The Income Tax department has notified all income tax return (ITR) forms for the assessment year 2026-27 (AY27 or FY26). According to reports from Mint, ITR forms 2, 3, 5, 6 and 7, as well as ITR-U (for updated returns), were notified on 12 May, while ITR forms 1-4 were notified on 30 March. This comprehensive notification ensures taxpayers have access to all required forms for the upcoming filing season.
Eligible taxpayers can now visit the official portal to download, fill, and upload their ITR forms online. As reported by Mint, the process involves visiting the Income Tax e-Filing portal at incometax.gov.in/iec/foportal/, logging in using PAN, password, and captcha code, navigating to 'e-File' menu and selecting 'Income Tax Return', choosing the appropriate ITR form, selecting Assessment Year 2023-24, validating all entered data, and submitting the return. After submission, taxpayers must e-verify their return using Aadhaar OTP or other available options. The latest reports indicate that taxpayers can now generate a JSON file and upload it online after proper verification and cross-checking of details.
According to tax experts, the distinction between ITR-1 and ITR-4 requires careful consideration of income nature rather than just total income. ITR-1, also known as Sahaj, is meant largely for resident salaried individuals and pensioners with relatively simple income structures. As reported by Business Standard, Pranav Sai S from ClearTax explains that ITR-1 should ideally be used by resident individuals whose income is limited to salary or pension, one or up to two house properties, and other sources such as interest or family pension. On the other hand, ITR-4, or Sugam, is meant for resident individuals, Hindu Undivided Families and firms other than LLPs that opt for presumptive taxation under Sections 44AD, 44ADA or 44AE. Sudhir Kaushik from Taxspanner notes that salary or pension income generally fits ITR-1, while business, professional, consulting, content creator, commission or side-income under presumptive taxation generally fits ITR-4.
Tax experts have identified several common mistakes that can result in defective returns and departmental notices. According to Business Standard, the most common error is salaried taxpayers ignoring freelance or side-business income while choosing ITR-1. Kaushik pointed out that many taxpayers wrongly classify professional income as "income from other sources" merely to continue filing the simpler ITR-1 form. Other common errors include ignoring capital gains or multiple property restrictions, not reporting interest or dividend income properly, using ITR-4 without qualifying for presumptive taxation, and failing to reconcile AIS, TDS and bank data before filing. Penalties for late filing are determined by income level, with individuals above ₹5 lakh facing up to ₹5,000 penalty, while those with net taxable income of ₹5 lakh or lower facing maximum ₹1,000 penalty. The latest reports emphasize that filing with the wrong form may trigger a notice of correction from the department, making proper form selection crucial for smooth processing.
According to Mint, taxpayers should prepare essential documents before filing their ITR and verify all data carefully. Required documents include Aadhaar details, PAN card, Form 16, Form 16A, Form 26AS (Annual Information Statement), capital gains statements, and investment proof. Experts advise verifying Form 16, AIS, TIS and prefilled data before submission and reconciling PAN, Aadhaar, bank details, TDS entries and AIS data before generating the JSON file. Taxpayers should also validate every sheet carefully before generating the return file, avoid outdated utilities or partially saved files, and complete e-verification immediately after filing. Both experts stressed that the safest approach is to choose the form based on the nature of income, not just the income amount, as most filing errors occur when taxpayers focus only on salary size or turnover while ignoring the actual source of income.
