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Last Day to File ITR 2026: 5 Crore Taxpayers Have Filed Returns; CA Explains 4 Easy Filing Steps

Posted on 31st Jul 2026 10:27 am by rohit kumar

Today, July 31, 2026, is the final deadline for filing Income Tax Returns (ITR) for taxpayers who are not required to undergo a tax audit. According to available data, more than 5 crore taxpayers had already filed their returns by Thursday. Taxpayers who fail to file their returns by the deadline can still submit a belated ITR by December 31, 2026, but will have to pay a penalty and may lose several tax-related benefits.

 

 

The July 31 deadline applies to:

 

Salaried employees and pensioners filing ITR-1 or ITR-2.

Individuals earning income from capital gains, rental income, or multiple house properties who do not require a tax audit.

Taxpayers involved in specified high-value financial transactions, including:

Spending over ₹2 lakh on foreign travel.

Depositing more than ₹50 lakh in a savings bank account.

Paying annual electricity bills exceeding ₹1 lakh.

CA Explains 4 Easy Steps to File ITR

 

Chartered Accountant Anand Jain recommends following these four simple steps:

 

1. Keep Important Documents Ready

 

Before filing your return, arrange:

 

Form 16

Form 26AS

Annual Information Statement (AIS)

Bank statements

Interest certificates

Investment proofs (LIC, PPF, NSC, etc.)

Home loan and capital gains details

2. Select the Correct ITR Form

ITR-1: Salary, one house property, interest income, total income up to ₹50 lakh.

ITR-2: Salary, pension, multiple properties, or capital gains.

ITR-3: Business or professional income.

ITR-4: Presumptive taxation scheme.

3. File the Return Online

Log in to the Income Tax e-filing portal.

Select the appropriate ITR form.

Fill in your income and tax details.

Pay any remaining tax liability online before submitting.

4. Complete E-Verification

 

After filing, complete e-verification within 30 days using:

 

Aadhaar OTP

Net Banking

Demat account

 

Without verification, the return will not be treated as valid.

 

5 Major Consequences of Missing the ITR Deadline

₹5,000 Penalty

Income above ₹5 lakh: Penalty up to ₹5,000.

Income up to ₹5 lakh: Maximum penalty of ₹1,000.

Interest on Outstanding Tax

 

If tax remains unpaid, 1% monthly interest may be charged under Section 234A until payment is made.

 

Loss Carry Forward Not Allowed

 

Late filers generally cannot carry forward:

 

Capital losses

Business losses

Certain investment losses

 

to future assessment years.

 

Delay in Income Tax Refund

 

Refund claims submitted through belated returns usually take longer to process.

 

Impact on Loans and Visa Applications

 

Late ITR filing may negatively affect:

 

Bank loan approvals

Credit profile

Visa applications that require recent ITR records

Avoid Incorrect Claims

 

Tax experts caution taxpayers against claiming false deductions for investments, insurance premiums, home loans, or donations. The Income Tax Department now uses AI-based data analytics to verify return details, and incorrect information may result in notices or scrutiny.

 

No Official Announcement on Deadline Extension

 

As of July 31, 2026, neither the Central Board of Direct Taxes (CBDT) nor the Income Tax Department has announced any extension of the ITR filing deadline. Taxpayers should treat July 31 as the final due date and complete their filing without delay.

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