‘Don’t wait for last-minute rush': All you need to know as ITR filing deadline ends tomorrow

The deadline to file the income tax returns (ITR) for Assessment Year (AY) 2026-27, July 31, is nearing as people rush to complete the process. So far, over 5 crore ITRs have already been filed. Out of these, over 30 lakh ITRs were filed on Wednesday, July 29, alone.ITR Form 1, also called Sahaj, is a simpler forms that cater to a large number of small and medium taxpayers. (Representational image)The income tax department requested taxpayers to filed their income tax return before the deadline and to not wait for the last minute rush.“Don't wait for the last-minute rush. Reconcile and file your ITR-1 or ITR-2 for AY 2026-27 today!” it said in a post on X on Wednesday night.So far, no extension in ITR filing deadline has been announced by the income tax department. Delay in filing ITR on time may lead to a fine.Also read: Afraid you’ll miss tax deadline? Don’t beWhat is ITR-1 and ITR-2?ITR Form 1, also called Sahaj, is a simpler forms that cater to a large number of small and medium taxpayers.Sahaj can be filed by resident individuals with an annual income of up to ₹50 lakh who earn income from salary, own one house property, and have agricultural income not exceeding ₹5,000 a year.Whereas, ITR-2 is meant for individuals and Hindu Undivided Families (HUFs) who do not have income from business or profession but earn income from capital gains.Also read: ITR deadline nears: Step-by-step guide to file return, avoid ₹5,000 penaltyCommon mistakes that taxpayers need to avoid:-Selecting the wrong ITR form.-Failing to report interest income.-Ignoring capital gains.-Claiming incorrect deductions.-Entering incorrect bank account details.-Forgetting to e-verify the return.An income tax return is treated as incomplete if it is not e-verified after filing.Missing ITR deadline may lead to a fineTaxpayers who miss the July 31 deadline can still file their income tax return, but doing so may attract penalties and interests including —-A late filing fee of ₹5,000 under Section 234F.-Interest on any unpaid tax under Section 234A, where applicable.-Delayed processing of tax refunds.-Loss of the ability to carry forward certain losses, subject to the provisions of the Income Tax Act, 1961.Step-by-step guide to file ITRTaxpayers should keep the following documents and information ready before filing their income tax return (ITR):-Form 16/16A, containing details of salary income and tax deducted at source (TDS) by your employer or bank.-Form 26AS and the Annual Information Statement (AIS), which provide details of tax credits and financial transactions.-Other financial documents, such as bank statements, salary slips, and investment proofs, as applicable.After gathering the documents, taxpayers need to:📌Go to the Income Tax e-Filing Portal and log in using their user ID (PAN) and password.📌Go to e-File, then select Income Tax Returns and choose File Income Tax Return.📌Choose the right Assessment Year and select your filing mode as 'Online'📌Pick from ITR-1 and ITR-2 bases on their income sources.