2025–26 Income Tax Return (ITR) Guide for Salaried Employees in India

Filing an Income Tax Return (ITR) is a legal responsibility for salaried employees in India. For the Financial Year 2024–25 (Assessment Year 2025–26), the Income Tax Department has introduced simplified rules, updated tax slabs, and clearer compliance guidelines. However, many salaried individuals still feel confused about which ITR form to file, tax regime selection, deductions, and deadlines.

This complete guide will help salaried employees understand how to file ITR for AY 2025–26 correctly and on time, while avoiding common mistakes.

Who Should File ITR for AY 2025–26?

You must file an Income Tax Return if:

• Your annual income exceeds ₹2.5 lakh

• You want to claim a tax refund

• TDS has been deducted by your employer

• You have income from multiple sources

• You want to carry forward losses

• You are applying for a visa or a loan

Even if your income is below the taxable limit, filing ITR is recommended for financial records and credibility.

Old Tax Regime vs New Tax Regime (AY 2025–26)

Salaried employees can choose between two tax regimes:

🔹 Old Tax Regime

• Allows deductions under:

  • Section 80C (LIC, PPF, ELSS)

  • Section 80D (Health Insurance)

  • HRA, LTA, standard exemption

• Suitable if you have high investments and deductions

🔹 New Tax Regime (Default)

• Lower tax rates

• Fewer deductions

• Standard deduction of ₹50,000 available

• Best for employees with minimal tax-saving investments

Choosing the correct regime is crucial for reducing tax liability.

Which ITR Form Should Salaried Employees File?

Most salaried individuals fall under one of these forms:

✔ ITR-1 (Sahaj)

Use this if:

• Income up to ₹50 lakh

• Salary or pension income

• One house property

• Other income (interest, etc.)

✔ ITR-2

Use this if:

• Income exceeds ₹50 lakh

• More than one house property

• Capital gains income

Choosing the wrong form may lead to rejection.

Documents Required for ITR Filing

Keep the following documents ready before filing:

• Form 16 (issued by employer)

• PAN card & Aadhaar card

• Bank statements

• Form 26AS & AIS

• Investment proofs (if opting for the old regime)

• Home loan or education loan details (if applicable)

Proper documentation ensures accurate filing and faster processing.

Step-by-Step Process to File ITR for Salaried Employees

Step 1: Collect Income Details

Verify salary breakup, allowances, exemptions, and deductions from Form 16.

Step 2: Check Tax Regime

Calculate tax under both regimes and choose the most beneficial option.

Step 3: Log in to Income Tax Portal

Access the official portal of the Income Tax Department using PAN credentials.

Step 4: Select ITR Form

Choose ITR-1 or ITR-2 based on eligibility.

Step 5: Fill Income & Deduction Details

Enter salary income, interest income, deductions, and tax payments.

Step 6: Verify & Submit

Submit the return and complete e-verification using Aadhaar OTP, net banking, or EVC.

Important Due Date for AY 2025–26

• 31 July 2025 – Last date to file ITR without a late fee

• Filing after the due date may attract:

  • Late fee up to ₹5,000

  • Interest under Section 234A/B/C

  • Loss of certain benefits

Timely filing helps avoid penalties and stress.

Common Mistakes Salaried Employees Should Avoid

• Selecting the wrong tax regime

• Not matching Form 26AS with Form 16

• Forgetting interest income from savings accounts

• Missing deductions under the eligible sections

• Not verifying the return after submission

These mistakes can delay refunds or cause notices.

How Bharat eFiling Point Helps Salaried Employees

Filing ITR may look simple, but even a small error can lead to penalties or notices. Bharat eFiling Point provides expert-assisted income tax return filing services for salaried employees across India.

With us, you get:

• Accurate tax calculation

• Correct ITR form selection

• Regime comparison support

• Error-free filing

• Quick refund processing

Our professionals ensure your return is compliant and optimized.

Conclusion

Filing Income Tax Return for AY 2025–26 is an essential financial responsibility for salaried employees. Understanding tax regimes, choosing the correct ITR form, and filing on time can save money and avoid future complications. With proper planning and professional guidance, ITR filing becomes smooth and stress-free.

For reliable and hassle-free ITR filing, Bharat eFiling Point is your trusted partner.