Taxpayer Dies: Who Files the ITR & Pays the Tax?

When someone dies, their tax filing duty doesn't die with them. Their legal heir or representative must file the final income tax return, or the family risks penalties, notices, and frozen assets during an already difficult time.

Here's what happened: Indian tax law requires a deceased person's legal heir or executor to file the final ITR on their behalf for the year of death.. The legal heir must register themselves on the Income Tax e-filing portal as a 'Representative Assessee' before filing on behalf of the deceased.. Any tax liability, refund, or pending notice related to the deceased transfers to the legal heir — who becomes personally responsible for resolving it..

What you should do: Register as a Representative Assessee on incometax.gov.in using the deceased's PAN and a copy of the death certificate — this must be done before filing.. Gather all income documents for the deceased for the financial year: salary slips, bank interest certificates, rental income, capital gains statements, and Form 26AS.. File the ITR within the standard deadline (July 31 for most taxpayers) or claim any refund due — unclaimed refunds can still be received by legal heirs after proper registration..

If the deceased had a pending income tax refund, legal heirs can claim it — but only after completing the Representative Assessee registration on the portal. Many families miss this and lose money that is rightfully theirs.