With the July 31, 2026 deadline for filing ITR-1 and ITR-2 approaching, the Income Tax Department has urged taxpayers to submit their returns early rather than wait for the final day. The advisory is aimed at reducing filing errors, portal-related difficulties, and stress caused by incomplete financial records.
In a post on X, the department said, “'I'll Do It Tomorrow' often turns into deadline-day panic. Don't wait for July 31, 2026 to file your ITR-1 & ITR-2 for AY 2026-27. Reconcile your documents and file ITR-1 & ITR-2 for AY 2026-27 today!”
Before submitting their returns, taxpayers should compare the information reported in Form 16, the Annual Information Statement, Form 26AS, bank statements and other income documents. Any mismatch involving salary, interest income, capital gains or tax deducted at source could result in errors, delayed refunds or additional queries.
The July 31 deadline applies mainly to taxpayers who are not required to undergo a tax audit, including many salaried employees, pensioners and other individuals filing ITR-1 or ITR-2.
ITR-1 is generally available to eligible resident individuals earning up to Rs. 50 lakh from specified sources such as salary, pension, two house properties, limited agricultural income and certain interest income. ITR-2 applies to taxpayers with more complex financial profiles, including capital gains, foreign assets, unlisted shares or income above Rs. 50 lakh.
Eligible non-audit business and professional taxpayers filing ITR-3 or ITR-4 have until August 31, 2026.
According to Income Tax Department data, more than 4.3 crore returns had been filed, while nearly 4.1 crore had been verified. Another update placed total filings above 4.5 crore as of July 27. Nearly 2.4 crore returns had already been processed.
Tax experts have cautioned taxpayers against assuming that the deadline will be extended. Last year, technical problems led to the deadline being moved from July 31 to September 15 and subsequently to September 16, but similar relief may not be announced this year.
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According to data shared in Parliament, 576 individuals reported gross total income of Rs. 100 crore or more in Assessment Year 2025-26. This represents a 4-fold increase from 142 such taxpayers in AY 2021-22.
Minister of State for Finance Pankaj Chaudhary also clarified that there is no statutory definition of “billionaire” under the relevant income-tax laws. The number of individuals reporting income above Rs. 100 crore rose from 301 in AY 2022-23 to 415 in AY 2024-25 before reaching 576.