New ITR Column in 2026: Did You Miss Exempt Income?

The ITR form for AY 2026-27 now has a new column to report income that is tax-free but still needs to be disclosed. If you received gifts from relatives, sold agricultural land, or got any non-taxable money, you should report it here to avoid notices.

Here's what happened: The Income Tax department updated the ITR utility for AY 2026-27, adding an 'Other Income' column under the Exempt Income Schedule for voluntary disclosure.. This new column is meant for tax-free receipts that don't fit existing categories — such as gifts from relatives, proceeds from rural agricultural land sales, or certain inheritances.. Tax experts warn that the department's Form 26AS and AIS systems already capture many large transactions, so mismatches from non-disclosure can trigger automated scrutiny notices..

What you should do: List all money you received in FY 2025-26 that you believe is tax-free — gifts from relatives, land sale proceeds, insurance maturity amounts — and check if any should be declared under the new column.. Cross-check your Annual Information Statement (AIS) on the income tax portal to see what transactions the department already has on record, so your ITR matches their data.. If any exempt income receipt was large (above ₹50,000 in gifts from non-relatives, or any significant land sale), consult a CA before filing to correctly classify and disclose it..

Gifts received from blood relatives are fully tax-free with no upper limit — but gifts above ₹50,000 from non-relatives are fully taxable. Reporting the exempt ones still protects you from mismatch notices.