ITR Deadline Extension: Why Waiting for an Income Tax Return Filing Extension Could Cost You More

Hoping for an Income Tax Return (ITR) deadline extension before filing your return? Tax experts warn that delaying your filing in anticipation of an extension can prove costly. It may lead to penalties, delayed refunds, data mismatch issues and unnecessary last-minute stress.

Many taxpayers wait until the final week before the due date, expecting the government to extend the ITR filing deadline. However, extensions have historically been granted only under exceptional circumstances, such as technical glitches on the Income Tax Department's e-filing portal or administrative reasons.

Why Waiting for an ITR Deadline Extension Is Risky

Tax professionals advise taxpayers to review their Annual Information Statement (AIS) and Form 26AS well before filing their returns. Waiting until the last moment may leave little time to resolve discrepancies in salary income, TDS, bank interest, capital gains or dividend entries. How To Register and Log In on the Income Tax Portal?

According to Adhil Shetty, CEO of BankBazaar, filing early gives taxpayers enough time to correct mismatches with banks or financial institutions, ensuring they receive eligible tax credits and avoid refund delays, reported NDTV.

Check AIS and Form 26AS Before Filing

Before submitting your ITR, verify that all income sources, including fixed deposit interest, salary TDS, mutual fund dividends and capital gains, are correctly reflected in AIS and Form 26AS. Any missing or incorrect entry should be rectified before filing to avoid future notices or delayed refunds.

Review Your Tax Regime Choice

Experts also recommend comparing the old and new tax regimes before filing. Your financial situation may have changed since the beginning of the financial year due to a home loan, investments under Section 80C or health insurance premiums under Section 80D. ITR Filing 2026: Check Your Income Tax Return Deadline and Penalty for Missing It.

While the new tax regime may benefit some taxpayers, others with significant deductions could save more under the old regime. Evaluating both options using your final income figures can help reduce your tax liability.

File Early to Avoid Penalties

Financial experts stress that filing your Income Tax Return well before the deadline helps avoid last-minute technical issues, gives time to correct data mismatches and ensures a smoother refund process. Rather than relying on a possible ITR deadline extension, taxpayers should complete their filing early for a hassle-free experience.

(The above story first appeared on LatestLY on Jul 24, 2026 09:05 AM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).