ITR-2 Filing Begins for AY 2026–27; Taxpayers Urged to Meet July 31 Deadline

New Delhi, June 2 (BNP): The Income Tax Department has enabled online filing of ITR-2 for Assessment Year (AY) 2026–27 on the e-filing portal, allowing eligible taxpayers to begin submitting returns for income earned during Financial Year (FY) 2025–26. The deadline for filing ITR-2 for individual taxpayers remains July 31, 2026.

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ITR-2 is applicable to individuals and Hindu Undivided Families (HUFs) who do not earn income from business or profession but have more complex income sources, including capital gains from stocks or mutual funds, rental income from multiple properties, foreign assets or overseas income, and income exceeding prescribed eligibility for simpler tax forms. Tax experts say taxpayers with capital market transactions or additional properties should carefully verify whether ITR-2 applies to them instead of ITR-1.

Experts have cautioned taxpayers against common filing mistakes that frequently trigger notices or delays in processing. Mismatches between income disclosures and records available in the Annual Information Statement (AIS), Form 26AS, bank account details, tax deductions, and capital gains reporting are among the most common reasons for scrutiny. Reviewing pre-filled information before submission is considered essential for error-free filing.

Missing the July 31 deadline may result in late filing fees of up to ₹5,000 and could impact a taxpayer’s ability to carry forward eligible capital losses for future tax adjustments. Tax professionals are advising individuals to gather relevant financial documents, reconcile statements, and complete filing well ahead of the deadline to avoid last-minute complications.