Presumptive Tax Filers Must Disclose Investments In ITR-4 Sugam

 

 

1.  Small businesses and professionals filing under the presumptive tax scheme face a new disclosure requirement for FY 25-26. They must now reveal their investment details in the income tax return.

2.  This applies to taxpayers opting for Section 44AD (business), Section 44ADA (profession) and Section 44AE (transporters).

3.  A new column has been introduced in ITR-4 under the head ‘Financial Particulars of the Business’, requiring disclosure of the amount of investments made by the assessee up to 31st March, 2026.

4.  This marks an additional reporting requirement for taxpayers opting for the presumptive taxation scheme, where otherwise detailed financial disclosures are minimal.

5.  The investment declaration will allow authorities to compare declared income with investment patterns and flag cases where spending or asset creation appears disproportionate to reported earnings.