New Delhi: The Income Tax Department has enabled ITR-1 and ITR-4 filing utilities for Assessment Year 2026-27. While many taxpayers may rush to file returns early, experts believe waiting until mid-June
could help avoid mistakes and tax notices later.
This is because several important tax details may still not be fully updated in the system.
Salary And TDS Data May Be Incomplete
Employers are required to file March-quarter salary TDS returns in Form 24Q by May 31, 2026.
Many companies submit these details close to the deadline. Until the filings are processed, salary income and TDS credits may not appear completely in AIS or Form 26AS.
Taxpayers filing too early may use incomplete data in their returns.
Interest And Dividend Details May Arrive Later
TDS information related to bank interest, dividends, freelance income and professional payments is also updated after deductors file Form 26Q.
Banks and financial institutions usually complete these filings by the end of May.
Until then, many taxpayers may not see full TDS credit details in their records.
Form 16 Will Be Issued In June
Form 16 and Form 16A are among the most important documents for income tax filing.
Employers are required to issue Form 16 by June 15, 2026.
These documents help taxpayers verify salary income, deductions and tax paid before filing returns.
AIS May Still Change
Annual Information Statement (AIS) is updated not only through TDS filings but also through Statement of Financial Transactions (SFT).
This includes details related to mutual funds, property purchases, stock market trades, large deposits and credit card payments.
Some of these entries may appear only after May-end.
Filing Too Early Can Create Problems
Experts warn that filing returns with incomplete information can lead to mismatch notices, refund delays and tax demands.
In some cases, taxpayers may even need to file revised returns later.
Accurate Filing Is More Important
The Income Tax Department now relies heavily on automated verification systems and third-party reporting.
Taxpayers should properly match AIS, Form 26AS, Form 16 and pre-filled ITR details before submitting returns.
Experts say waiting a few extra weeks may help ensure smoother and error-free tax filing.
