ITR-2 Filing Made Easier with Pre-Filled Online Option: Major Relief for Salaried Taxpayers and Investors

ITR-2 Filing Made Easier with Pre-Filled Online Option: Major Relief for Salaried Taxpayers and Investors India-employmentnews | 19/07/2025 12:15:02

In a significant update for income tax filers, the Income Tax Department has launched the online pre-filled ITR-2 form, simplifying the return filing process for thousands of taxpayers. This change eliminates the need for downloading and uploading cumbersome JSON files and brings a more user-friendly experience to those with complex income sources.

The move is especially beneficial for individuals earning from multiple sources like salary, rent, or capital gains from shares and property. Here’s everything you need to know about this major upgrade and who stands to benefit the most.

What’s New in ITR-2 Filing?

Until now, online filing with pre-filled data was only available for ITR-1 and ITR-4 forms.

Taxpayers filing under ITR-2 or ITR-3 had to rely on Excel utilities and generate JSON files, which were then uploaded to the e-filing portal—a tedious and technical process for many.

With the latest change, ITR-2 is now available in online mode with auto-populated data, directly on the Income Tax Department’s e-filing portal. This makes filing faster, easier, and more accessible—especially for individuals who previously depended on tax consultants or had to wait for updates in the utility tools.

Kind Attention Taxpayers!
Income Tax Return Form of ITR-2 is now enabled for filing through online mode with pre-filled data at the e-filing portal.
Visit: https://t.co/uv6KQUbXGv pic.twitter.com/u8EiumigEb

— Income Tax India (@IncomeTaxIndia) July 18, 2025

Who Should Use ITR-2?

The ITR-2 form is meant for individuals and Hindu Undivided Families (HUFs) who:

Earn salary or pension
Own more than one house property
Have capital gains from selling stocks, mutual funds, or real estate
Receive foreign income or own assets abroad

Importantly, ITR-2 is not for those with income from business or profession.

Such taxpayers are required to file ITR-3, which is still not available in pre-filled online mode and must be submitted through the JSON file method.

Why Is This Change Important?

This upgrade brings several advantages:

No more JSON file creation: A major technical barrier is removed.
Faster filing process: All key information such as TDS, salary, capital gains, and interest income is pre-filled.
Improved accuracy: Reduces the chances of manual entry errors.
Convenience: More taxpayers can file returns on their own, without relying on third-party services.

Delayed But Welcome Rollout

Normally, the Income Tax Department rolls out return filing utilities by April or May. However, this year saw an unusual delay of over 100 days in releasing the ITR-2 and ITR-3 utilities. Due to this, the government has extended the income tax return filing deadline from July 31 to September 15, 2025, offering taxpayers more time to adapt to the new changes.

What About ITR-3?

While ITR-2 can now be filed online with pre-filled data, ITR-3 still requires manual JSON upload. This form applies to:

Freelancers
Traders (stock or crypto)
Individuals with foreign assets
Those earning from a business or profession

The government is yet to announce when ITR-3 will also become available in an online pre-filled format.

Final Thoughts

This digital update to ITR-2 marks a big step forward in the Income Tax Department's efforts to simplify compliance and encourage self-filing. It’s especially helpful for salaried individuals and investors who have traditionally faced hurdles due to complex filing procedures.

Taxpayers are advised to log in to the official e-filing portal, verify their pre-filled details, and file their returns well before the extended September 15 deadline.