Who Must File ITR for Assessment Year 2026-27?
Filing an income tax return is mandatory in several situations, even if no tax is ultimately payable. For Assessment Year 2026-27, the following persons are required to file an income tax return:
1. Mandatory for All
- Company
- LLP
- Partnership Firm
- ITR filing is mandatory irrespective of profit, loss, or business activity.
2. Individuals – Income Exceeds Basic Exemption Limit
Old Tax Regime
- Below 60 years: INR 2.5 lakh
- Senior Citizen (60-79 years): INR 3 lakh
- Super Senior Citizen (80 years & above): INR 5 lakh
New Tax Regime: INR 4 lakh for all individuals
Income is considered before Chapter VI-A deductions such as section 80C, 80D, etc.
3. Mandatory Filing Even if Income is Below Exemption Limit
ITR filing is mandatory if any of the following conditions are satisfied:
- Current account deposits exceed INR 1 crore
- Savings account deposits are INR 50 lakh or more
- Foreign travel expenditure exceeds INR 2 lakh
- Electricity expenditure exceeds INR 1 lakh
- Business turnover exceeds INR 60 lakh
- Professional receipts exceed INR 10 lakh
- Aggregate TDS/TCS is INR 25,000 or more (INR 50,000 for senior citizens)
- Resident owns foreign assets or has financial interest abroad
- Resident has signing authority in a foreign account
4. Senior Citizens Exempt from Filing (Specified Cases)
A resident individual aged 75 years or more may not be required to file an ITR if all the following conditions are satisfied:
-
- Income consists only of pension and interest.
- Interest is received from the same specified bank where the pension is received.
- The declaration is submitted to the bank in Form 12BBA
5. Filing ITR Is Highly Recommended Even If Not Mandatory
Consider filing your ITR if:
- Claiming a tax-deducted-at-source refund
- Carrying forward capital loss or business loss
- Applying for loans or visas
- AIS reflects high-value transactions
- Creating a consistent financial record
Taxpayers must file an ITR for assessment year 2026-27 if:
- Income exceeds the applicable exemption limit
- Assessees are a company, limited liability partnership, or partnership firm.
- Taxpayer undertake specified high-value transactions
- You own foreign assets or foreign financial interests
- Taxpayer are otherwise covered u/s 139(1) filing requirements
- Even when not mandatory, filing an income tax return is advisable for refunds, loss c/f, and financial documentation.
Documents Required for ITR Filing for FY 2025-26 (Assessment Year 2026-27)
Before filing your Income Tax Return (ITR), keep the following documents ready to ensure accurate reporting and smooth processing:
- PAN, Aadhaar & Bank Account Details: PAN Card, Aadhaar Card (linked with PAN), Active bank account details (account number, IFSC code), Details of bank accounts held during the financial year
- Bank Statements: Complete bank statements for the period 1 April 2025 to 31 March 2026, savings account statements, and current account statements (if applicable). These help identify interest income and high-value transactions and reconcile receipts and payments.
- Salary & TDS Documents: Form 16 (for salaried taxpayers), Form 16A (for non-salary TDS such as interest, professional fees, commission, etc.), Salary slips (if required)
- Tax Credit Documents: Form 26AS, Annual Information Statement, Taxpayer Information Summary. These should be reviewed to ensure all income and TDS entries are correctly reported in the return.
- Business & Professional Records: For taxpayers having business or professional income: Profit & Loss Account, Balance Sheet, Cash Book and Ledger (where maintained), Details of debtors, creditors, inventory, and fixed assets
- Capital Gains Documents: If you sold any asset during the year, Share trading statement, mutual fund capital gains statement, property sale and purchase documents, and bond or security transaction details. These are required for accurate computation of short-term and long-term capital gains.
- Audit Report (If Applicable): Where a tax audit is applicable: Tax Audit Report in Form 3CA/3CB, Statement of particulars in Form 3CD
- Proof of Deductions & Exemptions (Old Tax Regime) : If opting for the Old Tax Regime, keep life insurance premium receipts, PPF contribution details, ELSS investment proofs, , Tuition fee receipts, Home loan interest certificates, Medical insurance premium receipts (Section 80D), Donations (Section 80G) and NPS contribution details
- Other Income Documents: Interest certificates from banks and post offices, Dividend statements, Rental income details, Pension statements, Family pension details
- Foreign Asset & Foreign Income Details (if applicable): Foreign bank account details, Foreign stock or ESOP statements, Overseas income documents, Foreign tax payment details
Consequences of Non-Filing
- Late Filing Fee (Section 234F) : INR 5,000 generally and INR 1,000 if total income does not exceed INR 5 lakh
- Interest (Section 234A) : Interest on unpaid tax liability
- Loss of Benefits: Certain losses cannot be carried forward. and delay in claiming refunds.
- Updated Return: Additional tax may apply while filing an updated return (ITR-U).
- Additional tax in an updated return (ITR-U).
- Prosecution in cases of wilful non-filing u/s 276CC in serious cases
Prosecution for Wilful Non-Filing (Section 276CC)
Where there is willful failure to file ITR:
| Tax sought to be evaded | Punishment |
| Exceeds INR 25 lakh | Rigorous imprisonment 6 months to 7 years + fine |
| Up to INR 25 lakh | Imprisonment 3 months to 2 years + fine |
No prosecution where specified exceptions apply, including cases where tax payable after TDS/advance tax does not exceed INR 10,000 (subject to conditions).
Income Tax Returns Filing Deadlines for Financial Year 2025-26 (Assessment Year 2026-27)
The Central Board of Direct Taxes has provided different due dates for filing income tax returns based on the category of taxpayer and applicability of audit requirements. For Assessment Year 2026-27, taxpayers should note the following deadlines:
| Taxpayer Category | ITR Form | Due Date |
| Salaried Individuals, Pensioners, Hindu undivided families, and other non-audit cases | ITR-1, ITR-2 | 31 July 2026 |
| Business taxpayers and professionals not requiring audit | ITR-3, ITR-4 | 31 August 2026 |
| Companies and taxpayers requiring tax audit | ITR-3, ITR-5, ITR-6 | 31 October 2026 |
| Transfer Pricing cases | ITR-3, ITR-6 | 30 November 2026 |
| Belated Income Tax Return (if original due date is missed) | All ITR Forms | 31 December 2026 |
| Revised Income tax Return | All ITR Forms | 31 March 2027 |
Although the Income Tax Act, 2025, came into effect from 1 April 2026, the return being filed in Assessment Year 2026-27 relates to income earned during Financial Year 2025-26 (1 April 2025 to 31 March 2026). Therefore, the provisions of the Income Tax Act, 1961, continue to govern the computation of income, deductions, exemptions, tax liability, and return filing requirements for Assessment Year 2026-27
Quick Checklist for Documents Required for ITR Filing for Financial Year 2025-26
- PAN & Aadhaar linked
- Bank account details
- Form 26AS, Annual Information Statement & Taxpayer Information Summary
- Bank statements (Financial Year 2025-26)
- Form 16 / Form 16A
- Capital gains statement
- Business P&L and Balance Sheet
- Tax audit report (if applicable)
- Deduction proofs (Old Regime)
- Foreign asset details (if applicable)
Having these documents ready before starting the return filing process helps avoid Annual Information Statement mismatches, notices, incorrect tax calculations, and delays in processing refunds.