ITR Filing Guide: Step-by-Step for Salaried Taxpayers (2026)

Filing your Income Tax Return is the annual ritual every salaried Indian eventually has to navigate. The good news is that the Income Tax Department's portal is mostly pre-filled from AIS and Form 16, and for a single-employer taxpayer with no capital gains, the entire process takes 20 minutes. The bad news is that picking the wrong form, skipping a disclosure, or missing the e-verification window can trigger notices and refund delays. This guide walks you through the full 2026 filing process for FY 2025-26 income.

Who must file ITR?

You are required to file an ITR if any of the following apply:

• Total income exceeds the basic exemption limit (Rs. 3 lakh under New Regime default, Rs. 2.5 lakh under Old)
• You have incurred foreign travel expenditure above Rs. 2 lakh
• You have deposited more than Rs. 1 crore in a current account or Rs. 50 lakh in a savings account
• You own foreign assets or have foreign income
• TDS of Rs. 25,000+ has been deducted (senior citizens: Rs. 50,000+)
• You want to claim a refund of excess TDS
• You need to carry forward capital losses

Choosing the right ITR form

The portal will warn you if you picked the wrong form, but it does not auto-correct. A common error: salaried person with ESOP sale or mutual fund redemption files ITR-1 instead of ITR-2 — leading to a defective return notice under Section 139(9).

Due dates for FY 2025-26 (AY 2026-27)

• 31 July 2026 — individuals, HUFs, salaried taxpayers without audit
• 31 October 2026 — audit cases
• 31 December 2026 — belated return (with late fee), revised return
• 31 March 2027 — updated return (ITR-U) under Section 139(8A), with additional tax

Late fee under Section 234F: Rs. 1,000 if income is up to Rs. 5 lakh, Rs. 5,000 otherwise. Interest on unpaid tax under 234A continues to accrue till filing.

Documents to keep ready

• PAN and Aadhaar (linked)
• Form 16 from every employer during the year
• Form 26AS and AIS downloaded from incometax.gov.in
• Interest certificates from banks and post office
• Capital gains statements from brokers/AMCs
• Rent receipts and landlord PAN (if claiming HRA through ITR, not Form 16)
• Home loan interest certificate from lender
• 80C / 80D / 80CCD(1B) investment proofs
• Bank account details (pre-validated on portal for refund)

Step-by-step filing on incometax.gov.in

1. Log in with PAN/Aadhaar and password (OTP for new users)
2. Go to e-File → Income Tax Returns → File Income Tax Return
3. Select AY 2026-27 and filing type "Original return"
4. Choose filing mode — online (recommended) or offline (JSON upload)
5. Select your applicable ITR form
6. Verify pre-filled data from Form 16 and AIS — edit if incorrect
7. Select tax regime — Old vs New. Portal computes both; pick whichever gives lower tax
8. Add bank account for refund — pre-validated only
9. Preview and submit
10. E-verify within 30 days — Aadhaar OTP (most common), net banking, demat-based OTP, or physical ITR-V posted to CPC Bengaluru

Old vs New Regime decision

Since FY 2023-24, the New Tax Regime is default. You must explicitly opt for Old Regime by selecting the checkbox in ITR. The general rule:

• New Regime wins if total deductions (80C + 80D + HRA + home loan interest) are below Rs. 3.75-4 lakh
• Old Regime wins above that threshold — typically for people with substantial HRA or home loan interest

Run both the calculators and pick the better one. Salaried taxpayers without business income can switch every year.

Common mistakes

• Forgetting to include bank interest or dividends — AIS catches these; unreported income triggers a 143(1) notice
• Not disclosing multiple Form 16s when you changed jobs mid-year
• Claiming 80C deductions that appear in Form 16 — double-counting is a common scrutiny flag
• Ignoring 24(b) interest for let-out property after losing Section 115BAC benefits
• Not reporting crypto gains — 1% TDS is already on record in 26AS
• Missing the 30-day e-verification window — voids the return

After filing

Once your ITR is filed and e-verified, the Income Tax Department processes it under Section 143(1) — usually within 30-90 days. You will receive:

• Intimation under 143(1) — accepting, adjusting, or raising demand
• Refund credit to your pre-validated bank account if applicable
• Demand notice if additional tax is due — payable within 30 days to avoid interest

Keep a copy of the filed ITR JSON, acknowledgement, and 143(1) intimation for at least 6 years — this is the standard reassessment lookback window.