start and manage their businesses effectively.

Updated on: May 6th, 2025