ITR for AY 2026-27: The 31 July Deadline and What Section 139(1) Means for Loss Carry-Forward
The income-tax return for AY 2026-27 is due 31 July 2026. Here is what tomorrow's compliance calendar holds, why Section 139(1) governs loss carry-forward, and the rates that shape your filing.
The trading calendar for Thursday, 18 June 2026 carries no central-bank decision and no scheduled board meeting, but it sits inside the most important compliance window of the year for individual taxpayers. The income-tax return for Assessment Year 2026-27 — covering income earned in Financial Year 2025-26 — opened on the e-filing portal, and the statutory due date for non-audit individual cases is 31 July 2026, now just over six weeks away. The first advance-tax instalment for FY 2026-27 fell due on 15 June 2026, three days before tomorrow's session, so the desk that matters most this week is the one between your bank statements and the assessment year selection box on the portal.
This watchlist sets out what is statutorily fixed for the day ahead, what is merely standing policy, and what is genuinely unconfirmed — so you can separate a hard deadline from market noise.
Statutory Deadlines
There is no single hard cutoff dated 18 June 2026 in the income-tax calendar — the 7th-of-month TDS deposit and the 15 June first advance-tax instalment have both passed, and the next monthly GST cycle runs to the 20th. What 18 June marks is the start of the runway to the headline deadline: the ITR due date of 31 July 2026 for individuals and HUFs whose accounts do not require audit, as published in the Income Tax Department's e-filing help pages.
Selecting the correct year is the first thing that trips filers. For income earned between 1 April 2025 and 31 March 2026 (FY 2025-26), the return is filed for AY 2026-27. The portal defaults can be misleading, so confirm the assessment year before validating the return.
The table below sets out the statutory due dates that govern this filing season under Section 139 of the Income Tax Act.
| Taxpayer category | Statutory due date (AY 2026-27) | Governing provision |
|---|---|---|
| Individual / HUF, no audit | 31 July 2026 | Section 139(1) |
| Taxpayer subject to tax audit | 31 October 2026 | Section 139(1) |
| Belated or revised return | 31 December 2026 | Sections 139(4) / 139(5) |
The most consequential reason to hit the 31 July 2026 date rather than file late is loss carry-forward. Under Section 139(1) read with Section 80, the carry-forward of losses under the heads of business income and capital gains is permitted only if the return is filed on or before the original due date. Miss 31 July 2026 and a belated return filed up to 31 December 2026 still accepts your income, but the business loss and the capital loss you wanted to set off against future gains are forfeited. The one statutory exception is loss from house property and unabsorbed depreciation, which the law allows you to carry forward even with a belated return.
Late filing also carries two cash penalties. A fee under Section 234F of Rs 5,000 applies to a return filed after 31 July 2026, reduced to Rs 1,000 where total income does not exceed Rs 5 lakh. Separately, interest under Section 234A runs at 1 per cent per month on any unpaid self-assessment tax from 1 August 2026 until the return is filed.
The 15 June 2026 instalment that just passed is the first of four. The full schedule under Section 211 for FY 2026-27 — relevant for anyone whose tax liability after TDS exceeds Rs 10,000 — is set out below.
| Instalment | Due date | Cumulative advance tax payable |
|---|---|---|
| First | 15 June 2026 | 15 per cent |
| Second | 15 September 2026 | 45 per cent |
| Third | 15 December 2026 | 75 per cent |
| Fourth | 15 March 2027 | 100 per cent |
Shortfalls against these cumulative thresholds attract interest under Sections 234B and 234C. If you missed the 15 June 2026 instalment, the practical step before tomorrow is to compute the gap and top it up to limit the Section 234C interest clock. Our advance-tax glossary entry explains how the cumulative percentages are applied.
Market Events
No Monetary Policy Committee meeting is scheduled for 18 June 2026. The standing position, fixed at the RBI MPC review of 6-8 April 2026, is a repo rate of 5.25 per cent, held unchanged with a neutral stance for the second consecutive meeting. The Standing Deposit Facility sits at 5.00 per cent and the Marginal Standing Facility at 5.50 per cent. This level follows a cumulative 125 basis points of easing delivered through 2025, which brought the policy rate down from 6.50 per cent to 5.25 per cent. Verify the current rate against the RBI's monetary-policy page before acting on it.
For market participants, the relevant tax-season events are the capital-gains numbers that flow into the AY 2026-27 return rather than any fresh policy signal tomorrow. Long-term capital gains on listed equity are taxed at 12.5 per cent above an annual exemption of Rs 1.25 lakh; short-term gains on the same assets are taxed at 20 per cent, both rates effective from 23 July 2024. These figures matter on 18 June because the loss set-off you are entitled to claim against them depends entirely on filing by 31 July 2026.
The standing tax framework for FY 2025-26 also shapes the return you are about to file. The new regime carries a Section 87A rebate of up to Rs 60,000 for total income up to Rs 12 lakh and a standard deduction of Rs 75,000 for salaried filers. Those constants, not a tomorrow-dated event, are what decide your final liability.
The regime choice itself is exercised inside the return. For a salaried filer with no business income, the new regime is the default for AY 2026-27, and you may switch to the old regime simply by selecting it while filing before 31 July 2026. The surcharge on the highest incomes is worth confirming too: in the new regime the surcharge for total income above Rs 5 crore is capped at 25 per cent, not the 37 per cent that applied under the old regime. For most filers the decision reduces to comparing the Rs 75,000 standard deduction and Rs 60,000 rebate of the new regime against the specific deductions, such as the Section 80C limit of Rs 1.5 lakh, that only the old regime allows.
Earnings
The briefing for 18 June 2026 confirms no scheduled corporate results, and this watchlist will not manufacture an earnings calendar. The honest entry here is a reconciliation task rather than a results print.
Before any return is filed for AY 2026-27, reconcile three documents: Form 26AS, the Annual Information Statement (AIS), and the Taxpayer Information Summary (TIS) on the e-filing portal. Dividend income, interest credited above Rs 10,000, and the full record of securities transactions now pre-populate the AIS, and a mismatch between what the AIS reports and what you declare is the most common trigger for a Section 143(1) intimation. Verifying these figures before the 31 July 2026 deadline is the single highest-value pre-filing action a market investor can take this week.
If your portfolio generated capital gains in FY 2025-26, model the post-tax outcome before you commit numbers. Our SIP calculator, lumpsum calculator and step-up SIP calculator help you project the contribution side; the tax side then runs off the 12.5 per cent LTCG and 20 per cent STCG rates noted above.
FAQ
What is the ITR due date for AY 2026-27?
For individuals and HUFs whose accounts are not subject to audit, the due date under Section 139(1) is 31 July 2026. Taxpayers requiring a tax audit have until 31 October 2026. These dates are published on the Income Tax Department's e-filing portal.
Why does filing by 31 July 2026 matter for losses?
Section 139(1) read with Section 80 permits carry-forward of business and capital losses only when the return is filed by the original due date. A belated return filed up to 31 December 2026 still records your income but forfeits the right to carry those losses forward, with the sole exception of house-property loss and unabsorbed depreciation.
What happens if I file after 31 July 2026?
A late-filing fee under Section 234F of Rs 5,000 applies, reduced to Rs 1,000 if total income does not exceed Rs 5 lakh. Interest under Section 234A also accrues at 1 per cent per month on unpaid self-assessment tax until the return is filed.
Did I miss an advance-tax deadline this week?
The first advance-tax instalment for FY 2026-27, requiring 15 per cent of estimated liability, fell due on 15 June 2026. If your tax after TDS exceeds Rs 10,000 and you missed it, topping up promptly limits interest under Section 234C.
Is there an RBI policy decision on 18 June 2026?
No. The repo rate stands at 5.25 per cent following the 6-8 April 2026 MPC review, held with a neutral stance. There is no scheduled MPC meeting on 18 June 2026.
How are my equity capital gains taxed in AY 2026-27?
Long-term capital gains on listed equity are taxed at 12.5 per cent above an annual exemption of Rs 1.25 lakh. Short-term gains on the same assets are taxed at 20 per cent. Both rates have applied since 23 July 2024.
Can I still revise my return after filing?
Yes. A revised return under Section 139(5), and a belated return under Section 139(4), can both be filed up to 31 December 2026 for AY 2026-27. However, revising does not restore loss carry-forward rights lost by missing the 31 July 2026 original due date.
Sources & Citations
- Income Tax Returns - e-Filing Services Help — Income Tax Department
- Monetary Policy Statements — Reserve Bank of India
Frequently Asked Questions
What is the ITR due date for AY 2026-27?
For individuals and HUFs whose accounts are not subject to audit, the due date under Section 139(1) is 31 July 2026. Taxpayers requiring a tax audit have until 31 October 2026. These dates are published on the Income Tax Department's e-filing portal.
Why does filing by 31 July 2026 matter for losses?
Section 139(1) read with Section 80 permits carry-forward of business and capital losses only when the return is filed by the original due date. A belated return filed up to 31 December 2026 still records your income but forfeits the right to carry those losses forward, with the sole exception of house-property loss and unabsorbed depreciation.
What happens if I file after 31 July 2026?
A late-filing fee under Section 234F of Rs 5,000 applies, reduced to Rs 1,000 if total income does not exceed Rs 5 lakh. Interest under Section 234A also accrues at 1 per cent per month on unpaid self-assessment tax until the return is filed.
Did I miss an advance-tax deadline this week?
The first advance-tax instalment for FY 2026-27, requiring 15 per cent of estimated liability, fell due on 15 June 2026. If your tax after TDS exceeds Rs 10,000 and you missed it, topping up promptly limits interest under Section 234C.
Is there an RBI policy decision on 18 June 2026?
No. The repo rate stands at 5.25 per cent following the 6-8 April 2026 MPC review, held with a neutral stance. There is no scheduled MPC meeting on 18 June 2026.
How are my equity capital gains taxed in AY 2026-27?
Long-term capital gains on listed equity are taxed at 12.5 per cent above an annual exemption of Rs 1.25 lakh. Short-term gains on the same assets are taxed at 20 per cent. Both rates have applied since 23 July 2024.
Can I still revise my return after filing?
Yes. A revised return under Section 139(5), and a belated return under Section 139(4), can both be filed up to 31 December 2026 for AY 2026-27. However, revising does not restore loss carry-forward rights lost by missing the 31 July 2026 original due date.