ITR-4, also known as Sugam, is an Income Tax Return form designed for individuals, Hindu Undivided Families (HUFs), and firms opting for the presumptive taxation scheme under Sections 44AD, 44ADA, or 44AE of the Income Tax Act, 1961. It is applicable to taxpayers with business or professional income up to ₹2 crore (for business) or ₹50 lakh (for professionals) who wish to declare income on a presumptive basis without maintaining detailed books of accounts. Filing ITR-4 ensures compliance with the Income Tax Act, facilitates correct reporting of income, and enables claiming deductions under eligible sections such as 80C, 80D, and 80G. Taxpayers must calculate presumptive income based on prescribed percentages of turnover or gross receipts and pay taxes accordingly. The form must be filed online through the Income Tax Department portal, with verification via Aadhaar OTP, net banking, or submitting a signed ITR-V. Timely filing prevents penalties, ensures statutory compliance, and allows taxpayers to claim refunds or carry forward losses if applicable. Professional guidance is recommended for accurate computation, selection of presumptive scheme, and proper filing to avoid errors and notices.