For most salaried taxpayers, July 31 is the final deadline to file their Income Tax Return (ITR) unless there is an official extension announced by the Income Tax Department. However, the said due date does not apply to everyone, and if you have certain types of income that require auditing, your ITR filing deadline for AY 2026-27 could go beyond July 31.
The Income Tax Act prescribes different statutory due dates based on the category of the taxpayer, the nature of income earned, and the applicable compliance requirements, including whether the taxpayer is required to furnish an audit report or is subject to the transfer pricing provisions.
Accordingly, the due date for filing the return of income varies across different classes of taxpayers and, unless extended by the Central Government, is expected to be as follows:
- 31st July 2026: Individuals and HUFs filing ITR-1 and ITR-2 and not requiring an audit.
- 31st August 2026: Taxpayers with income from business/profession not subject to audit (including partners of firms).
- 31st October 2026: Taxpayers subject to tax audit (including partners of firms).
- 30th November 2026: Taxpayers where provisions related to transfer pricing provisions are applicable (including partners of firms).
What types of income trigger a tax audit requirement?
A common misconception among taxpayers is that earning a particular type of income, such as business income, may automatically trigger a tax audit.
However, a tax audit under Section 44AB of the Income-tax Act, 1961, is not determined solely by the type of income earned, but by the nature of the activity carried on, the turnover or gross receipts, and certain specified conditions prescribed under the Act.
CA (Dr.) Suresh Surana says that broadly, a tax audit may become applicable in the following situations:
Business Income: A person carrying on business is required to get the books of account audited where the total sales, turnover or gross receipts exceed Rs. 1 crore during the financial year. However, this threshold stands enhanced to Rs. 10 crores where aggregate cash receipts and aggregate cash payments do not exceed 5% of the total receipts and total payments, respectively, thereby encouraging digital transactions. It should be noted that receipts or payments made through non-account payee cheques or bank drafts are deemed to be cash for this purpose.
Professional Income: Persons carrying on a profession, such as doctors, chartered accountants, advocates, architects, engineers, consultants and other notified professionals, are required to undergo a tax audit if their gross professional receipts exceed Rs. 50 lakhs in a financial year under the Income-tax Act, 1961.
Presumptive Taxation Cases: A taxpayer covered under Section 44AD, 44ADA, 44AE, Section 44BB or Section 44BBB (i.e. under presumptive basis) who declares profits lower than the presumptive income prescribed under those sections is required to get the accounts audited. Similarly, a business taxpayer to whom Section 44AD(4) applies and whose total taxable income exceeds the basic exemption limit is required to comply with the tax audit provisions. Additionally, taxpayers engaged in business or profession who fail to satisfy the conditions of the presumptive taxation provisions and are required to maintain books of account may also attract tax audit requirements.
Therefore, taxpayers should understand that the applicability of a tax audit is linked not merely to the source of income, but to the statutory conditions relating to business turnover, professional receipts, presumptive taxation regime, etc.
What red flags in Form 26AS, AIS, or financial statements suggest a different filing deadline may apply?
Form 26AS, AIS, and financial statements do not determine the ITR due date by themselves, but they can provide important indicators that a taxpayer may be subject to a different filing deadline, stated Surana.
One of the key indicators is the presence of business or professional income in AIS or Form 26AS. If the taxpayer’s turnover or gross receipts exceeds the audit thresholds prescribed under Section 44AB of the Income-tax Act, 1961, a tax audit may be applicable, resulting in a later ITR filing due date.
Other indicators include income as a partner in a partnership firm, particularly where audit or transfer pricing provisions apply, and the reporting of international transactions requiring a report under Section 92E. Likewise, AIS disclosures relating to foreign assets, foreign income, or foreign tax credits may indicate additional reporting obligations, although these do not, by themselves, change the filing deadline.
“Taxpayers should also ensure that Form 26AS, AIS, and their books of account are properly reconciled before filing. Any differences in income, TDS, or high-value financial transactions should be examined and resolved to ensure accurate reporting. Accordingly, taxpayers should not assume that the standard due date applies solely based on their status as salaried individuals or individual taxpayers,” said CA (Dr.) Suresh Surana.
A careful review of the nature of income, audit applicability, and other compliance requirements reflected in these documents will help determine the correct statutory due date for filing the ITR.
Disclaimer: This article is for informational purposes only and does not constitute professional tax advice. Tax laws and regimes are subject to frequent changes by the government. Readers should verify details with official Income Tax Department notifications or consult a Chartered Accountant before making any financial decisions.
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