Offline utility for ITR 1 and 4 launched for smooth filing of Income Tax

Offline utility of ITR 1 and ITR 4 will enable income tax assessee to prefill, edit, and upload their ITRs on the e-filing portal.

Offline utility for ITR 1 and 4 launched for smooth filing of Income Tax

The Income Tax Departmen recently launched an offline utility for ITR 1 and ITR 4, which can be used by taxpayers for the assessment year 2021-22. The offline utility can be downloaded from the Income Tax e-filing portal and is the first of many ITR forms that will be made available as offline utilities. This offline utility uses a new and lightweight technology called JSON (JavaScript Object Notation). 

Features and usage of the offline utility 

A step-by-step guide for using these offline utilities is available in the Income Tax portal. To ensure a smooth filing experience, taxpayers will find FAQs, guidance documents, circulars, etc. Download prefilled data from the Income Tax e-filing portal and import it to the offline utility. You can save this data on the utility, edit the information, fill in new data and profile information, and also save the return. 

Here’s how to go about it:

  • Click to ‘Open’ a new copy of the ITR form.
  • Save your completed XML on the computer.
  • ‘Save Draft’ lets you save the XML but you cannot upload it unless you ‘Save’ it.
  • Prefill option auto-fills information like personal details, address, tax details etc. One needs to be logged in via an active Internet connection to perform this function.
  • You can ‘Recalculate’ the data mentioned in the utility to revalidate the data therein.
  • ‘Submit’ the XML in the e-filing portal by providing your e-filing credentials: username, date of birth, and password. After submission, you will be able to download the ITR-V.

Related: What documents to keep ready while filing your ITR?

Online filing of ITR using the offline utility

To file your Income Tax return with the offline utility, your computer requires Windows 7, Linux, or Mac OS 10.0 or later OS versions. You will find a zip folder downloaded, from which the utility can be extracted. Fill and verify your IT return and save the XML file. When you want to file the return, go to the e-filing portal and click on ‘Upload Return’.

Related: Guide to filing your income tax return on your own

ITR 1 and ITR 4

ITR 1 and 4 are the most commonly used return forms, which explains why the release of their offline utility was prioritised. ITR 1, also known as Sahaj, is filed by individual salary income holders, people with income from one house property, and/or other sources. It can be filed by individuals who have an annual income of up to Rs 50 lakh. 

The ITR 4 or Sugam is filed by individuals as well as Hindu Undivided Families and partnerships other than LLP, whose total income is below Rs 50 lakh. Here, income from business and profession is calculated under the provisions of presumptive taxation.

In the newly notified ITRs, an assessee whose tax has been deferred on ESOP allotment made by an eligible startup will not be able to file ITR 1 or 4. No other major changes have been made for this assessment year. Look at these different ITR forms you should know about.

E-filing for the next assessment year is not yet enabled. However, once it is enabled, you can upload the return saved in your offline utility. Should you stick to the old tax regime or move to the new one?


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