ITR 4 Filing Online for Small Businesses & Freelancers – A.Y. 2026-27

What is ITR 4 (Sugam) Filing?

ITR-4, also called Sugam, is the simplified income tax return form for resident individuals, HUFs, and partnership firms (other than LLPs) who earn business or professional income and opt for the presumptive taxation scheme under Sections 44AD, 44ADA or 44AE. Instead of maintaining detailed books of accounts and getting them audited, you declare a fixed percentage of your turnover or gross receipts as taxable income — making ITR-4 the fastest, simplest way for small businesses and freelancers to stay compliant.

For Assessment Year 2026-27 (covering income earned during Financial Year 2025-26), the presumptive scheme continues to offer 8% (6% for digital receipts) of turnover as income under Section 44AD for businesses, and 50% of gross receipts under Section 44ADA for professionals. Our Chartered Accountants check your eligibility, compute your presumptive income correctly, and handle the entire ITR-4 filing process end-to-end.

Who Should File ITR 4 for A.Y. 2026-27?

• Small shopkeepers, traders, and manufacturers with turnover up to ₹3 crore (₹2 crore if cash receipts exceed 5%) opting for Section 44AD
• Freelancers and professionals — consultants, designers, developers, doctors, lawyers, architects — with gross receipts up to ₹75 lakh (₹50 lakh if cash receipts exceed 5%) opting for Section 44ADA
• Owners of goods carriages/transport vehicles opting for presumptive income under Section 44AE
• Individuals with total income up to ₹50 lakh, including salary/pension, one house property, agricultural income up to ₹5,000, and other sources (excluding lottery/race horse winnings)
• Taxpayers with long-term capital gains under Section 112A not exceeding ₹1.25 lakh

ITR-4 cannot be used if you have capital gains beyond the 112A limit, foreign income/assets, more than one house property, are a director in a company, or hold unlisted equity shares — such cases require ITR-2 or ITR-3.

ITR 4 Due Date for A.Y. 2026-27

The Finance Act, 2026 amended Section 139(1) to introduce a staggered due date structure for A.Y. 2026-27 — this is a permanent statutory change, not a one-off CBDT extension. Under the revised structure, ITR-4 filers not liable for tax audit now get until 31st August 2026, a full month more than the 31st July deadline that applies to ITR-1 and ITR-2 filers.

*Statutory due dates as per the Income Tax Act, 1961 (as amended by the Finance Act, 2026). Please confirm on the official Income Tax e-filing portal for any further CBDT clarifications.

Why Choose Setupfiling.in for ITR 4 Filing?

Setupfiling.in is an India-based online professional business services platform founded by experienced Chartered Accountants, Company Secretaries, and Trademark Attorneys with over 15 years of combined expertise. We have assisted 50,000+ customers, including 12,000+ entrepreneurs, freelancers, startups, and small businesses, with company registration, GST registration, trademark filing, FSSAI licensing, and Income Tax Return Filing.

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