Income Tax Return Filing is officially kicked off the ITR filing season for Assessment Year (AY) 2026-27 on 15th May 2026 . The department announced via its official X (Twitter) handle: While the new Income Tax Act, 2025 came into force from 1st April 2026 , Income Tax Return Filing FY 2025-26 (AY 2026-27) is governed entirely by the Income Tax Act, 1961 . The old ITR form numbers (ITR-1, ITR-2, ITR-3, ITR-4, etc.) continue to apply. The new Act will only be relevant when filing returns for Tax Year 2026-27, due in 2027. Table of Contents Key Due Dates for AY 2026-27 ITR-1 (SAHAJ) — Complete Guide ITR-1, popularly known as “Sahaj” (meaning “simple”), is the most basic and commonly used ITR form. It is designed for resident individuals with a simple income structure. Who Can File ITR-1? A taxpayer can file ITR-1 if all the following conditions are met: Residential Status: Resident Individual (NOT applicable to NRIs or Not Ordinarily Residents) Total Income: Up to ₹50 Lakh in FY 2025-26 Income Sources Allowed: Income from Salary or Pension Income from up to 2 House Properties (New for AY 2026-27 — earlier only 1 house property was allowed) Income from Other Sources (e.g., bank interest, FD interest, savings account interest) Agricultural Income up to ₹5,000 Long-Term Capital Gains (LTCG) under Section 112A up to ₹1.25 lakh (no brought-forward or carry-forward capital loss) Income from Salary or Pension Income from up to 2 House Properties (New for AY 2026-27 — earlier only 1 house property was allowed) Income from Other Sources (e.g., bank interest, FD interest, savings account interest) Agricultural Income up to ₹5,000 Long-Term Capital Gains (LTCG) under Section 112A up to ₹1.25 lakh (no brought-forward or carry-forward capital loss) Who CANNOT File ITR-1? You are NOT eligible to use ITR-1 if: You are an NRI or Not Ordinarily Resident Total income exceeds ₹50 lakh You have income from business or profession You have LTCG exceeding ₹1.25 lakh under Section 112A You own more than 2 house properties You have foreign income or foreign assets , or are a signing authority in any foreign account You have income from lottery, betting, racing, or gambling You have crypto / virtual digital asset income (TDS under Section 194S) Your TDS has been deducted under Section 194B (lottery) or 194R (benefits/perquisites) You are a Director in a company You hold unlisted equity shares You have brought-forward losses to be set off Documents Required for ITR-1 Key Changes in ITR-1 for AY 2026-27 Two House Properties Now Allowed — Taxpayers owning a second home or a rented-out property can now use ITR-1 (previously had to file ITR-2) Detailed 80C Disclosure — Must specify investment type (PPF/ELSS/LIC etc.), amount, and payee details Detailed 80D Disclosure — Insurer name, policy number, and premium breakdown mandatory HRA Claim — Rent amount, landlord name, and PAN (if rent > ₹1 lakh) are now mandatory TDS Section Specification — Must specify the exact TDS section for each income type Schedule AL Threshold Raised — Asset & Liability disclosure now required only if income exceeds ₹1 crore (previously lower threshold) Bifurcation of Pre/Post July 23, 2024 Capital Gains Removed — Simplified reporting ITR-4 (SUGAM) — Complete Guide ITR-4, known as “Sugam” (meaning “easy”), is designed for individuals, HUFs, and small businesses/professionals who opt for the Presumptive Taxation Scheme . It simplifies compliance by allowing them to declare income at a pre-determined rate without maintaining detailed books of accounts. Who Can File ITR-4? ITR-4 is applicable when all the following conditions are satisfied: Taxpayer Type: Resident Individual, Hindu Undivided Family (HUF), or Firm (excluding LLPs) Total Income: Up to ₹50 lakh Income Sources Allowed: Presumptive Business Income under Section 44AD (small businesses with turnover up to ₹2 crore; turnover up to ₹3 crore if cash receipts ≤ 5%) Presumptive Professional Income under Section 44ADA (specified professionals with gross receipts up to ₹75 lakh; up to ₹1.5 crore if cash receipts ≤ 5%) Presumptive Income from Goods Carriage under Section 44AE (up to 10 vehicles) Salary or Pension income Income from up to 2 House Properties (New for AY 2026-27) Income from Other Sources (interest, etc.) LTCG under Section 112A up to ₹1.25 lakh (no brought-forward capital loss) Freelancers can also opt for Section 44ADA if gross receipts ≤ ₹50 lakh Presumptive Business Income under Section 44AD (small businesses with turnover up to ₹2 crore; turnover up to ₹3 crore if cash receipts ≤ 5%) Presumptive Professional Income under Section 44ADA (specified professionals with gross receipts up to ₹75 lakh; up to ₹1.5 crore if cash receipts ≤ 5%) Presumptive Income from Goods Carriage under Section 44AE (up to 10 vehicles) Salary or Pension income Income from up to 2 House Properties (New for AY 2026-27) Income from Other Sources (interest, etc.) LTCG under Section 112A up to ₹1.25 lakh (no brought-forward capital loss) Freelancers can also opt for Section 44ADA if gross receipts ≤ ₹50 lakh Who CANNOT File ITR-4? You are NOT eligible for ITR-4 if:

Your turnover/receipts exceed the prescribed presumptive limits You are an NRI or Not Ordinarily Resident You are a Director in a company You hold unlisted equity shares You have foreign assets or foreign income You are a Limited Liability Partnership (LLP) You have losses to carry forward (other than house property loss within limits) Income from lottery, gambling, or speculative business Documents Required for ITR-4 Key Changes in ITR-4 for AY 2026-27 Two House Properties Now Allowed — Previously only one house property was permitted Bank Balance & Investment Reporting — Mandatory reporting of bank balance and investments Section 234I Fee Disclosure — Now required in the form Form 10-IEA Realignment — Updated requirements for switching between old and new tax regimes Detailed Deduction Disclosures — Same enhanced disclosures as ITR-1 for 80C, 80D, HRA Extended Due Date — Non-audit ITR-4 filers now get till 31st August 2026 (vs July 31 earlier) Schedule AL Threshold Raised — Disclosure only if income > ₹1 crore Presumptive Taxation — Quick Reference (For ITR-4 Filers) New Tax Regime vs Old Tax Regime — AY 2026-27 The New Tax Regime remains the default for AY 2026-27 If you want the Old Tax Regime , you must actively opt for it while filing your ITR Salaried individuals (non-business): Can switch between regimes every year directly in the ITR Business/profession taxpayers (ITR-4): Must file Form 10-IEA before the due date to opt out of the New Tax Regime. This option is available only once in a lifetime New Cities Added to 50% HRA Exemption Under the new Income Tax Rules 2026, the following cities are now eligible for 50% HRA exemption (earlier only Mumbai, Delhi, Kolkata, Chennai qualified): All other cities continue to be eligible for 40% HRA exemption. How to File ITR-1 / ITR-4 Online Method 1: Online Filing (Recommended) Visit https://www.incometax.gov.in Login with PAN/Aadhaar and password Go to e-File → Income Tax Returns → File Income Tax Return Select AY 2026-27 , filing type as Original , and appropriate ITR form Use pre-filled data, verify with AIS/Form 26AS, fill remaining details Compute tax, pay any balance tax, and submit E-verify within 30 days (via Aadhaar OTP, Net Banking, or EVC) Method 2: Excel Utility (Offline) Download Excel utility from the Downloads section of the e-filing portal Fill in all income and deduction details offline Validate and generate a JSON file Upload the JSON file on the e-filing portal Submit and e-verify within 30 days Late Filing Penalty (Section 234F) Filing after the due date also results in interest under Section 234A and loss of carry-forward of losses. Summary — ITR-1 vs ITR-4 at a Glance Frequently Asked Questions (FAQ) Income Tax Return filing for AY 2026-27 began on 15th May 2026. The key due dates are: July 31, 2026 for salaried individuals (ITR-1/2), August 31, 2026 for non-audit business/profession cases (ITR-3/4), October 31, 2026 for tax audit cases, and March 31, 2027 for revised returns. No. Even though the new Income Tax Act, 2025 came into force from April 1, 2026, the ITR for FY 2025-26 (AY 2026-27) is governed entirely by the Income Tax Act, 1961. The new Act will only be relevant when filing returns for Tax Year 2026-27, due in 2027. ITR-1 is for resident individuals with total income up to ₹50 lakh, having income from salary/pension, up to 2 house properties, other sources (like bank interest), agricultural income up to ₹5,000, and LTCG under Section 112A up to ₹1.25 lakh. NRIs, directors in a company, and those with foreign assets or crypto income cannot use ITR-1. The major changes include: (a) up to 2 house properties are now allowed (earlier only 1), (b) detailed disclosures for 80C investments (type, amount, payee details) and 80D (insurer name, policy number) are now mandatory, (c) HRA claims require landlord PAN if rent exceeds ₹1 lakh/year, and (d) the Schedule AL (Assets & Liabilities) threshold has been raised to ₹1 crore income. ITR-4 is for resident individuals, HUFs, and firms (not LLPs) with total income up to ₹50 lakh who have presumptive business income under Section 44AD, professional income under Section 44ADA, or income from goods carriage under Section 44AE. Freelancers with gross receipts up to ₹50 lakh can also opt for Section 44ADA and file ITR-4. Under presumptive taxation, income is declared at a fixed rate without maintaining detailed books of accounts. Under Section 44AD (small businesses), income is deemed at 8% of turnover (6% for digital receipts). Under Section 44ADA (professionals), it is 50% of gross receipts. Under Section 44AE (goods carriage), it is ₹1,000/ton/month for heavy goods vehicles or ₹7,500/vehicle/month for others. The New Tax Regime is the default for AY 2026-27. Salaried individuals can switch to the Old Tax Regime directly while filing their ITR, and can do so every year. However, business/profession taxpayers (ITR-4 filers) must file Form 10-IEA before the due date to opt out — and this option is available only once in a lifetime. Under the new Income Tax Rules 2026, Bengaluru, Hyderabad, Pune, and Ahmedabad have been added to the list of cities eligible for 50% HRA exemption — joining the earlier list of Mumbai, Delhi, Kolkata, and Chennai. All other cities remain at 40% HRA exemption. Under Section 234F, a late filing fee of ₹1,000 applies if total income is up to ₹5 lakh, and ₹5,000 if it exceeds ₹5 lakh. Additionally, interest under Section 234A is levied on any unpaid tax, and the ability to carry forward losses is lost if the return is filed late. Visit incometax.gov.in and log in with your PAN/Aadhaar. Go to e-File → Income Tax Returns → File Income Tax Return, select AY 2026-27, choose the appropriate form, verify the pre-filled data against your AIS/Form 26AS, compute your tax liability, pay any balance, and submit. You must e-verify within 30 days using Aadhaar OTP, Net Banking, or EVC. Alternatively, you can use the Excel utility offline and upload the generated JSON file to the portal.