As the July 31 deadline for filing Income Tax Returns (ITR) for the assessment year 2026-27 rapidly approaches, taxpayers across the nation are questioning whether an extension will be granted. However, sources within the Central Board of Direct Taxes (CBDT) have confirmed that there are currently no discussions underway to extend the deadline.
“There is no such discussion on the table. We recommend the taxpayers to file their taxes ASAP and not wait for the last minute filing,” CBDT sources told Business Today. This firm stance aims to encourage timely compliance and prevent the usual rush that often leads to technical difficulties on the e-filing portal.
Past Extensions and Current Advice
In previous years, deadlines have been extended under exceptional circumstances, such as widespread technical glitches on the income tax e-filing portal or other administrative reasons. For instance, the ITR deadline was extended last year due to portal issues. However, experts like Adhil Shetty, CEO of Bankbazaar, note that such extensions are typically reserved for extraordinary situations.
The Income Tax Department has been proactively urging eligible taxpayers to file their ITR-1 and ITR-2 forms well before the July 31 cut-off. To date, over 4 crore income tax returns have been filed for the current assessment year. The department emphasizes that early filing helps taxpayers avoid the heavy traffic that often congests the e-filing portal in the final days, ensuring a smoother processing experience for their returns.
Understanding ITR Forms
ITR-1 (Sahaj): This simplified form is designed for resident individuals with a total income of up to Rs 50 lakh. Income sources typically include salary, one house property, and other sources, including agricultural income up to Rs 5,000.
ITR-2: This form is for individuals and Hindu Undivided Families (HUFs) who do not have income from business or profession but derive income from sources such as capital gains.
The growth in ITR filings has been steady over recent years, reflecting increased compliance. The Income Tax Department’s e-filing portal recorded 9.19 crore returns in FY2024-25, up from 8.52 crore in FY2023-24 and 7.78 crore in FY2022-23. Taxpayers are strongly encouraged to join this trend of early filing to ensure a hassle-free experience.