ITR-4 for AY27: Six changes including two house properties, new disclosures

The Income Tax Department has introduced six changes to the ITR-4 (Sugam) form for the Assessment Year 2026-2027, affecting taxpayers who opt for the presumptive taxation scheme under Sections 44AD, 44ADA or 44AE. The key modifications include allowing taxpayers to report income from up to two house properties instead of one, adding a separate field for unrealised rent, and removing the requirement to report foreign retirement benefits, according to The Economic Times. Taxpayers must now provide the name and PAN of the political party when claiming deductions under Section 80GGC.

Additional changes include removing the earlier reporting requirement for relief under Section 89A, making the secondary address optional, and adding disclosure requirements for investments under the presumptive scheme, as per The Economic Times. Livemint reports that taxpayers who filed ITR-4 last year must recheck eligibility, as crossing the total income limit of Rs 50 lakh, holding unlisted shares, or starting speculative business can require switching to ITR-3. The deadline for filing non-audit ITRs (ITR-3, 4, 5 and 7) is August 31, 2026.