Possessive Pronouns – It’s or its ?

IT’S  ⇒  The contracted form of « it is » or « it has »

Examples
It’s nearly the end of the year.
I love my house ; it’s beautiful !

ITS  ⇒  Is the possessive form for « it »

Examples
I am reading a great book at the moment ; its title is ‘Free as a Bird’.
You need to improve your painting. Its design is great, but the colours are not appropriate.