As per the Income Tax Act, taxpayers with a tax liability exceeding Rs. 10,000 after TDS/TCS for the year, are required to pay advance tax in installments rather than a one time lump sum payment. However, taxpayers opting for the presumptive taxation are required to pay 100% of their advance tax in a single installment before the financial year end. Any non-payment or short-payment of advance tax will attract interest at the rate of 1% per month each under sections Sections 424 and 425 of the Income-tax Act, 2025 (formerly Sections 234B and 234C of the Income-tax Act, 1961).  Advance Tax Payment - FY 2026-27The due date to pay the 1st installment of advance tax payent for FY 2026-27 is 15th June 2026. Taxpayers are required to pay at least 15% of their total tax liability in the 1st installment. The subsequent advance tax payment dates are 15th September 2026, 15th December 2026, and 15th March 2027. What is Advance Tax?Advance tax is a ‘pay-as-you-earn’ scheme of income tax, where taxpayers pay off their tax liability for the year in four installments rather than a one time lump sum payment during ITR filing. The provisions related to advance tax are covered under section 403 to section 410 of the Income Tax Act, 2025.The taxpayer is required to estimate their annual earnings and pay taxes in installments through the financial year, ensuring that the government maintains a steady revenue stream.

Freelancers such as consultants, writers, designers, developers, and content creators are required to pay income tax on their earnings. In most cases, freelance income is taxed as Profits and Gains from Business or Profession (PGBP). This guide explains the taxability of freelance income, deductions available, presumptive taxation under Section 44ADA, advance tax, and ITR filing requirements for FY 2025-26 (AY 2026-27).Freelancing IncomeFreelancing income comes into the picture when you get hired to work on specific assignments for a particular term and get paid for the work upon completion and submission. In freelancing, you don’t have a guarantee of work for a period but you get flexibility with the work and time. You will not be an employee of the company or placed on their payroll.

Sectio 194J deals with TDS deduction on professional fees, technical fees and other specified payments. 10% TDS is generally deducted under this section, where the TDS rate of technical fees is 2%.  No TDS needs to be deducted of the payment during the financial year is within Rs. 50,000.TDS provisions for professional, technical, and other fess are dealt under section 393 of the Income Tax Act, 2025. Key HighlightsSection 194J deals with royalty, non-compete fees, professional and technical services.No TDS needs to be deducted up to a limit of Rs. 50,000 during the financial year.2% TDS is deducted for technical fees.

Section 54F exemption of the Income Tax Act helps taxpayers save long term capital gains tax on sale of any capital asset except residential house property, on satisfaction of certain conditions. Investing the sale proceeds in a residential property, you can claim an exemption up to Rs 10 crores.Key HighlightsOnly the proportion of sales proceeds invested in the new residential property can be claimed as an exemption.The new residential house should be situated in India.The exemption is available only to individuals and HUF, including non-residents.What is Section 54F Exemption?Section 54F provides capital gain exemption on sale of any property, other than a residential house property. Be it stocks, gold, commercial buildings, they are eligible for exemption under section 54F. Only the long term capital gains are eligible for this exemption. This means that you should have held the assets for more than 24 months, (12 months in some cases).

Gifts received by taxpayers are both taxable and not taxable under the Income Tax Act depending on who the person gifting is. Gift received from specified relative is completely not taxable. However, gifts receoved from non-relatives is taxable as “Income From Other Source” when the aggregate value of the gifts received in the year exceeds Rs. 50,000. Gifts received on the occassion of marriage is not taxable irrespective of the value and the person gifting. What is a Gift as per the Income Tax Act?As per Section 56 of the Income-tax Act, 1961 gifts received by any person or persons are taxed in the hands of the recipient under the head ‘Income from other sources’ at applicable slab rates.

ITR filing last date for FY 2025-26 (AY 2026-27) is on 31st July, 2026 for taxpayers filing ITR-1 and ITR-2. However, for individuals who have business income and not subject to tax audit, can file ITR-3 or ITR-4 within 31st August, 2026. A belated return can be filed by taxpayers missing the initial due date within 31st December of the assessment year i.e., within 31st December 2026 as per the Income Tax Act.Income Tax Filing FY 2025-26 (AY 2026-27)The Income Tax Department has released offline utility and enabled online filing of ITR-1, ITR-2 and ITR-4 for AY 2026-27.The due date to file ITR-1 & ITR-2 is 31st July 2026, whereas for ITR-3 and ITR-4 (non-audit) is 31st August 2026. Taxpayers missing the initial deadline can file a belated return before 31st December 2026 by paying additional late fees and interestITR Filing Last Dates for FY 2025-26The due date to file ITR for different types of taxpayers for FY 2025-26 (AY 2026-27) is as follows:ITR-1 and ITR-2 (Salary and capital gains income): 31st July 2026ITR-3 and ITR-4 (Business income - Non-audit cases): 31st August 2026ITR-3 and ITR-4 (Business income - Cases requiring audit): 31st October 2026Businesses requiring transfer pricing reports (international transactions or specified domestic transactions): 30th November 2026Belated (Late) Return: 31st December 2026Revised Return: 31st March 2027Updated Return (ITR-U): 31st March 2031 (within 4 years from the end of the relevant Assessment Year)*Due dates are applicable unless extended by the Income Tax Department.Can I File ITR After Due Date?Yes, if you failed to file ITR within the due date, you can still file a belated return before 31st December of the relevant assessment year. In case you fail to file a belated return, you can still file an updated return within 48 months (4 years) from the end of the relevant assessment year.The following table explains the purpose and due dates for belated and updated returns.Basis of DifferentiationBelated ReturnUpdated ReturnUsed byTaxpayers who have missed the original return filing due dateTaxpayers who have missed both original and belated return due datesDue Date31st December of the assessment year31st March of 4 years from the end of assessment yearDue Date for return FY 2025-2631st December , 202631st March 2031What if ITR Filing has Errors?Worried that you have already filed ITR and made some mistakes in it? You can easily revise the return that is already filed.1. Revised ReturnRevised returns allows the assessee to rectify the errors made in the original return filed by the him.The due date for filing revised returns is 31st March of the next year.Lets understand this with an example.

On the job change(s) made during the financial year, the employee will have Form 16 certificates from the current and previous employer. Consideration of financial information from both the employers is necessary for accurate ITR filing.Key HighlightsInclude income as per Form 16  from both employers from in your ITR.Submit Form 12B to report previous salary details to your new employer. Non intimation to the new employer may cause duplicate deductions and result in advance tax and interest liability.What is Form 16?Form 16 is a TDS certificate issued by the employer to the employee showing the total amount of salary paid to the employee and the amount of tax deducted on the total salary by the employer. Form 16 is issued by 15th June after the end of the financial year (year ending on 31st March, 2026). The last date of filing ITR is 31st July of the year succeeding the financial year (AY 2026-27).Salaried individuals who change jobs during a financial year will be issued multiple Form 16 from every employer. Reasons for Struggle in Filing ITR with Multiple Form 16Individuals face a struggle in filing ITR with Multiple Form 16 because of the complex calculations involved in calculating the total taxable income. Some entries of exemptions and deductions may have been duplicated or missed when producing Form 16 by multiple employers. For example, standard deduction, basic exemption limit, and other case specific deductions may be taken into account by current and previous employer, resulting in less TDS deduction.There can also be an increase in tax liability and penal interest because of the significant difference in the payment of advance tax.Challenges of Managing Multiple Form 16s: An IllustrationFor instance, Mr Raj left ABC company in December 2025 and joined a new company, XYZ, in January 2026. He has not been informed about his previous salary to XYZ.

Taxpayers receiving pension are required to report is under the head “Income From Salary” and pay applicable taxes as per the income tax slabs while filing ITR. The correct ITR form to be filed by pensioner depends on the various income sources of that taxpayer. Tax on Pension IncomePension received after retirement can be classified into commuted and uncommuted pension. Commuted pension refers to a lump sum amount that a taxpayer may choose to receive in advance by surrendering a part of their future monthly pension. This option allows the individual to get a fixed portion of their pension upfront. On the other hand, uncommuted pension is the regular monthly pension received over time and is not converted into a lump sum. For example, if someone opts to receive 10% of their total pension as a lump sum for 10 years, that amount is considered commuted pension, while the remaining 90% paid monthly is the uncommuted pension.The taxability for commuted and uncommuted pension is explained below:ParticularsUncommuted Pension Commuted or Lump Sum PensionPrivate Sector EmployeesTaxable as SalaryPartially Exempt*Government EmployeesTaxable as SalaryFully Exempt*Note:If gratuity is received: 1/3rd of commuted pension is exemptIf no gratuity is received: 1/2 of commuted pension is exemptExemption from ITR filing for PensionersUnder Section 194P - resident senior citizens aged 75 years or more do not have to file Income Tax Returns on satisfaction of certain conditions.

EPFO 3.0 transforms the way employees access their provident fund. With this upgrade, users will be able to enjoy facilities such as auto-claim settlement, instant withdrawals through ATMs and UPI, and seamless fund transfers to the bank account of their choice. This new version aims to make withdrawals quick and hassle-free.Key EPFO 3.0 UpdatesFeatureDetailUPI WithdrawalsUp to 75% of EPF balance can be withdrawn through UPIATM WithdrawalsEPFO to issue EPF-linked ATM cards to ensure easy withdrawalAuto-Settlement LimitAuto settlement limit has been increased to Rs. 5 lakh from the existing Rs. 1 lakhNo Employer ApprovalNo employer approval required as Aadhaar OTP and Self-certification allowed for standard withdrawalsBank Tie-upsEPFO tie-up with 32 public & private sector banks25% Lock-in RuleMinimum 25% balance must remain in account at all times for retirement savingsTax Rules UnchangedWithdrawals remain tax-free after 5 years but TDS applicable for early withdrawal exceeding Rs.

ITR-2 is an Income Tax Return form for individuals and HUF who do not have income from business or profession. It is applicable to taxpayers earning income from capital gains, more than two house property, and holding foreign assets or foreign income. ITR-1 is also applicable for NRIs. In simple terms, taxpayers who are not eligible for ITR-1 and do not have business or professional income should file ITR-2. The last date to file ITR-2 for FY 2025-26 (AY 2026-27) is 31st July 2026. ITR-2 Filing for FY 2025-26 (AY 2026-27)The Income Tax Department has enabled the online and excel utility based filing of ITR-2 form for FY 2025-26.