Filing your Income Tax Return (ITR) correctly is more than a yearly obligation — it’s a step toward financial responsibility, helping you avoid penalties, tax notices, and delays in refunds. As the assessment year 2025–26 begins, it’s time to gather your key financial documents: salary slips, Form 16, bank interest certificates, and investment proofs.
But even seasoned taxpayers can make simple mistakes that may cost them money or peace of mind. To ensure a smooth and error-free filing experience, here are five common ITR mistakes you must avoid this year:
- Missing the Filing Deadline
The deadline to file your ITR for most salaried and individual taxpayers is July 31, 2025. Filing after this date can lead to:
* A late fee of up to ₹5,000 under Section 234F
* Loss of the ability to carry forward certain losses
* Delays in processing and receiving your refund
Tip: Mark the deadline in your calendar and aim to file early to avoid last-minute issues. - Choosing the Wrong ITR Form
Using the correct ITR form is crucial. Filing under the wrong category may lead to rejection or processing delays.
* Use ITR-1 (Sahaj) if you’re a salaried individual earning up to ₹50 lakh without foreign assets or capital gains.
* Choose ITR-2 or ITR-3 if you have multiple properties, capital gains, or foreign income.
Tip: Double-check your income structure and consult a professional if unsure. - Not Reporting All Sources of Income
Many taxpayers unintentionally leave out smaller income sources. Every rupee matters. Ensure you report:
* Interest from savings and fixed deposits
* Dividend income
* Capital gains (stocks, mutual funds, property)
* Rental income
* Interest from lesser-used or dormant bank accounts
Failing to declare income — even unknowingly — can invite scrutiny or penalties from the tax department. - Ignoring Form 26AS & AIS Before Filing
Before submitting your return, review your Form 26AS and Annual Information Statement (AIS). These documents reflect:
* Tax Deducted at Source (TDS)
* Advance tax payments
* High-value transactions
Any mismatch between your records and what’s reported in these forms can lead to complications.
Tip: Address discrepancies before filing to avoid delays or income tax notices. - Not Verifying Your ITR
Submitting your return isn’t the final step. You must verify your ITR within 30 days — otherwise, it will be treated as invalid.
Quick ways to verify:
* Aadhaar OTP
* Net banking
* Electronic Verification Code (EVC)
Tip: Opt for online verification for quicker confirmation.
Final Words
Accurate and timely ITR filing doesn’t just save you from penalties — it helps you maintain a clean financial profile and ensures faster refunds. By avoiding these five common errors, you make your filing process smoother and stress-free.
If you’re unsure about any step, consider consulting a tax expert or using the official e-filing portal. Filing your taxes right the first time is always worth it.
