ITR-2 is for individuals and Hindu undivided families who do not have income from business or profession but cannot use ITR-1. Typical reasons are capital gains, more than one house property, foreign income or assets, lottery or racehorse income, or being a director or an unlisted-share holder.
Who this is for
- Salaried investors with capital gains
- People who sold a property
- Residents with foreign assets that must be disclosed
Documents usually needed
- Form 16, 26AS and AIS
- Broker capital-gains statement or contract notes
- Property sale deed, purchase cost and improvement bills
- Foreign asset details, if any
How Digital Filings handles it
- Classify each gain as short-term or long-term under the rules for that asset.
- Apply exemptions you actually qualify for, with the evidence.
- File ITR-2 and walk you through e-verification.
Timeline
A single broker statement is usually a 2 to 4 day job. A property sale with indexation and an exemption claim takes longer because the deed and cost evidence have to be read.
Questions people ask
Will you tell me if ITR-1 was enough?
Yes. If your facts fit ITR-1 we will say so before filing a heavier form.
Official reference: Income tax portal. Always confirm the live rule on that portal.