New Delhi, August 2: The deadline for filing Income Tax Returns (ITR) on July 31 has now passed, with a significant number of taxpayers submitting their returns on the final day. However, not every taxpayer was bound by this deadline. According to the Income Tax Department, the last date for filing ITR depends on the source of the taxpayer’s income and the specific ITR form they need to fill out.
The department reported that over 5.9 crore ITRs were filed for the assessment year (AY) 2026-27 by July 31. More than 40 lakh returns were submitted on the last day alone. The department expressed gratitude to taxpayers for their timely compliance on the social media platform ‘X’, stating that their cooperation accelerates the country’s economic progress.
It is important to note that the July 31 deadline primarily applied to salaried employees, pensioners, and individuals whose income comes from sources such as salary, house property, interest, or capital gains. These taxpayers typically file their returns under ITR-1 or ITR-2 forms. Timely filing helps avoid penalties and expedites the refund process.
Conversely, individuals whose income is derived from business or profession and who are not required to undergo a tax audit have until August 31 to file their returns. This category includes freelancers, consultants, small business owners, and many professionals who generally fill out ITR-3 or ITR-4 forms.
For taxpayers whose accounts are subject to a mandatory tax audit, the deadline for filing ITR is set for October 31. Such taxpayers need not worry about the July 31 deadline.
The easiest way to determine the correct filing deadline is to understand the source of your income. If your income is solely from salary, pension, interest, rent, or capital gains, the July 31 deadline typically applies. If your income comes from business or profession, your deadline may be August 31 or October 31. Therefore, it is essential to confirm which deadline applies to you before filing.
Generally, if an individual’s taxable income exceeds the basic exemption limit, filing an ITR becomes mandatory. Under the new tax regime, there is no tax on income up to ₹4 lakh. In the old tax regime, the exemption limits are ₹2.5 lakh for individuals under 60, ₹3 lakh for senior citizens aged 60 to 79, and ₹5 lakh for super senior citizens aged 80 and above.
However, in some cases, filing an ITR is mandatory even if the income is below the exemption limit. If a resident Indian owns property abroad, is a beneficiary of foreign assets, has signing authority on a foreign bank account, or holds any financial interest abroad, they must file an ITR.
Additionally, if an individual has engaged in high-value financial transactions during the financial year or if their total income exceeds the basic exemption limit before claiming deductions and exemptions (such as under sections 80C to 80U or section 54), filing an ITR is also required.
According to the Income Tax Department’s data, over 5.9 crore ITRs have been filed for the assessment year 2026-27 by July 31. The fact that more than 40 lakh taxpayers filed their returns on the last day indicates that many waited until the last moment. The department has urged taxpayers to file their returns on time and comply with tax regulations to avoid unnecessary penalties and interest.
Leave a Comment