ITR Filing Rules: Major update is here for taxpayers. The recent update in the ITR forms for the assessment year 2026-27 involves the addition of a “secondary address” column to be filled by salaried employees alongside their primary address. This change is particularly relevant for employees living in rented accommodation in a city different from their hometown and claiming house rent allowance (HRA). The purpose of this new requirement is to enhance communication records and financial transparency for taxpayers, as explained by Mousumi Nagarsenkar, a Partner at Deloitte India.
The introduction of a secondary address is not solely focused on HRA claims but is expected to simplify the verification process for such claims. By providing both primary and secondary addresses, taxpayers will offer clarity on their rental arrangements and residency status. This rule is especially beneficial for employees benefiting from HRA under the previous tax regime, especially those living in cities like Delhi, Mumbai, or Bengaluru for work while having their permanent residence elsewhere.
While filling out the secondary address column is crucial, it alone does not guarantee approval of the HRA claim. To qualify for the HRA exemption, individuals must present valid rent receipts, a rent agreement, and the landlord’s PAN card. Any discrepancies or inaccuracies between the primary and secondary addresses could lead to scrutiny by the Income Tax Department during tax assessment.
In such cases, taxpayers might be required to provide additional documentation for verification, potentially causing delays in processing or even rejection of the HRA claim if supporting documents do not align with the addresses provided.
The last date for filing returns for salaried employees, pensioners, and taxpayers filing ITR-1 or ITR-2 remains July 31, 2026. This includes taxpayers whose income includes salary, interest, capital gains, or sale or purchase of one or two properties.
Taxpayers earning income from businesses or professions that are not subject to tax audits have received significant relief this time. These taxpayers, who file ITR-3 and ITR-4, will now be able to file their returns until August 31, 2026. This includes freelancers, doctors, lawyers, consultants, small businesses, etc. For cases requiring a tax audit, the deadline will be October 31, 2026.
Another major change this year concerns revised returns. Previously, the deadline for correcting errors in returns was December 31, but now this has been extended to March 31, 2027. This means that if any errors or omissions are subsequently discovered in tax exemptions, AIS, or Form 26AS, there will be more time to correct them.