: The countdown to March 31, 2026, has begun. For taxpayers in India, this date is not just the end of the Financial Year 2025-26, but also a final deadline for several critical compliance tasks. Missing these could lead to hefty fines, interest under Section 234, and the loss of valuable tax-saving benefits.
Even though March 31 is a holiday (Mahavir Jayanti), the Income Tax Department has directed all its offices to remain open to assist taxpayers with last-minute filings and assessments.
1. Last Call for Tax-Saving Investments (Section 80C & 80D) If you are still under the Old Tax Regime, March 31 is your last chance to invest in instruments like PPF, ELSS, Life Insurance, and NPS to claim deductions up to ₹1.5 lakh. Additionally, health insurance premiums paid under Section 80D must be completed by this date to lower your taxable income.
2. Filing Updated Returns (ITR-U) March 31, 2026, is the absolute deadline to file an Updated Return (ITR-U) for Assessment Year 2021-22 (FY 2020-21). If you missed filing your return earlier or made an error, this is your final window to correct it, albeit with an additional tax penalty.
3. New PAN Application Rules from April 1 Huge changes are coming to PAN card applications. Until March 31, you can apply for a PAN using only your Aadhaar card. From April 1, 2026, the process becomes stricter, requiring additional documents like birth certificates or passports. If you need a new PAN or an update, do it now to avoid the extra paperwork.
4. Advance Tax and TDS Reconciliation Ensure that your 4th installment of Advance Tax is fully paid. Also, salaried individuals should submit all investment proofs to their employers immediately. Failure to do so will result in a significantly higher TDS deduction from your March salary.
5. Verification of AIS and Form 26AS Before the year ends, cross-check your Annual Information Statement (AIS) and Form 26AS. Any mismatch between your reported income and the department’s records could trigger a scrutiny notice in the coming months.
Read More: Tax Deadline 31 March : 5 Crucial Tax Tasks You Must Complete to Avoid Heavy Penalties and Notices
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