For many taxpayers, filing an Income Tax Return (ITR) is simply an annual routine. You collect your Form 16 from your employer, match the details with your Annual Information Statement (AIS), claim the tax deductions you’re eligible for, and submit the return before the deadline. Once that’s done, most people assume the process is complete.
However, this year’s return filing deserves a closer look. The Income Tax Return forms notified for Assessment Year (AY) 2026-27 are not merely updated formats; they reflect the Income Tax Department’s continuing shift towards a more technology-driven and evidence-based compliance framework.
While the Union Budget generally receives greater attention, it is the notified ITR forms that ultimately determine the information taxpayers are required to furnish.
Over the last few years, the Department has steadily expanded the scope of reporting by introducing additional disclosures, strengthening cross-verification with third-party information and simplifying forms for genuine taxpayers while simultaneously improving its ability to identify inconsistencies through data analytics. The ITR forms for AY 2026-27 continue this trend.
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The new reporting field taxpayers should know about
Among the notable changes, particularly for individuals claiming deductions for charitable donations, is Section 80G under the Income Tax Act, 1961.
While the eligibility conditions for claiming the deduction remain unchanged, taxpayers may now be required to provide additional payment-related particulars such as the transaction reference number for UPI, NEFT, RTGS, IMPS or cheque payments, along with the IFSC code of the remitting bank.
This represents a shift from merely declaring the donation amount to establishing a verifiable payment trail that can be electronically validated during return processing.
“The objective behind these changes is clear. Tax administration is increasingly relying on digital information available from banks, employers, financial institutions and other reporting entities. Instead of depending solely on manual verification, return processing is now driven by automated validations and data matching. Consequently, taxpayers should expect greater emphasis on accurate disclosures supported by documentary evidence,” said Akhil Chandna, Partner, Global People Solutions Leader, Grant Thornton Bharat.
“From an individual’s perspective, this means that filing the return is no longer confined to reporting income correctly. Equal attention should be paid to the supporting information accompanying various claims. Whether reporting salary income, capital gains, deductions, exempt income or charitable donations, taxpayers should ensure that the particulars disclosed in the return are consistent with their underlying records. A small error in reporting transaction details or omission of a mandatory field could result in avoidable processing delays or verification queries,” he further added.
As the Income Tax Department continues to strengthen digital verification and risk-based assessments, taxpayers who invest a little extra time in reviewing their disclosures, reconciling information and preserving supporting documents are likely to experience a smoother return processing experience with fewer post-filing compliances.
“The new reporting requirement for Section 80G should therefore be viewed as part of a broader compliance landscape rather than an isolated change. It reinforces the importance of maintaining organised financial records throughout the year instead of searching for documents at the time of filing the return,” commented Chandna.
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Which ITR forms contain this new field?
The additional reporting requirement has been introduced in the ITR forms wherever deduction under Section 80G can be claimed, including ITR-1, ITR-2, ITR-3 and ITR-4, depending upon the taxpayer’s eligibility.
Although the layout may differ slightly across forms, the information sought is broadly similar and is intended to capture payment particulars that enable electronic verification of the deduction claim.
Documents to keep ready before filling the new field
Before filing the return, taxpayers should keep the donation receipt, bank statement or payment confirmation, transaction reference number and the IFSC code of the remitting bank readily available.
“It is also advisable to verify that the charitable institution is approved for claiming a deduction under Section 80G and that the amount claimed is eligible under the applicable provisions,” said Chandna.
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Some common mistakes include quoting an incorrect transaction reference number, reporting the wrong donation amount, claiming deductions for donations that are not eligible under Section 80G, or failing to preserve supporting payment records.
Taxpayers should also remember that cash donations are subject to statutory restrictions and should carefully verify all particulars before submitting the return.
New ITR field: What to do if details aren’t available?
Taxpayers should avoid furnishing estimated or incomplete details merely to complete the return.
“They should retrieve the information from their bank statements, internet banking portal, UPI application or payment confirmation records. Where necessary, a duplicate receipt or acknowledgement may also be obtained from the charitable institution before filing the return,” stated Chandna.
How can taxpayers cross-check this information with AIS, Form 26AS, TIS or other tax records?
Unlike salary income or TDS, charitable donations generally do not appear in AIS, Form 26AS or TIS. Therefore, taxpayers should primarily reconcile the deduction with their donation receipt and banking records. If the employer has already considered eligible donations while computing TDS, the claim should also be cross-verified with Form 16 to avoid inconsistencies.
What are the consequences of leaving the new field blank?
Where a taxpayer claims a deduction under Section 80G, the prescribed reporting particulars should be completed accurately.
Leaving mandatory fields blank or furnishing incomplete information could result in processing delays, requests for clarification or, where the claim cannot be substantiated, disallowance of the deduction.
Given the increasing use of automated verification by the Income Tax Department, taxpayers should treat these disclosures as an integral part of a valid deduction claim rather than a procedural requirement.
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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