Finance Minister Nirmala Sitharaman presented the **Union Budget 2026-27** on February 1, 2026, in which simplified changes were made for taxpayers in the ITR filing timeline under the new **Income Tax Act, 2025** (effective from April 1, 2026 for AY 2026-27). There were no changes in income tax rates or slabs, but the various deadlines and extension of time for revision are aimed at simplifying compliance, reducing peak-season congestion and allowing more time for accuracy.

**Key changes in ITR filing deadlines (for AY 2026-27 and onwards):**

– **ITR-1 and ITR-2 filers** (primarily salaried individuals, pensioners, having income from house property, capital gains, or ordinary dividend income): Deadline remains **July 31**. This includes most individual taxpayers whose business income is not complex.

– **Non-Audit Business/Professional Matters and Trusts**: Deadline extended from **31st July** to **31st August**. This applies to taxpayers who have income from profits and gains of business or profession (which are not required to be audited under the Act or other laws), partners in non-audit firms, and their spouses (where applicable), as well as certain trusts. This additional month reduces last-minute pressure for these groups.

– **Revised ITR filing**: The deadline has been extended from **31st December** to **31st March** of the relevant financial year (12 months from the end of the tax year), subject to a nominal fee. The fee is ₹1,000 (taxable income ≤ ₹5 lakh) or ₹5,000 (>₹5 lakh). This allows mistakes or omissions to be corrected without haste, thereby promoting voluntary compliance.

These different rules will be applicable from tax year 2026-27 (income for FY 2025-26, AY 2026-27). These changes are in line with the simplification goals of the new Act, including clearer forms (to be notified soon) and reduction in ambiguity. Taxpayers should note: Late filing of returns will still attract late fee/interest, and the October 31 deadline for audit cases (like ITR-3/ITR-4 requiring audit) will remain in place. Experts consider this a step towards better compliance and less litigation, which will leave no change in the timeline for salaried taxpayers, while business/trust filers will get some relief. Use the official portal or consult professionals to know your applicable forms and deadlines.