Missed the ITR Filing Deadline for AY 2026-27? Belated Return by 31 December 2026, Revised Return and ITR-U Options

04 Aug 2023

Quick answer: If you missed the ITR due date for FY 2025-26 (AY 2026-27), you can file a belated return up to 31 December 2026 with a late fee of up to ₹5,000 under section 234F and interest under section 234A on unpaid tax. After 31 December 2026, the only route is an updated return (ITR-U), which can be filed up to 31 March 2031 on payment of 25% to 70% additional tax. A revised return to correct an error can be filed up to 31 March 2027.

Updated: 23 October 2026 | Regi Tom Antony & Associates, Chartered Accountants, Kochi

Missing the Income Tax Return (ITR) due date is more common than many people think, and the consequences are manageable if you act promptly. At Regi Tom Antony & Associates we file belated, revised and updated returns for resident and NRI clients throughout the year. This guide covers every option for FY 2025-26 (AY 2026-27), the last year under the Income-tax Act, 1961.

ITR due dates for FY 2025-26 (AY 2026-27)

Option 1: File a belated return by 31 December 2026

If you missed your due date, you can file a belated return under section 139(4) up to 31 December 2026. The consequences are:

• Late fee under section 234F: ₹5,000, or ₹1,000 if total income does not exceed ₹5 lakh. No fee if total income is below the basic exemption limit.
• Interest under section 234A: 1% per month on tax remaining unpaid from the due date to the date of filing. If all tax was paid through TDS and advance tax, no 234A interest arises.
• Losses: business losses and capital losses of the year cannot be carried forward when the return is filed late. Loss under the head house property and unabsorbed depreciation can still be carried forward.
• Regime choice: taxpayers with business income who want the old regime must file Form 10-IEA by the original due date; after that, the new regime applies by default. Individuals without business income can choose the old regime in the return itself, but only in a return filed by the due date.

Option 2: File a revised return by 31 March 2027

If you filed on time or belatedly and then find an error or omission, you can file a revised return under section 139(5). From AY 2026-27 the time limit is 12 months from the end of the financial year, that is 31 March 2027 for FY 2025-26, provided the assessment has not been completed. A revised return can reduce income or increase a refund, which an updated return cannot.

Option 3: File an updated return (ITR-U) up to 31 March 2031

The updated return under section 139(8A) lets you report income that was missed, or file where no return was filed at all, up to 48 months from the end of the assessment year. For AY 2026-27 that is 31 March 2031. You must pay additional tax on the tax and interest due:

An updated return cannot reduce income, increase a refund or create a loss, and it is not available where a search or survey has been conducted, or where assessment or reassessment proceedings are pending for that year.

What happens if you do not file at all?

• Notice and best-judgment assessment: the Department can issue a notice under section 142(1) and, if it is not complied with, assess income under section 144.
• Penalty: under-reported income attracts penalty under section 270A of 50% of the tax, rising to 200% where income is misreported.
• Prosecution: wilful failure to file where tax is payable can lead to prosecution under section 276CC.
• Lost refunds: excess TDS can be recovered only by filing a return.
• Loans and visas: banks and many embassies ask for two or three years of ITRs; gaps in filing history cause delays.

NRIs: do you need to file?

An NRI must file if total income in India exceeds the basic exemption limit (₹4 lakh under the new regime and ₹2.5 lakh under the old regime for FY 2025-26). Even below that, filing is usually worthwhile: TDS on NRO interest is deducted at 30% plus surcharge and cess, and TDS on property sales is often well above the actual tax, so filing is the only way to get the excess back. NRIs cannot use the unused basic exemption limit against long-term capital gains.

What changes from tax year 2026-27?

From 1 April 2026 the Income-tax Act, 2025 replaced the 1961 Act. For income earned from April 2026 onwards, the year is called the "tax year" rather than the previous year and assessment year, and the provisions on belated, revised and updated returns, late fees and interest continue under new section numbers. Returns for FY 2025-26, discussed above, are still filed under the 1961 Act.

Practical steps to take now

1. Download Form 26AS, the Annual Information Statement (AIS) and the Taxpayer Information Summary (TIS) from the e-filing portal to see all reported income and TDS.
2. Compute the tax and pay any balance as self-assessment tax before filing, to stop further interest.
3. File the belated return before 31 December 2026; each month adds interest.
4. If 31 December has passed, plan an updated return early, because the additional tax rises each year.
5. Get professional help for capital gains, foreign income, business income or DTAA claims.

Frequently asked questions

What is the last date to file a belated return for AY 2026-27?

31 December 2026, with a late fee of up to ₹5,000 under section 234F and interest under section 234A on any unpaid tax.

Can I revise a belated return?

Yes. A belated return can be revised up to 31 March 2027 for AY 2026-27, as long as the assessment is not complete.

I missed 31 December. Can I still file?

Yes, through an updated return (ITR-U) up to 31 March 2031, provided you are paying additional tax and none of the exclusions applies. You cannot claim a refund through ITR-U.

Does an NRI with all tax deducted at source need to file?

Filing is mandatory only if income exceeds the basic exemption limit, but it is advisable whenever TDS exceeds the actual tax, because the excess can be refunded only through a return.

For belated, revised or updated returns, write to letstalk@rtaandassociates.com. NRIs can also find detailed guidance at NRIBlueprint.com.