Income tax department urges non-audit taxpayers to file ITRs by August 31

The income tax department on Monday urged taxpayers with business or professional income who are not subject to tax audit to file their income tax returns (ITRs) for assessment year (AY) 2026-27 by August 31.

Till August 20, more than 2 crore ITR-3 and ITR-4 forms had been filed on the income tax e-filing portal, taking the total number of ITRs filed for AY 2026-27 to over 6.5 crore. This includes more than 5.9 crore ITR-1 and ITR-2 forms that were filed by the July 31 deadline.

Taxpayers falling under the non-audit category can file the applicable return form, depending on the nature and source of their income. These include ITR-3, ITR-4, ITR-5 and ITR-7.

ITR-3 is generally filed by individuals and Hindu Undivided Families (HUFs) earning income from a proprietary business or profession. ITR-4 is a simplified return form applicable to certain resident individuals, HUFs and firms meeting prescribed conditions, including those opting for specified presumptive taxation schemes.

ITR-5 is used by firms, Limited Liability Partnerships, associations of persons and certain other entities, while ITR-7 is meant for taxpayers such as trusts, political parties and charitable or religious institutions that are required to file returns under specified provisions of the Income Tax Act.

The department has advised eligible taxpayers to complete their filings before the August 31 deadline to avoid last-minute difficulties.