ITR-4 (Sugam) Filing | Right Tax Pro Advisors

1. What is ITR-4 (Sugam)?

ITR-4, also called Sugam, is designed for individuals, HUFs, and professionals with small business income or professional income who opt for presumptive taxation under Sections 44AD, 44ADA, or 44AE.

ITR-4 covers:

Small businesses with turnover up to ₹2 crore (44AD)
Professionals with income up to ₹50 lakh (44ADA)
Rental income from one house property
Income from salary/pension and other sources
Excludes capital gains income

Filing ITR-4 ensures simplified taxation, compliance, and claim of presumptive deductions.

2. Who Can File ITR-4? (Eligibility)

✅ Eligible:

Individuals, HUFs, or professionals with business/professional income under presumptive taxation
Income from salary, one house property, or other sources
Small taxpayers with simplified bookkeeping requirements

❌ Not Eligible:

Businesses with turnover above ₹2 crore
Individuals with capital gains, more than one property, or foreign assets
Companies, LLPs, firms, or trusts (use ITR-5, ITR-6, ITR-7)

3. Types of Income Covered in ITR-4

Business or Professional Income – under Sections 44AD, 44ADA, 44AE
Salary / Pension Income – if applicable
House Property Income – self-occupied or let out (one property)
Other Sources – bank interest, dividends, family pension
Excludes – Capital gains or income from multiple properties

Important: ITR-4 is specifically for small business/professional income opting for presumptive taxation.

4. Documents Required for ITR-4 Filing

PAN & Aadhaar Card
Form 16 (if salary income exists)
Bank statements & interest certificates
Books of accounts / income statement (simplified)
Form 26AS – TDS and tax credit
Property ownership & rent receipts
Investment proofs for deductions (80C, 80D, 80G, etc.)
GST/TDS returns (if applicable)

Proper documentation ensures accurate reporting under presumptive taxation.

5. Step-by-Step ITR-4 Filing Process

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Document Collection
PAN, Aadhaar, Form 16, bank statements, business income details, investment proofs

🧮

Income & Deduction Calculation
Experts calculate presumptive business/professional income, salary, house property, and other income

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Form Filling
ITR-4 filed accurately online on the Income Tax portal

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Verification & Submission
E-verify using Aadhaar OTP, net banking, or DSC

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Acknowledgement (ITR-V)
Track refund or tax liability

Filing ITR-4 with experts ensures compliance, correct presumptive income reporting, and maximum tax savings

6. Deductions & Tax Savings in ITR-4

Section	Benefit	Notes
44AD	Presumptive business income	8%/6% of turnover taxed, no detailed books required
44ADA	Presumptive professional income	50% of gross receipts taxed, simple reporting
44AE	Presumptive income for transport business	Per vehicle as prescribed under Income Tax Act
80C	₹1.5 lakh deduction	Investments in PPF, EPF, Life Insurance, NSC, ELSS, tuition fees
80D	Deduction on medical insurance	For self, family, and parents
80G	Donations	Deduction on approved charities
24(b)	Home loan interest	For one house property
10(14)	HRA	House Rent Allowance exemption

Expert filing ensures all presumptive deductions and exemptions are applied to minimize tax liability.

7. Benefits of Filing ITR-4

✅ Simplified filing for small businesses/professionals
📊 Compliant reporting under presumptive taxation scheme
💸 Maximize refunds and reduce tax liability legally
🛡️ Avoid penalties or scrutiny by Income Tax Department
🏦 Proof of income for loans, visas, and business credibility

8. Common Mistakes to Avoid

Filing wrong ITR (ITR-3 or ITR-4 confusion)
Reporting income incorrectly under presumptive taxation
Missing bank interest, salary, or other income
Not applying eligible deductions under Sections 80C/80D/24(b)
Late filing → penalties & interest

Expert filing ensures accurate presumptive income reporting and faster refunds

9. FAQs – ITR-4 Filing

Q1. Who should file ITR-4?

Individuals, HUFs, or professionals with small business/professional income opting for presumptive taxation under Sections 44AD, 44ADA, or 44AE.

Q2. What is the turnover limit for ITR-4 filing?

For Section 44AD, turnover must be ≤ ₹2 crore. For 44ADA, professional income ≤ ₹50 lakh.

Q3. Can I claim deductions under ITR-4?

Yes. Sections 80C, 80D, 80G, 24(b), and presumptive taxation deductions apply.

Q4. Do I need to maintain detailed books of accounts?

No, for presumptive taxation, simplified reporting is sufficient. Experts ensure compliance.

Q5. Can freelancers or small professionals file ITR-4?

Yes, professionals eligible under 44ADA can file ITR-4.

Q6. Can I revise ITR-4 after submission?

Yes. Revised returns can be filed before the due date of the assessment year.

Q7. How long for tax refund after ITR-4 filing?

Refunds are usually processed in a few weeks if filed correctly.

Q8. Is ITR-4 filing PAN India available?

Yes. RightTax Pro Advisors provides expert ITR-4 filing across India.

Q9. What happens if I miss the filing deadline?

Late filing results in penalties, interest, and delayed refunds.

Q10. Is my business data safe?

Yes. All client data is handled securely and confidentially.

10. Final Call-to-Action

“File Your ITR-4 Under Presumptive Taxation Hassle-Free Today!”
Simplify taxation, maximize savings, and stay compliant with RightTax Pro Advisors.

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🌍 Offices in Vijayawada & Hyderabad | PAN India Services

📄 ITR-4 (Sugam) Filing – For Small Businesses & Professionals (Presumptive Taxation)