ITR Filing Deadline 2026: 4 Things Taxpayers Must Know Before Filing Income Tax Return by July 31

With July 31, 2026, being the last date to file Income Tax Returns (ITR) for Assessment Year (AY) 2026-27, taxpayers have only a few days left to complete the process. The Income Tax Department has urged eligible taxpayers to file their returns well before the deadline to avoid last-minute delays and heavy traffic on the e-filing portal.

As of July 21, only around 3.15 crore taxpayers had filed their returns out of more than 14 crore registered users.

Declare All Active Bank Accounts

This year, taxpayers are required to disclose details of all active bank accounts while filing their ITR. This includes savings accounts, current accounts, overdraft or credit facility accounts, and NRE/NRO accounts. Failure to declare an active bank account could attract a penalty of up to INR 10,000 per undeclared account, if detected by the Income Tax Department. ITR Deadline Extension: Why Waiting for an Income Tax Return Filing Extension Could Cost You More.

Pre-Validate Bank Account for Refund

Taxpayers expecting an income tax refund should ensure their bank account is pre-validated on the Income Tax e-filing portal. If the primary account faces technical issues, the refund can be credited to another validated account. Incomplete or unverified bank details may delay the refund process. Filing Business Income Under ITR-4? Know the Rules for Choosing and Switching Between Old and New Tax Regimes.

Late Filing Attracts Penalty

Those who miss the July 31 deadline can still file a belated return under Section 139(4) of the Income Tax Act, 1961. However, a late filing fee will apply. Taxpayers with annual income above INR 5 lakh may have to pay a penalty of up to INR 5,000, while those earning INR 5 lakh or less may be charged INR 1,000.

Old Income Tax Act Applies This Year

Although the Income Tax Act, 2025 came into force on April 1, 2026, the current ITR filing is for income earned between April 1, 2025, and March 31, 2026. Therefore, returns for AY 2026-27 will continue to be governed by the Income Tax Act, 1961, while the new law will apply to returns filed next year for income earned during FY 2026-27.

(The above story first appeared on LatestLY on Jul 25, 2026 12:29 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).