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Income Tax Return · AY 2026-27 · Since 2017

Filed correctly, under the regime that suits you.

ITR-1 through ITR-7 for salaried individuals, business owners, freelancers, companies and NRIs — with both regimes modelled against your actual numbers before we choose, and the return reconciled to Form 26AS and the AIS before it goes in.

Salaried · Business & profession · Capital gains · NRI · Companies & firms · Notices & rectification
AY 2026-27 datesVerified 03 Aug 2026
Due dates for FY 2025-26
ITR-1 & ITR-2 — salaried, non-audit31 Jul 2026
ITR-3 & ITR-4 — non-audit business31 Aug 2026
Audit cases31 Oct 2026
Belated return31 Dec 2026

Non-audit business and professional filers get a full extra month for the first time this year. Verified as on 03 Aug 2026 — always check for a CBDT extension before relying on a date.

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Do you have to file

Income is only one of the triggers.

The basic exemption limit is ₹4 lakh under the new regime and ₹2.5 lakh under the old. But several categories must file regardless of income.

Threshold

Income above the exemption limit

Gross total income above ₹4 lakh under the default new regime, or ₹2.5 lakh if you opt for the old one.

Always

Companies, LLPs and firms

Mandatory every year regardless of profit, loss or whether the entity traded at all.

Always

Foreign assets or foreign income

Holding assets abroad, or signing authority over a foreign account, makes filing compulsory even below the threshold.

To preserve

Carrying losses forward

Business and capital losses can only be carried forward if the return is filed by the due date. Miss it and the loss is gone.

To recover

Tax was deducted at source

If TDS exceeds your actual liability, a return is the only route to the refund — and it is worth filing even below the threshold.

High value

Specified transactions

Large cash deposits, high electricity spend, substantial foreign travel and similar reported transactions bring a filing obligation with them.

The numbers for FY 2025-26

Slabs, rebate and the capital gains rates.

New regime — default under Section 115BAC
Taxable incomeRate
Up to ₹4,00,000Nil
₹4,00,001 – ₹8,00,0005%
₹8,00,001 – ₹12,00,00010%
₹12,00,001 – ₹16,00,00015%
₹16,00,001 – ₹20,00,00020%
₹20,00,001 – ₹24,00,00025%
Above ₹24,00,00030%
Rebate, deduction and capital gains
ItemPosition for FY 2025-26
Section 87A rebate — new regimeUp to ₹60,000; tax nil where taxable income is up to ₹12,00,000
Section 87A rebate — old regimeUp to ₹12,500; taxable income up to ₹5,00,000
Standard deduction — salaried & pensioners₹75,000 under the new regime
Effectively tax-free — salaried, new regime₹12,75,000
LTCG on listed equity — Section 112A12.5% on gains above ₹1,25,000, no indexation
STCG on listed equity — Section 111A20%, with no threshold exemption
Rebate on capital gainsSection 87A does not apply to income taxed under 111A or 112A
Surcharge cap on 111A / 112A gains15%
Health & education cess4% on tax plus surcharge
Late filing fee — Section 234F₹5,000; ₹1,000 where total income is up to ₹5,00,000

The 112A rate changed from 10% to 12.5% and the exemption from ₹1 lakh to ₹1.25 lakh, and 111A from 15% to 20%, for transfers on or after 23 July 2024 under the Finance (No. 2) Act 2024. Shares acquired before 1 February 2018 keep the grandfathering benefit. Verified against the Income Tax Act 1961 as on 03 Aug 2026.

Which form applies

The wrong form makes the return defective.

Filing ITR-1 when you had capital gains, unlisted shares or a directorship is the single most common cause of a notice under Section 139(9).

ITR-1 · Sahaj

Straightforward salary

Resident individuals with salary, one house property and other sources, within the prescribed income limit. One Form 16, standard deduction, savings interest.

ITR-2

Salary plus investments

Individuals and HUFs with capital gains, more than one house property, foreign income or assets, or filing as a non-resident. No business income.

ITR-3

Business & profession

Individuals and HUFs with business or professional income maintaining regular books, including partners in firms.

ITR-4 · Sugam

Presumptive taxation

Businesses and professionals under Sections 44AD, 44ADA and 44AE, within the prescribed turnover limits.

ITR-5

Firms and LLPs

Partnership firms, LLPs, AOPs and BOIs — with the partner-level position handled alongside.

ITR-6 & ITR-7

Companies and trusts

Companies other than those claiming exemption under Section 11, and trusts, institutions and political parties. Computation, depreciation and audit support alongside.

A return is legally filed only after e-verification, which has to happen within 30 days of submission. Skipping it makes the return invalid — as though it was never filed.

Old regime or new

There is no general answer. There is only your answer.

The new regime is the default, and for most people with few deductions it wins outright — the ₹60,000 rebate takes tax to nil up to ₹12 lakh of taxable income, ₹12.75 lakh for a salaried person after the standard deduction. But somebody paying substantial rent, a home loan and full 80C can still be better off under the old one. We model both against your actual figures rather than quoting a rule of thumb. One caution: if you have business or professional income and want the old regime, Form 10-IEA has to be filed on or before the due date — and switching back later is permitted only once in a lifetime.

Both regimes modelledForm 10-IEA where neededRebate applied correctly Reconciled to 26AS & AISE-verified within 30 days
How we file

Five steps, and you approve before submission.

01

Documents

Form 16, bank and broker statements, capital gains reports, rent and loan details, investment proofs — a checklist built for your situation.

02

Computation

Income assembled under every head, deductions applied, and both regimes compared side by side on your real numbers.

03

Reconcile

Matched against Form 26AS and the AIS, so the department's view and your return agree before you file rather than after a query.

04

Your approval

The computation is explained to you in plain language. Nothing is submitted until you have seen the number and agreed with it.

05

File, verify, follow up

Filed on the portal, e-verified within the window, and the refund tracked until it lands.

Missed the date

What is still possible after the deadline.

Belated

Until 31 December 2026

A belated return can still be filed, with a late fee of ₹5,000 under Section 234F — ₹1,000 where total income is up to ₹5 lakh — plus interest on any tax outstanding.

Lost

Loss carry-forward goes

File late and business and capital losses generally cannot be carried forward. For a loss year, this usually costs far more than the late fee.

Regime locked

The old regime closes

Filing late with business or professional income means the old regime is no longer available for that year. The default stands.

Refunds

Delayed, not denied

A refund can still be claimed in a belated return — it simply takes longer, and interest on the refund may be affected by the delay.

From TaxKitab Books

The Salaried Tax Guide for India

New regime versus old decided with real numbers, the deductions salaried employees routinely miss, capital gains, ESOPs and RSUs, and reading Form 16 against 26AS and the AIS.

See the guide →
FAQ

What people ask every July.

What is the last date to file for FY 2025-26?

31 July 2026 for salaried and other non-audit ITR-1 and ITR-2 filers, and 31 August 2026 for non-audit business and professional filers on ITR-3 or ITR-4 — a full extra month, new this year. Audit cases run to 31 October 2026 and transfer pricing cases to 30 November 2026.

How is long-term capital gain on shares taxed now?

Under Section 112A, at 12.5% on gains above ₹1.25 lakh in the year, with no indexation. The rate rose from 10% and the exemption from ₹1 lakh for transfers on or after 23 July 2024. Short-term gains under Section 111A are taxed at 20%, with no threshold exemption at all.

Does the ₹12 lakh rebate apply to my capital gains?

No. The Section 87A rebate applies to income taxed at normal slab rates. Capital gains taxed under Sections 111A and 112A are outside it — a point that surprises a lot of people whose salary alone would have been tax-free.

Which regime should I choose?

It depends entirely on what you actually claim. With few deductions the new regime usually wins; with substantial rent, home loan interest and full 80C the old one can still be better. We compute both before choosing rather than assuming.

I have business income and want the old regime. What do I do?

File Form 10-IEA on or before your due date. And be deliberate about it — once you switch back to the new regime, you can return to the old one only once in your lifetime.

I filed but never verified. Is that a problem?

Yes. A return is legally filed only on e-verification, which must happen within 30 days of submission. An unverified return is treated as never having been filed, with all the consequences that follow.

Related reading

Before you file.

Related: tax audit · TDS returns · NRI services · compliance calendar.

Get started

Tell us about your income.

Salary, business, capital gains or all three — share the shape of it and we'll tell you which form applies. Prefer to talk now? WhatsApp or call us directly.

We reply within a few hours, Mon–Sat. No spam, ever.

One message to start

Deadline approaching?

Tell us your income sources and whether you have capital gains. We'll confirm which form applies, model both regimes and give you the number before anything is filed.

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