August 31 ITR Deadline: Non-Audit Business Taxpayers Must File by Today

August 31 Deadline for Non-Audit Business Taxpayers Approaching

Taxpayers with income from a business or profession whose accounts are not required to be audited must file their Income Tax Return (ITR) for the Assessment Year 2026-27 by Monday, August 31, 2026. The deadline applies to eligible taxpayers filing ITR-3 and ITR-4 forms, according to The Economic Times.

The Income Tax Department has said that more than 7 crore ITRs have already been filed for AY 2026-27. In an X post, the department urged those who have not yet filed to complete and verify their returns, stating: "Don't wait till the last minute. File your (non-audit) business or professional income ITR today."

The deadline applies to taxpayers using ITR-3 and ITR-4 forms. ITR-3 is filed by individuals and Hindu Undivided Families (HUFs) having income from profits or gains from business or profession who are not eligible to file ITR-1, ITR-2, or ITR-4, as reported by The Economic Times. This form is generally applicable to those generating income from business or profession who don't qualify for the other forms, according to Lokmat Times.

ITR-4 (Sugam) can be filed by a resident individual, HUF, or a firm (other than an LLP) having a total taxable income of up to Rs 50 lakh and income from a business or profession computed on a presumptive basis under Sections 44AD, 44ADA, or 44AE of the Income-tax Act, 1961, as detailed by both The Economic Times and Lokmat Times.

The Income Tax Department advised taxpayers filing ITR-3 or ITR-4 to select the correct form, report income accurately, and reconcile financial information with the Annual Information Statement to avoid late-filing consequences, as reported by Lokmat Times.

Who Needs to File

Shalini Jain, tax partner at EY India, told ET Wealth Online that other taxpayers like partners of non-audit firms are also liable to file their ITR by the August 31, 2026, deadline, as reported by The Economic Times.

Consequences of Missing the Deadline

Missing the deadline can lead to late filing fees, interest on outstanding tax, delays in refunds, and loss of certain tax benefits, according to Lokmat Times. A belated return for AY 2026-27 can be filed until December 31, 2026, or before completion of assessment, whichever is earlier, but late filing can forfeit the ability to carry forward losses, including eligible business or capital losses, the outlet reported.

The outlet also reported that a late filing fee of Rs 5,000 can be levied under Section 234F if the taxpayer's total income exceeds Rs 5 lakh, while the fee is capped at Rs 1,000 if total income does not exceed Rs 5 lakh. Taxpayers with unpaid taxes must also pay interest under Section 234A at the rate of 1 per cent per month or part of a month on the outstanding amount.

Individuals and other eligible taxpayers with business or professional income opting out of the default new tax regime for the old tax regime must also file their return by the due date, according to Lokmat Times. Taxpayers can file their returns through the income tax e-filing portal, as reported by The Economic Times.