Answer

1. F

   Facts

   Selecting the correct ITR form is the most common source of defective return notices. Wrong form = return treated as invalid.

2. P

   Provisions and law

   • Sec 263(1) (old 139(1))
   • Rule 164 (old Rule 12)
   • Sec 263(7) (old 139(9))
3. A

   Analysis

   ITR-1 (Sahaj): Salary from one employer + FD interest + one house property. Income below ₹50L. Cannot have capital gains, business income, or foreign assets. ITR-2: Salary from multiple employers, capital gains (MF/shares/property), foreign income, more than one house property, director in company, unlisted shares. ITR-3: Business or profession income + any other income. Partnership firms also use ITR-3 equivalent. F&O traders must use ITR-3. ITR-4 (Sugam): Presumptive income under Sec 58, Income-tax Act 2025 (old Sec 44AD; business, ₹3Cr limit), Sec 58 (old Sec 44ADA; professionals, ₹75L limit), Sec 58 (old Sec 44AE; transport). Cannot have capital gains or foreign assets. ITR-5: Partnership firms, LLPs, AOPs, BOIs, not for individuals. ITR-6: Companies (not claiming 11/12 exemption). ITR-7: Trusts, political parties, research associations.

4. C

   Conclusion

   1. 1Identify ALL income sources for the year, salary, FD interest, MF redemptions, property sale, freelance
   2. 2Download AIS, check if any income shown that you did not know about
   3. 3Check if you are director in any company or hold unlisted shares (ITR-2 mandatory if yes)
   4. 4Check if F&O trading happened during year (ITR-3 mandatory)
   5. 5Check foreign assets or income (ITR-2 minimum)
   6. 6Select form based on HIGHEST complexity income type, not simplest

General guidance from TaxSavvy’s library of money processes. Laws change; your Savvy confirms the answer on your exact case before anything is filed.