Deadlines and Penalties
For most individual taxpayers, including salaried employees, the due date to file their ITR for the Assessment Year (AY) 2026-27 is July 31, 2026. As of late July, the government has not announced any extension, so it's crucial to stick to this date.
Missing the deadline has consequences. You can file a belated return until December 31, 2026, but it comes with a penalty. A late filing fee of ₹5,000 is levied under Section 234F, which is reduced to ₹1,000 if your total income is below ₹5 lakh. Additionally, if you have unpaid taxes, an interest of 1% per month is charged from the original due date until you file. You also lose the ability to carry forward certain losses to future years.
Your Document Checklist
Preparation is key to a hassle-free filing experience. Before you log in to the tax portal, gather these essential documents: PAN and Aadhaar Card: Your PAN is your primary tax identifier, and it must be linked to your Aadhaar. This linkage is mandatory for filing and enables easy e-verification via OTP. Form 16: For salaried individuals, this is your TDS certificate from your employer, detailing your salary, deductions, and taxes paid. Bank Account Details: You must disclose all active bank accounts. Ensure the primary account, where you'll receive any refund, is pre-validated on the portal. Investment Proofs: If using the old tax regime, keep receipts for deductions under Sections 80C (like PPF, ELSS, life insurance) and 80D (health insurance). Capital Gains Statements: If you sold stocks or mutual funds, you'll need the capital gains statements from your broker or platforms like CAMS and KFintech. Other Income Proofs: Collect interest certificates for savings accounts and fixed deposits, dividend statements, and records of any rental income.
Choosing the Correct ITR Form
Using the wrong ITR form can lead to your return being marked as defective. Here's a simplified breakdown for individuals: ITR-1 (Sahaj): This is for resident individuals with a total income up to ₹50 lakh from salary, one house property, and other sources like interest. Agricultural income must be under ₹5,000. For AY 2026-27, it can also be used for long-term capital gains from listed equities up to ₹1.25 lakh. ITR-2: File this if you don't have business income but are ineligible for ITR-1. This applies if your income is over ₹50 lakh, you have capital gains (beyond the ITR-1 limit), own more than one house property, or have foreign income or assets. ITR-3: This form is for individuals and Hindu Undivided Families (HUFs) who have income from a business or profession. ITR-4 (Sugam): This is for those who opt for the presumptive taxation scheme under sections 44AD, 44ADA, or 44AE, with total income up to ₹50 lakh.
Reconciling Form 26AS and AIS
Before filing, you must check two critical documents on the tax portal: Form 26AS and the Annual Information Statement (AIS). Think of them as the tax department's record of your financial year. Form 26AS is your tax credit statement. It shows all the tax deducted at source (TDS) and tax collected at source (TCS) against your PAN, along with advance tax or self-assessment tax you've paid. Use this to confirm that the tax credits you are claiming have been properly deposited. AIS is much more comprehensive. It includes everything in Form 26AS plus details of savings interest, dividends, securities transactions, property sales, and foreign remittances. The portal also provides a Taxpayer Information Summary (TIS), which is a simplified view of your AIS data. Mismatches between what you report and what's in your AIS are a primary trigger for tax notices, so reconciling this data is non-negotiable.
A Step-by-Step Filing Guide
Once your documents are ready, you can file your return online through the e-filing portal. 1. Login: Go to the official Income Tax e-filing portal and log in using your PAN and password. 2. Start Filing: Navigate to 'e-File' > 'Income Tax Returns' > 'File Income Tax Return'. 3. Select AY and Mode: Choose the Assessment Year as 2026-27 and the mode of filing as 'Online'. 4. Choose ITR Form: Select your status (e.g., 'Individual') and then choose the correct ITR form based on your income sources. 5. Validate Pre-filled Data: The portal will pre-fill a lot of your personal details and income information from your AIS and Form 16. Carefully review and validate every field. Add any income that might be missing, like interest from a bank account not linked to PAN. 6. Claim Deductions: Enter details of all the deductions you are eligible for, especially if you have opted for the old tax regime. 7. Pay Tax (if any): If there is tax due after all calculations, pay it online through the portal's payment gateway. 8. Submit and Verify: After a final review, submit your return. The process is not complete until you e-verify it.
The Final Step: E-Verification
Your ITR is considered invalid if it is not verified. You have 30 days from the date of filing to complete the verification. The easiest way is e-verification, which can be done through several methods: Aadhaar OTP: The most common method. An OTP is sent to the mobile number registered with your Aadhaar. Net Banking: Log into your internet banking portal and find the option to e-verify your tax return. * Bank or Demat Account: You can generate an Electronic Verification Code (EVC) through your pre-validated bank or demat account. Once verified, you will receive a confirmation, and the process is complete. You can then download the acknowledgement (ITR-V) for your records.
