ITR Form 2 Explained: Who Should File And All You Need To Know For 2025–26

While every individual needs to file their taxes, there are different forms that are applicable for different kinds of taxpayers.

The ITR Form 2 is used typically for filing Income Tax Returns (ITR) for capital gains. This form is only used to file returns from capital gains. However, if a taxpayers' total income for a financial year includes income generated from business or profession, you will be required to file ITR-3 as the income tax return for capital gains.

Eligibility Criteria For Filing ITR-2 Form

The following criteria is necessary for filing an ITR-2 form:

• Any Indian individual or member of the HUF (Hindu Undivided Family).
• Salaried or pensioned individuals with income exceeding Rs 50 lakhs.
• Individuals earning capital gains from the sale of shares, mutual funds, immovable property, and virtual digital assets.   
• Individuals earning rental income from multiple house properties.
• Individuals earning over Rs 5,000 from agricultural income.
• Individuals with foreign assets or generating foreign income.
• Individuals who are directors in any company (Foreign or domestic).
• Individuals holding an unlisted equity share in any company (Foreign or domestic).
• Individuals with any brought forward loss or loss to be carried forward under any head of income.
• Individuals earning income through other sources like horse racing, lottery winning, etc.

What Are The Required Documents?

These are the documents that are essential for filing the ITR-2 form:

• Aadhaar Card
• PAN (Permanent Account Number)
• TDS certificates / Form 26AS
• Form 16 if you are a salaried Individual
• AIS/TIS statement from Income tax portal
• Challan of the paid taxes
• Bank account details
• Original return details (if you are filing for a revised return)
• Notice-related details (if you are filing in response to any notice)

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