Salaried taxpayers in India are being warned to avoid 10 common mistakes when filing income tax returns for FY 2026-27 [1].
Precise filing is critical because errors can trigger government scrutiny. Incorrect submissions often result in income tax notices, delayed refunds, and the overpayment of taxes [1].
As the filing season for FY 2026-27 (AY 2027-28) approaches [2], experts emphasize the need for data accuracy [1]. Discrepancies between reported income and official records are a primary cause of friction with tax authorities. "Any mismatches in data can not only lead to income tax notices, but also delayed refunds," a reporter said [1].
One significant area of concern involves housing loan deductions. Taxpayers must manually provide details regarding the lender and the specific loan in the ITR [4]. This information may not be pre-populated in the digital forms, leaving the taxpayer responsible for the entry [4].
Beyond loan details, the selection of the correct ITR form is essential. Using the wrong form can invalidate a return or lead to the rejection of legitimate claims. "Taxpayers are advised to exercise caution while preparing and submitting their returns," a reporter said [2].
Failure to report all sources of income, including interest from savings accounts or capital gains, is another frequent error [1]. Tax authorities now have greater visibility into financial transactions through automated reporting, making undisclosed income easier to detect [1].
Taxpayers are encouraged to use a comprehensive checklist to verify their data before final submission. This includes cross-referencing Form 26AS and the Annual Information Statement to ensure all tax credits, and income figures align [1].
“"Any mismatches in data can not only lead to income tax notices, but also delayed refunds."”
The emphasis on these 10 mistakes reflects the Indian tax department's increasing reliance on automated data matching. As pre-population of forms becomes more common, taxpayers often mistakenly assume the system captures all eligible deductions, such as housing loans. This gap between automated data and manual requirements increases the likelihood of filing errors and subsequent legal notices.
