Tag: ITR-UN

Which ITR Form to File: ITR-1 to ITR-7 and ITR-UN Under Rule 164 (Tax Year 2026-27)

Posted on by CA Meet Dhrangadhariya

Last updated: 23 September 2026 · Written and reviewed by CA Meet Dhrangadhariya, CSM & Co LLP

Quick summary

  • Rule 164 of the Income-tax Rules, 2026 fixes the return form by taxpayer: SAHAJ (ITR-1) for simple resident individual income up to ₹50 lakh, ITR-2 for other individuals and HUFs without business income, SUGAM (ITR-4) for presumptive business income, ITR-3 for other business or profession income, ITR-5, 6 and 7 for other entities, and ITR-UN for updated returns.
  • ITR-1 is no longer limited to one house property: it now allows up to two, with no loss to carry forward, and long-term capital gains up to ₹1,25,000 under section 198.
  • Foreign assets, foreign income, directorship, unlisted equity shares held at any time in the year, agricultural income above ₹5,000 or total income above ₹50 lakh take you out of ITR-1 and ITR-4.
  • Return forms for tax year 2025-26 and earlier are those of that year (Rule 164(14)).

Filing on the wrong form can make the return defective or invalid. For tax year 2026-27, Rule 164 of the Income-tax Rules, 2026 lays out which form each type of taxpayer must use. This post summarises it. A return of tax year 2025-26 or earlier uses the form that applied in that year (Rule 164(14)).

The forms at a glance

Form For
SAHAJ (ITR-1) A resident individual (other than not ordinarily resident) with income from salary or family pension, house property (up to two), other sources, or small long-term capital gains, within the limits below
ITR-2 Individuals and HUFs with no income from business or profession who cannot use ITR-1
SUGAM (ITR-4) A resident individual, HUF or firm (other than an LLP) with presumptive business or professional income under section 58, and the other ITR-1-type conditions
ITR-3 Individuals and HUFs with business or professional income who cannot use ITR-1, ITR-2 or ITR-4
ITR-5 A person who is not an individual, HUF or company, and not covered by ITR-7: for example a firm, LLP, AOP or BOI
ITR-6 A company that is not required to use ITR-7
ITR-7 Persons including companies required to file under section 349 or Schedule VIII (trusts and institutions) or section 263(1)(a)(iv) or (v)
ITR-UN An updated return under section 263(6)

ITR-1 (SAHAJ): who can use it

A resident individual who is not a not ordinarily resident, whose total income includes income under:

  • Salaries, or family pension (section 93(1)(d)); or
  • House property, where he owns not more than two house properties and has no brought forward loss or loss to be carried forward under the head; or
  • Other sources, except winnings from lottery or income from race horses, and with no loss under the head; or
  • Capital gains, only if the gains are long-term gains under section 198 (listed equity with securities transaction tax) of not more than ₹1,25,000, with no brought forward loss or loss to carry forward.

Who cannot use ITR-1 (Rule 164(3))

  • anyone with assets (including a financial interest in an entity) located outside India, or signing authority in an account abroad, or income from any source outside India;
  • anyone with income to be apportioned under section 10;
  • a person who claims a deduction under section 93 other than under section 93(1)(d);
  • a director in a company;
  • a person who held any unlisted equity share at any time in the tax year;
  • a person assessable on income on which tax was deducted in the hands of another person;
  • a person who claims relief under section 159 or deduction under section 160 (foreign tax);
  • agricultural income above ₹5,000;
  • total income above ₹50 lakh;
  • a person on whom tax has been deducted under section 393(3) (Table serial 5);
  • a person whose tax payment or deduction has been deferred under section 391(2) or 392(3) (the ESOP of a start-up);
  • anyone with income on which tax is determined under Part A of Chapter XIII of the Act.

ITR-2

For an individual or HUF who is not eligible for ITR-1 and whose total income does not include business or professional income. It suits you if you have capital gains beyond the ITR-1 limit, more than two house properties, foreign assets or income, are a non-resident or a not ordinarily resident, are a director or hold unlisted shares, or have income above ₹50 lakh.

SUGAM (ITR-4)

For a resident (other than not ordinarily resident) individual or HUF, or a firm other than an LLP, who:

  • earns income from business or profession computed under the presumptive provisions of section 58; and
  • has capital gains, if any, only of long-term gains under section 198 up to ₹1,25,000.

A person cannot use ITR-4 if he has any of the exclusions in Rule 164(6): foreign assets, income or signing authority, a directorship, unlisted shares, total income above ₹50 lakh, more than two house properties, any brought forward loss or loss to carry forward under any head, agricultural income above ₹5,000, income of the nature in section 17(1)(d) on which tax is deferred (start-up ESOPs), relief or deduction for foreign tax, or income on which tax is determined under Part A of Chapter XIII.

ITR-3

For an individual or HUF with business or professional income who is not covered by the ITR-1, ITR-2 or ITR-4 rules. This includes presumptive taxpayers who do not meet the ITR-4 conditions, and professionals and traders who keep books of account.

ITR-5, ITR-6 and ITR-7

  • ITR-5: persons other than individuals, HUFs and companies who do not fall under ITR-7.
  • ITR-6: companies that do not fall under ITR-7.
  • ITR-7: trusts, institutions, companies registered under section 8 of the Companies Act, 2013 and others who must file under section 349 or Schedule VIII (Table serial 1.D(f)) or section 263(1)(a)(iv) or (v).

ITR-UN: the updated return

A person eligible to file an updated return under section 263(6) uses Form ITR-UN (Rule 165). See our post on late, revised and updated returns for the time limits and additional tax.

Examples

Taxpayer Form
Salaried, one house with a home loan, bank interest ITR-1
Salaried, sold listed shares and made long-term gain of ₹1,80,000 ITR-2 (the gain exceeds ₹1,25,000)
Salaried with RSUs of a foreign parent ITR-2 (foreign asset)
Salaried with three house properties ITR-2
Freelancer on presumptive income, income ₹18 lakh, no foreign assets ITR-4
Freelancer with a business loss carried forward ITR-3
Director of a private company ITR-2 or ITR-3
Firm or LLP ITR-5 (ITR-4 for a firm that is not an LLP and meets the presumptive conditions)
Company ITR-6
Charitable trust ITR-7

How to furnish and verify the return (Rule 164(11) and (12))

  • Nothing is attached to the return: no tax computation, proof of TDS or TCS or advance tax, or accounts or audit reports are to accompany it; keep them to produce on demand.
  • A company files electronically under digital signature.
  • A person whose accounts are audited files electronically under digital signature or transmits the data under an electronic verification code.
  • Any other person files electronically under digital signature, or with an electronic verification code, or transmits the data and then submits the verification in Form ITR-V.
  • An individual aged 80 or more filing ITR-1 or ITR-4 may also use the paper form.

Before you file

  1. List every source of income, every foreign asset and every unlisted share you held at any time in the year.
  2. Check the ITR-1 exclusions first, because most mistakes come from missing a foreign asset, an unlisted share or a directorship.
  3. Use the form that the department has notified for your year, as the utility may include details not in this summary.

Frequently asked questions

Who can file ITR-1 (SAHAJ)?

A resident other than not ordinarily resident individual whose total income does not exceed ₹50 lakh and includes salary or family pension, income from up to two house properties with no loss to carry forward, other sources (but not lottery or race horse income) with no loss, or long-term capital gains under section 198 up to ₹1,25,000, and who has none of the exclusions in Rule 164(3).

Who cannot file ITR-1?

Anyone with assets or signing authority outside India, foreign income, a directorship, unlisted equity shares held at any time in the tax year, agricultural income above ₹5,000, total income above ₹50 lakh, a non-resident or not ordinarily resident status, or income assessable in the hands of another person on which tax was deducted from that person.

Which form for capital gains?

ITR-1 only if the gains are long-term gains under section 198 of up to ₹1,25,000 and there is no brought forward loss. Short-term gains, gains above that figure or other types need ITR-2 (no business income) or ITR-3.

Which form for a freelancer or small business?

SUGAM (ITR-4) if you are a resident individual, HUF or firm (other than an LLP) with presumptive income under section 58, with none of the exclusions in Rule 164(6). Otherwise ITR-3.

Which form for a company or a trust?

ITR-6 for a company other than one that must use ITR-7. ITR-7 for persons who must file under the provisions for trusts and institutions (section 349, Schedule VIII and section 263(1)(a)(iv) or (v)). ITR-5 for firms, LLPs, AOPs, BOIs and other persons.

How is the return verified?

Electronically under a digital signature or by an electronic verification code, or, for most individuals, by sending the ITR-V after transmitting the data. An individual aged 80 or more filing ITR-1 or ITR-4 may also file on paper (Rule 164(12)).

Official sources

Related reading

Disclaimer

This article is for general informational purposes only and should not be considered professional advice. Please consult a qualified expert for advice tailored to your specific situation. The author and website owner are not liable for any errors or actions based on this content.

Late, Revised and Updated Income Tax Returns: Time Limits, Fee, Interest and Additional Tax (Tax Year 2026-27)

Posted on by CA Meet Dhrangadhariya

Last updated: 05 September 2026 · Written and reviewed by CA Meet Dhrangadhariya, CSM & Co LLP

Quick summary

  • A return missed by the due date can be filed within nine months from the end of the tax year (section 263(4)) with a fee of ₹1,000 if total income is up to ₹5 lakh and ₹5,000 otherwise (section 428), plus interest at 1% a month on tax due (section 423).
  • A return with an error can be revised within 12 months from the end of the tax year (section 263(5), as amended by the Finance Act, 2026); the same fee applies if the revised return is filed after nine months.
  • An updated return (ITR-UN) can be filed up to 48 months after the end of the financial year following the tax year, with additional tax of 25%, 50%, 60% or 70% of tax and interest (section 267).
  • An updated return cannot reduce tax, create or increase a refund, or be a loss return, with limited exceptions.

Missing the due date, finding an error or realising later that you left out income does not close the door on you. The Income-tax Act, 2025 gives three ways to file again, each with its own time limit and cost. This post uses the section numbers of the 2025 Act, which applies to tax year 2026-27 (income of FY 2026-27).

At a glance

Return Section Last date for tax year 2026-27 Cost
Original return 263(1) 31 July 2027 (other dates for audit and business cases) None
Belated return 263(4) 31 December 2027 (nine months from the end of the tax year) Fee under section 428 and interest under section 423
Revised return 263(5) 31 March 2028 (12 months from the end of the tax year) Fee under section 428(b) if filed after nine months
Updated return 263(6) 31 March 2032 (48 months from the end of the financial year following the tax year) Additional tax of 25% to 70% (section 267)

In each case the deadline is the earlier of that date and the completion of the assessment, except for the updated return.

1. Belated return (section 263(4))

If you did not file on or before the due date, you can file within nine months from the end of the tax year, or before the assessment is completed, whichever is earlier.

Fee (section 428(a)):

Total income Fee
Up to ₹5,00,000 ₹1,000
More than ₹5,00,000 ₹5,000

Interest (section 423): simple interest at 1% a month on the unpaid tax, from the day after the due date to the date of filing, where unpaid tax means tax on total income less advance tax, TDS and TCS paid. The interest is computed as I = 1% × A × T, where A is that tax and T is the number of months in the period.

Example. Total income ₹8,00,000 in tax year 2026-27; tax after TDS and advance tax is ₹50,000. You file on 31/10/2027, three months after the 31/07/2027 due date.

  • Fee: ₹5,000
  • Interest: 1% × 50,000 × 3 = ₹1,500
  • Pay the tax, the interest and the fee before you file; the return is not complete without them.

Consequences of a belated return: you may lose the right to carry forward a business or capital loss, because a loss must be determined in a return filed under section 263(1) (section 121). Some deductions and claims also need the return to be on time. Check each claim.

2. Revised return (section 263(5))

If you filed a return under section 263(1) or (4) and find an omission or a wrong statement, you can file a revised return within 12 months from the end of the tax year, or before the assessment is completed, whichever is earlier. The Finance Act, 2026 extended this period from nine to twelve months with effect from 01/04/2026.

If the revised return is furnished after nine months from the end of the tax year, you pay the fee in section 428(b): ₹1,000 if total income is up to ₹5,00,000 and ₹5,000 otherwise.

A revised return replaces the original. Use it for corrections such as TDS credit missed, a wrong deduction or income left out, if the time is open.

3. Updated return (section 263(6) and Rule 165)

An updated return can be filed by any person, whether or not he filed an earlier return, at any time within 48 months from the end of the financial year succeeding the tax year. It is meant to disclose additional income, and the return is in Form ITR-UN (Rule 165).

Additional tax (section 267(5)): on the aggregate of tax and interest payable on the updated return, including surcharge and cess:

When filed Additional tax
After the belated and revised return windows have expired, and within 12 months from the end of the financial year succeeding the tax year 25%
In the next 12 months 50%
In the third 12 months 60%
In the fourth 12 months, up to 48 months 70%

If the updated return is filed in response to a notice under section 280 within the time in the notice, a further 10% of tax and interest is payable.

You pay the tax, interest, fee and additional tax before filing, and attach proof of payment (section 267(3)).

When an updated return is not allowed (section 263(6)(c) and (d))

  • It is a return of loss, except where you had filed a loss return on time and the updated return is a return of income or reduces the loss.
  • It reduces the total tax liability from the earlier return.
  • It creates or increases a refund.
  • An updated return was already filed for the year.
  • An assessment, reassessment, recomputation or revision is pending or completed for the year (unless it is filed in response to a notice under section 280).
  • The Assessing Officer has information about a violation of specified laws, or information has been received under a tax treaty, and has been communicated to you before you file.
  • Prosecution proceedings have been started for the year.
  • Thirty-six months have expired from the end of the financial year following the tax year and a show-cause notice under section 281 has been issued.
  • A search, requisition or survey has been conducted, for the year of the search and earlier years.
  • A class of persons notified by the Board.

If a loss or credit carried forward is reduced by the updated return, an updated return must be filed for each later year that is affected.

Which to choose

  1. Missed the due date and no income was left out: file the belated return as soon as possible, so the fee and interest are smaller.
  2. Filed on time but made a mistake: file a revised return within 12 months.
  3. Left out income and the revised window has closed: file an updated return; the additional tax rises with delay.
  4. Left out income and you got a notice: respond as the notice says; the updated return route in response to a notice carries an extra 10%.

For FY 2025-26 (assessment year 2026-27)

Income of FY 2025-26 is still under the 1961 Act, with the Finance Act, 2026 amendments from 01/03/2026. The same ideas apply there under sections 139(4), 139(5) and 139(8A) of that Act, with fee under section 234F and interest under section 234A. The belated return for that year can be filed up to 31 December 2026 and the revised return until the end of the assessment year, 31 March 2027. Check your forms and the portal for the dates that apply to your return.

Frequently asked questions

What is the last date to file a belated return?

Within nine months from the end of the tax year, or before the assessment is completed, whichever is earlier (section 263(4)). For tax year 2026-27 that is 31 December 2027.

What is the fee for filing late?

₹1,000 if total income does not exceed ₹5,00,000, and ₹5,000 in any other case (section 428), plus interest under section 423 at 1% a month on the unpaid tax.

How long can I revise a return?

Within 12 months from the end of the tax year, or before the assessment is completed, whichever is earlier (section 263(5)). If you file the revised return after nine months from the end of the tax year, the same fee of ₹1,000 or ₹5,000 applies.

What is an updated return?

A return you can file at any time within 48 months from the end of the financial year following the tax year, whether or not you filed an earlier return, to report income you missed. It carries additional tax and is filed in Form ITR-UN (Rule 165).

How much is the additional tax on an updated return?

25% of tax plus interest if filed after the revised return window but within 12 months from the end of the financial year following the tax year; 50% in the second year, 60% in the third and 70% in the fourth. If filed in response to a notice, a further 10% (section 267(5)).

When is an updated return not allowed?

If it is a return of loss (with a limited exception), reduces tax, creates or increases a refund, was already filed once for the year, assessment or reassessment is pending or completed (with a notice-related exception), or in certain cases of search, survey, prosecution or information received (section 263(6)(c) and (d)).

Official sources

Related reading

Disclaimer

This article is for general informational purposes only and should not be considered professional advice. Please consult a qualified expert for advice tailored to your specific situation. The author and website owner are not liable for any errors or actions based on this content.