Income Tax Filing Guide for Salaried Employees in India (2026)

As per the Income Tax Act, 1961, every individual whose total income exceeds the basic exemption limit is required to file an income tax return in India. For the financial year 2025-26, the basic exemption limits are: individuals below 60 years: ₹2.5 lakh; senior citizens (60-80 years): ₹3 lakh; super senior citizens (above 80 years): ₹5 lakh.

Even if your income is below the taxable limit, filing a return is beneficial for claiming refunds, carrying forward losses, and availing loans.

• Form 16: Issued by your employer
• Bank Statements: All savings and current accounts
• Interest Certificates: From banks and post offices
• Investment Proofs: For deductions under Section 80C, 80D, etc.
• Home Loan Certificate: Interest and principal certificates
• Rent Receipts: For HRA exemption

Step 1 – Gather Required Documents

Collect all necessary documents including Form 16, bank statements, investment proofs, and previous year's return.

Step 2 – Login to Income Tax Portal

Visit the official Income Tax e-filing portal at www.incometax.gov.in and log in using your PAN.

Step 3 – Select Appropriate ITR Form

Salaried individuals typically need to file ITR-1 (Sahaj) or ITR-2 depending on income sources.

Step 4 – Submit and Verify Return

After filling details, submit online and verify within 120 days through Aadhaar OTP or net banking.

• Selecting wrong ITR form
• Mismatched income details with Form 26AS
• Missing eligible deductions
• Incorrect bank details for refund
• Not verifying return after filing

Late filing fee up to ₹5,000 under Section 234F, interest at 1% per month on tax due, and inability to carry forward losses.