5 Major Changes Related to Income Tax Returns for the Financial Year 2026-27

From April 1, 2026, new income tax laws have come into effect, implementing numerous significant changes for taxpayers. These changes will apply to the financial year 2026-27, while for the assessment year (AY) 2026-27, ITR will still have to be filed by July 31 as per the old rules. Below, these new rules are explained simply and understandably:

1. Change in ITR filing date

According to the new rules, the last date for filing ITR for taxpayers who are not audited (like small businessmen or professionals) has now been extended from July 31 to August 31.

However, for those whose income is not from business, the deadline will remain 31 July.

2. Relief in filing updated returns

Now, a big convenience has been given to taxpayers; even if they receive a notice of reassessment, they can still file an updated return by paying tax, interest and an additional Tax the stipulated time. This provides another opportunity to correct mistakes.

3. Time extended for revised returns

Earlier, there was a time limit of 9 months for filing revised returns; now it has been increased to 12 months. But if you revise the return after 9 months, you will have to pay additional charges:

• Rs 1,000 on income up to Rs 5 lakh
• Rs 5,000 for other cases.

4. Mandatory requirement of PAN increased

Now the government can make it mandatory to provide a PAN number even in some non-business and non-professional transactions under section 262(10)(c).

5. Changes and integration of income tax forms

The new rules have changed and renamed many old forms:

• New Form 121 has been created by combining Form 15G and 15H.
• Form 16 will now be known as Form 130
•  A new Form 26 has been implemented by combining Forms 3CA, 3CB and 3CD for tax audits.