India's Income Tax Department Reports 4.1 Crore ITR Filings

The Income Tax Department of India reports that over 4.1 crore income tax returns (ITRs) have been filed for Assessment Year 2026-27 as of July 26, 2026. The agency is urging salaried employees, pensioners, and investors using ITR-1 and ITR-2 forms to file before the July 31 deadline to avoid portal congestion. This marks a progression from July 25, when filings stood at 3.92 crore.

Union Finance Minister Nirmala Sitharaman highlighted record filing levels and improved grievance redressal during the 167th Income Tax Day celebrations. She noted that the e-filing portal reached 1.6 crore daily interactions and that the department resolved 94% of grievances via the CPGRAMS system during FY 2025-26. Sitharaman also called for expedited refund processing to bolster taxpayer confidence.

While some taxpayers expect a deadline extension, experts suggest one is unlikely due to a restructured compliance calendar that staggers reporting dates. Taxpayers with non-audit business or professional income have until August 31, while others follow separate dates. Despite the implementation of the Income Tax Act 2025, returns for this period must be filed under the Income-tax Act 1961. Failure to meet the July 31 deadline may result in forfeited TDS refunds, best judgment assessments, or prosecution involving fines and imprisonment if the outstanding net tax exceeds Rs 10,000.