July 31 ITR Deadline: What is the cost of missing Due date of filing ITR

Filing your income tax return on time helps you save both money and stress. If you file your ITR by July 31, 2026 for FY 2025-26, you can avoid extra costs like penalties and interest. Filing on time also keeps things simple and hassle-free. If you miss the deadline, you still have to file your return, but it may cost you more.

If you don’t file your income tax return by July 31, your return will be treated as a belated return.You may have to pay extra money as a penalty or interest, and you can lose some tax benefits.

The law gives you some extra time if you miss the July 31 deadline. You can still file a late return up to December 31, 2026, unless the government extends the date. Filing your return before the deadline keeps you legally safe and stress-free. But if you miss this final deadline as well, most regular options to file are closed. Sorting things out later then becomes harder, more expensive, and far more stressful.

Consequences of Late Filing

If you miss the ITR deadline, the government charges you a late filing fee, even if you’ve already paid all your taxes.

If your total income is up to Rs 5 lakh, the maximum late fee you’ll have to pay is Rs 1,000. But if your income is above Rs 5 lakh, the late fee can go up to Rs 5,000 as long as you file before the December deadline.

If you hadn’t fully paid your taxes by July 31, the government adds interest of 1% per month (or even part of a month) for the delay. So even being late by a few days can increase the total amount you end up paying.

Filing late won’t take away your refund if extra tax was already deducted, but you may have to wait longer to receive it. The bigger problem is that missing the deadline can stop you from carrying forward business or capital losses, which could mean paying more tax in future years. You can still correct mistakes in a late return, but only up to December 31, 2026 after that, there’s no easy way to fix errors, so your options become limited.

What if you miss Belated Return?

If you don’t file your return even after the belated deadline, the only option left is filing an updated return (ITR-U). This option is more expensive because you have to pay extra tax and penalties.

Delayed or missing ITR can weaken your financial profile

If your returns are delayed or not filed, it can make your financial record look weak or unreliable even if you eventually pay all your taxes. Banks, lenders, and embassies often ask for recent ITRs when you apply for a loan, credit card, or visa. So for FY 2025-26, filing your return before July 31, 2026 helps you avoid extra charges, interest, and loss of tax benefits.