Missed ITR deadline may delay tax refund

The last date for ITR filing for the 2026-27 Assessment Year is July 31, 2026, and only about 3.15 crore of over 14 crore registered users have filed as of July 21.

Taxpayers must mention all active bank accounts (savings, current, overdraft, NRE/NRO) or face a penalty of up to ₹10,000 per undeclared account.

To receive a refund, bank account must be pre-validated on the Income Tax portal; incomplete or unverified details will delay the refund.

Filing after the deadline as a belated return under Section 139(4) incurs a late fee: up to ₹5,000 for income over ₹5 lakh, ₹1,000 for income of ₹5 lakh or less.

The current ITR filing for income earned in FY 2025-26 still follows the old Income Tax Act, 1961; the new Income Tax Act, 2025 will apply from the next year.