Introduction: Understanding the ITR 2 Filing Process
Filing ITR 2 for FY 2024-25 under the New Tax Regime may seem complex, especially when your income sources include salary, house property (notional and rental), capital gains, interest, and deductions. This guide offers a simple, step-by-step approach to help salaried individuals under 60 years navigate the process smoothly.
Who Should Use ITR 2?
Use ITR 2 if you are:
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An individual/HUF earning more than ₹50 lakh
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Having capital gains
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Owning more than one property or earning rental income
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Not having income from business or profession
Documents to Keep Ready
Before filing, keep these handy:
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Form 16 from employer
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Interest certificates from banks/FIs
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Capital gains statement from broker
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Property details (rent received, municipal tax, loan interest)
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Deduction proofs (80C, 80D etc.)
Breakdown of Income and Deductions
| Source | Amount (₹) |
|---|---|
| Gross Salary | 18,00,000 |
| Rental Income | 1,20,000 |
| Notional Housing Interest | (-) 2,50,000 |
| Term Deposit Interest | 80,000 |
| STCG (Shares/Equity) | 12,000 |
| LTCG | 85,000 |
| 80C Deduction (Investments) | 1,50,000 |
| 80D (Medical Insurance) | 27,000 |
Step-by-Step ITR 2 Filing under New Regime
1. Log into Income Tax Portal
Visit https://www.incometax.gov.in
Use your PAN, OTP, and password to log in securely.
2. Select 'File Income Tax Return'
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Choose AY 2025–26
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Select Online mode
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Choose ITR 2 form
3. Personal Information
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Confirm your PAN, Aadhaar, bank account details
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Select ‘New Tax Regime’ under Section 115BAC
4. Add Salary Income
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Import Form 16 if available
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Enter Gross salary ₹18,00,000
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System may prefill values — verify before proceeding
5. Declare House Property Income
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Self-Occupied Property: Declare notional interest on housing loan ₹2,50,000 (system will restrict deduction)
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Let-Out Property: Enter rental income ₹1,20,000 and applicable municipal taxes
6. Disclose Other Income
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Under 'Other Sources', add interest on term deposits ₹80,000
7. Capital Gains Section
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STCG under Section 111A: ₹12,000
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LTCG under Section 112A: ₹85,000 (exempt up to ₹1 lakh; tax applicable beyond)
8. Deductions (Optional in New Regime)
But they should be disclosed for record and eligibility verification.
9. Tax Computation & Verification
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System auto-calculates total taxable income and tax liability
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Review TDS from Form 26AS or AIS
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Pay any self-assessment tax if needed via Challan 280
10. Verification
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Choose e-verification through Aadhaar OTP / Net Banking
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Submit and download acknowledgement (ITR-V)
Expert’s Opinion
Structured Checklist (Quick Recap)
✔ Select ITR 2 if you have capital gains
✔ Choose New Tax Regime (Section 115BAC)
✔ Report salary, rental, interest and capital gains
✔ Enter notional housing interest under house property
✔ Verify with OTP
✔ Check Form 26AS & AIS to avoid mismatch
✔ Submit and download ITR-Acknowledgement
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