Year-End Tax Planning Checklist Before 31 March 2027

Tax year 2026-27 (1 April 2026 to 31 March 2027) is the first year under the Income-tax Act, 2025. Whatever you plan to do for this year’s tax must be done by 31 March 2027. Here is a checklist for January to March, for individuals and for businesses.

For individuals

1. Decide your regime

Under the new regime, income up to ₹12 lakh (₹12.75 lakh for salaried people) is effectively tax-free, and most deductions don’t apply.
The old regime pays off only with large deductions (HRA, home loan interest, 80C, 80D, NPS).
Run both calculations with your actual numbers before investing for tax.

2. If you’re on the old regime: complete your investments

Deduction (old → 2025 Act section)	Limit	Ideas
80C → 123	₹1.5 lakh	PPF, ELSS, EPF/VPF, life insurance, home loan principal, children’s tuition, 5-year tax-saving FD, SSY
80CCD(1B) NPS (additional)	₹50,000	NPS Tier I
80D → 126 health insurance	₹25,000 (₹50,000 for senior citizens) + parents	Pay the premium by 31 March. Preventive check-up up to ₹5,000
80E → 129 education loan interest	No limit	Interest paid during the year
80G → 133 donations	50% / 100% (with or without limit)	Pay by bank, not cash above ₹2,000
Home loan interest (self-occupied)	₹2 lakh	Keep the bank’s interest certificate

Don’t invest only for tax. Choose products that match your goals and liquidity needs.

3. Submit proofs to your employer (January–February)

Employers collect investment and HRA proofs in January–February (Form 124, formerly 12BB). Missing it means higher TDS in February and March. You can still claim deductions in your ITR, but you’ll wait for a refund.

4. Pay the last advance tax instalment: 15 March 2027

If your total tax after TDS is ₹10,000 or more, the cumulative 100% of advance tax is due by 15 March. Include capital gains, rent, interest and freelance income. A shortfall attracts interest of 1% per month.

5. Review capital gains

LTCG on listed shares and equity funds up to ₹1.25 lakh a year is exempt. Consider booking gains up to this limit and reinvesting (gain harvesting).
Set off losses: selling loss-making investments before 31 March can offset gains (tax-loss harvesting). Short-term losses can be set off against both STCG and LTCG.
Property sold this year? Plan reinvestment under section 82 (old 54) or section 86 (old 54F), or invest in 54EC bonds (section 85) within 6 months of sale, or deposit in the Capital Gains Account Scheme before the ITR due date.

6. Fix last year’s return: 31 March 2027

For AY 2026-27 (FY 2025-26), the revised return window now runs to 31 March 2027 (with a fee after 31 December). Missed income spotted in AIS? Revise now. After that, only an updated return (ITR-U) with additional tax remains.

7. Other checks

Check AIS/TIS for this year so far, and look for unknown entries.
NRIs and returning residents: check your residential status day count before 31 March.
Senior citizens: submit Form 121 (formerly 15G/15H) for the next year in April to avoid TDS on interest.

For businesses and professionals

Income tax

Pay MSME suppliers (micro and small) within 15/45 days. Delayed payments are disallowed (section 43B(h) → s.37 of the 2025 Act)
TDS on year-end provisions (audit fees, expenses payable) credited by 31 March, deposited by 30 April
Put assets to use before 31 March if you want depreciation this year. Assets used for less than 180 days get half depreciation
Statutory dues (PF, ESI, bonus, leave encashment, GST) and interest to banks: pay by the ITR due date to claim the deduction
Advance tax: last instalment by 15 March (presumptive 44AD/44ADA taxpayers pay 100% by 15 March)
Partner remuneration and interest: check the deed and the section 40(b) limits, and deduct TDS (194T / 393(3))
Cash payments: avoid cash expenses above ₹10,000 per person per day
Regime and presumptive scheme decision for next year

GST

File a fresh LUT for FY 2027-28 before the first export invoice (ideally by 31 March 2027)
Reconcile GSTR-2B and books for the year. Follow up on missing supplier invoices
Reverse ITC on unpaid supplier invoices older than 180 days
Review QRMP opt-in or opt-out for the next year (the window closes on 30 April)
Check whether you’ll cross the e-invoicing threshold

Accounting and ROC

Physical stock count on 31 March
Balance confirmations from major debtors, creditors and lenders
Plan board meetings and the audit timeline (AGM by 30 September)
DIR-3 KYC due by 30 June if your three-year cycle falls this year

Frequently asked questions

Can I still invest for 80C if I chose the new regime at work?
If you have no business income, you can switch to the old regime when filing your ITR, by the due date. Investments made by 31 March will count.

Is it worth booking LTCG every year?
Using the ₹1.25 lakh exemption each year raises your cost basis, reducing future tax. Consider exit loads, transaction costs and your investment plan.

What if I miss the 15 March advance tax date?
Pay as soon as possible. Interest under the advance tax provisions applies per month, so the sooner the better.

Want a year-end review before 31 March? Garvita Jain & Co. compares both tax regimes on your numbers, reviews capital gains and advance tax, and for businesses runs a year-end checklist covering MSME payments, TDS, GST and depreciation. Contact us here, or at contact@garvitajainandco.com or +91 98678 16597.

This article is general information based on the law as of November 2026 and is not professional advice.

Sources

Official

Professional / CA publications

Year-End Tax Planning Checklist: What to Do Before 31 March 2027