BUDGET 2026: Misreporting Of Income To Attract A Penalty Equal To 100% Of The Tax Amount, All You Need To Know

Budget 2026: Finance Minister Nirmala Sitharaman said misreporting of income will attract a penalty equal to 100% of the tax amount, signalling a tougher stance on non-compliance under the income-tax framework.

Other points tabled by the Finance Minister Nirmala Sitharaman: 

TDS to apply on sale of immovable property by non-residents

6-month window announced for small taxpayers to disclose foreign assets

Time to revise ITR extended till March 31, with a small fee

July 31 deadline for filing ITR-1 and ITR-2 remains unchanged

TCS on overseas tour packages reduced to 2%

Simplified income tax rules to be notified soon

About Budget 2026

On Thursday, Union Finance Minister Nirmala Sitharaman tabled the Economic Survey of India in Parliament for the financial year 2025-26.

The tabling of the Economic Survey ahead of the Budget follows the long-standing tradition of outlining the state of the economy before detailing future fiscal plans.

The document provided a comprehensive, data-backed review of the economy’s performance over the previous year and offers a broad roadmap for future policy direction.

As the government’s flagship annual report, it reviews key economic developments over the past 12 months.

India’s real GDP growth for 2026-27 is projected in the range of 6.8-7.2 per cent, reflecting sustained medium-term growth capacity amid a challenging global environment. 

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