ITR-1 (Sahaj) vs ITR-2
ITR-1 vs ITR-2 — which income tax return form do you need?
Overview
ITR-1 (Sahaj) is the simplest income tax return for salaried individuals with straightforward income. ITR-2 is for individuals and HUFs with capital gains, foreign income, more than one house property, or income above ₹50 lakh. Filing the wrong form can lead to a defective return notice.
Head-to-Head Comparison
| Factor | ITR-1 (Sahaj) | ITR-2 | Winner |
|---|---|---|---|
| Eligible For | Resident individuals with simple income | Individuals/HUF with complex income | Tie |
| Capital Gains | Not allowed | Allowed (short-term and long-term) | B wins |
| Foreign Income / Assets | Not allowed | Allowed | B wins |
| Multiple House Properties | Only one house property allowed | Multiple house properties allowed | B wins |
| Income Limit | Total income up to ₹50 lakh | No income limit | B wins |
| Business/Professional Income | Not allowed | Not allowed (file ITR-3 or ITR-4) | Tie |
| Ease of Filing | Simpler — fewer schedules | More detailed — more schedules | A wins |
Data updated for FY 2025–26. Regulations may change — consult a professional before deciding.
Which Should You Choose?
Choose ITR-1 (Sahaj) if…
File ITR-1 if you are a salaried individual with salary, one house property (let out or self-occupied), and other income up to ₹50 lakh total.
Get ITR-1 (Sahaj)Choose ITR-2 if…
File ITR-2 if you have capital gains (stocks, property), foreign income or assets, directorship in a company, or more than one house property.
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Talk to an Expert — FreeFrequently Asked Questions
Common questions about ITR-1 (Sahaj) vs ITR-2
No. If you have any capital gains from selling shares, mutual funds, property, or any other asset, you must file ITR-2 (or ITR-3 if you have business income). Capital gains cannot be reported in ITR-1.
Related Comparisons
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