Synopsis
Salaried individuals, pensioners, and students must select the appropriate ITR form for AY 2026-2027. Taxpayers not requiring an audit can use ITR-1, ITR-2, or ITR-3 for their filings. The due date for filing income tax returns is July 31, 2027. Certain transactions necessitate filing an ITR even below basic exemption limits. Understanding these guidelines ensures accurate tax compliance for all individuals.
If you are a student, pensioner, salaried worker or any other taxpayer who doesn’t need to do an income tax audit, you have to file your income tax returns (ITR) by July 31, 2026 for AY 2026-2027. For Tax Year 2026-2027, the ITR filing due date is July 31, 2027.
Now, the real question isn’t about the date but rather which ITR form should you use since students, salaried individuals, pensioners and other non-tax audit taxpayers can use ITR-1, ITR-2 and ITR-3 to file their tax returns.
Also read: Invested in foreign shares? Know how to file ITR with ‘relevant accounting period’ for reporting foreign assets in Schedule FA?
Read below to know more.
Which form should a taxpayer use to file his income tax return for the assessment year 2026-27?
There are four heads of income under the Income tax law: Salary, capital gain, house property and business and professional income.
Salary income
| Nature of income | ITR 1 | ITR 2 | ITR 3 | ITR 4 |
| Salary Income | ||||
| Income from salary/pension (for ordinarily resident person) | ✓ | ✓ | ✓ | ✓ |
| Income from salary/pension (for not ordinarily resident and non-resident person) | ✓ | ✓ | ||
| Any individual who is a director in any company | ✓ | ✓ | ||
| If payment of tax in respect of ESOPs allotted by an eligible start-up has been deferred | ✓ | ✓ | ||
| Income from House Property | ||||
| Income or loss from two house properties (excluding brought forward losses and losses to be carried forward) | ✓ | ✓ | ✓ | ✓ |
| Individual has brought forward loss or losses to be carried forward under the head House Property | ✓ | ✓ | ||
| Income or loss from more than two house properties | ✓ | ✓ | ||
Source: Taxmann research
Income from Business or Profession
| Nature of income | ITR 1 | ITR 2 | ITR 3 | ITR 4 |
| Income from Business or Profession | ||||
| Income from business or profession | ✓ | |||
| Income from presumptive business or profession covered under section 44AD, 44ADA and 44AE (for person resident in India) | ✓ | |||
| Income from presumptive business or profession covered under section 44AD, 44ADA and 44AE (for not ordinarily resident and non-resident person) | ✓ | |||
| Interest, salary, bonus, commission or share of profit received by a partner from a partnership firm | ✓ | |||
Source: Taxmann research
Also read: Have foreign income or assets? AIS to soon show foreign assets and income details shared by foreign countries
Capital gains
| Nature of income | ITR 1 | ITR 2 | ITR 3 | ITR 4 |
| Capital Gains | ||||
| Long-term capital gains taxable under Section 112A and not exceeding Rs. 1.25 lakhs | ✓ | ✓ | ✓ | ✓ |
| Long-term capital gains taxable under the following provisions:Section 112A and it exceeds Rs 1.25 lakhSection 112 | ✓ | ✓ | ||
| Short-term capital gains taxable under any provision | ✓ | ✓ | ||
| Taxpayer has held unlisted equity shares at any time during the previous year | ✓ | ✓ | ||
| Capital gains/loss on sale of investments/property | ✓ | ✓ | ||
Source: Taxmann research
Also read: ITR filing 2026: Is AIS enough to report stock and mutual fund capital gains?
Income from Other Sources
| Nature of income | ITR 1 | ITR 2 | ITR 3 | ITR 4 |
| Income from Other Sources | ||||
| Family Pension (for ordinarily resident person) | ✓ | ✓ | ✓ | ✓ |
| Family Pension (for not ordinarily resident and non-resident person) | ✓ | ✓ | ||
| Income from other sources (other than income chargeable to tax at special rates including winnings from lottery and race horses or losses under this head) | ✓ | ✓ | ✓ | ✓ |
| Income from other sources (including income chargeable to tax at special rates including winnings from lottery and race horses or losses under this head) | ✓ | ✓ | ||
| Dividend income exceeding Rs. 10 lakhs taxable under Section 115BBDA | ✓ | ✓ | ||
Tax deductions
| Nature of income | ITR 1 | ITR 2 | ITR 3 | ITR 4 |
| Deductions | ||||
| Person claiming deduction under Section 80QQB or 80RRB in respect of royalty from patent or books | ✓ | ✓ | ||
| Person claiming deduction under section 10AA or Part-C of Chapter VI-A | ✓ | |||
| Total Income | ||||
| Agricultural income exceeding Rs 5,000 | ✓ | ✓ | ||
| Total income exceeding Rs 50 lakhs | ✓ | ✓ | ||
| Assessee has any brought forward losses or losses to be carried forward under any head of income | ✓ | ✓ | ||
| Computation of Tax liability | ||||
| If an individual is taxable in respect of an income but TDS in respect of such income has been deducted in the hands of any other person (i.e., clubbing of income, Portuguese Civil Code, etc.) | ✓ | ✓ | ||
| Claiming relief of tax under sections 90, 90A or 91 | ✓ | ✓ | ||
Source: Taxmann research
Also read: CBDT clarification: All approvals like Nil or lower TDS certificate and existing tax benefits will continue under Income Tax Act, 2025; Here’s what it means for you
Who needs to file ITR even if income is below the basic exemption limit
If you have undertaken certain transactions, then you need to file ITR even if your total income is below the basic exemption limit of Rs 2.5 lakh (old tax regime) and Rs 4 lakh (new tax regime). The transactions are:
| Others who also need to file ITR | ITR-1 | ITR-2 | ITR-3 | ITR-4 |
| Assessee has:● Income from foreign sources● Foreign Assets including financial interest in any foreign entity● Signing authority in any account outside India | ✓ | ✓ | ||
| Income has to be apportioned in accordance with Section 5A | ✓ | ✓ | ||
| If the tax has been deducted on cash withdrawal under Section 194N | ✓ | ✓ | ✓ | |
| Person has deposited more than Rs 1 crore in one or more current account | ✓ | ✓ | ✓ | |
| Person has incurred more than Rs 2 lakh on foreign travelling | ✓ | ✓ | ✓ | ✓ |
| Person has incurred more than Rs 1 lakh towards payment of the electricity bill | ✓ | ✓ | ✓ | ✓ |
| Person has turnover from business exceeding Rs 60 lakh | ✓ | ✓ | ||
| Person has gross receipts from profession exceeding Rs 10 lakh | ✓ | ✓ | ||
| Aggregate amount of TDS and TDS is Rs 25,000 (Rs 50,000 in case of senior citizen) or more | ✓ | ✓ | ✓ | ✓ |
| Aggregate deposit in the saving bank account is Rs 50 lakh or more | ✓ | ✓ | ✓ | ✓ |
| * ITR-1 can be filed by an individual who is ordinarily resident in India. ITR-4 can be filed only by an Individual or HUF who is ordinarily resident in India and by a firm (other than LLP) resident in India. | ||||
Source: Taxmann research
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