ITR filing deadline extended to December 31, but late filers lose tax regime choice

Synopsis

ITR deadline: By the end of August 31, 2026, over 7.8 crore individuals completed their income tax return submissions. Those who did not file on time have until December 31, 2026, to submit a belated ITR, incurring possible late fees. Notably, failing to meet this deadline also prevents taxpayers from opting out of the new tax regime, with business income earners unable to revert to the old regime post-deadline.

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The Income Tax Department in a social media post today (Tuesday, September 1, 2026) said that more than 7.8 crore income tax returns (ITRs) had already been filed for AY 2026-27 as of August 31, 2026.

The statement came a day after the deadline to file income tax return (ITR) forms 3 and 4 passes. The due date to file the ITR 3 and ITR 4 forms was August 31, 2026.

If you could not file your ITR 3 or 4 form by August 31, 2026, there is still a window to file your return. You can still file a belated ITR until December 31, 2026, although there may be additional costs and some tax-related consequences. Here’s what you need to know if you have missed the August 31 deadline.

Chartered accountant Abhishek Soni, co-founder, Tax2Win, says that if you have missed the August 31, 2026, due date applicable to eligible non-audit taxpayers filing ITR 3 or ITR 4, you can generally file a belated ITR up to the December 31, 2026 deadline, subject to the applicable conditions.

A belated ITR may attract a late-filing fee under Section 234F of up to Rs 5,000. However, if the taxpayer's total income does not exceed Rs 5 lakh, the late filing fee is restricted to Rs 1,000. Interest may also apply depending on the taxpayer's tax liability and circumstances. For example, interest under Sections 234A, 234B or 234C may apply where the respective conditions are satisfied.

Soni says: "However, missing the due date can also affect your choice of tax regime if you have business or professional income. For taxpayers having business or professional income, opting out of the new tax regime requires furnishing Form 10-IEA within the due date specified under Section 139(1). "

Therefore, if such a taxpayer misses the August 31, 2026, due date and files a belated ITR, they cannot opt for the old tax regime for AY 2026–27.

Who needs to file the ITR 3 form?

It is filed by individuals and HUFs having income from profits or gains from business or profession and who are not eligible to file ITR 1, ITR 2 or ITR 4 (such as when maintaining detailed books of accounts, experiencing losses or having actual expenses exceeding 50% under non-presumptive setups).

Who needs to file the ITR 4 form?

ITR-4 (Sugam): ITR-4 (Sugam) may be filed by a resident individual, HUF (Hindu Undivided Family), or a firm, other than Limited Liability Partnership (LLP), having a total taxable income of up to Rs 50 lakh and income from a business, or profession computed on a presumptive basis under Sections 44AD, 44ADA or 44AE of the Income-tax Act, 1961.

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