ITR for salaried employees with multiple house properties can be tricky, especially for AY 2026-27. Taxpayers often overlook how diverse income sources can impact their ITR form choice. For instance, if you own more than one property, it's crucial to understand how this affects your filing obligations.

A common mistake is assuming that simply being a salaried employee allows you to file the simpler ITR-1. Let’s take the example of Ramesh, a salaried individual who owns three rental properties. He mistakenly filed ITR-1, only to receive a notice from the tax department due to the mismatch with his Form 26AS. His rental income pushed him into the ITR-2 bracket, which he initially overlooked.

Here’s a breakdown of the different ITR forms and their applicable scenarios:

What’s critical is the mix of income sources. If you’re receiving rent, have capital gains, or any side business income, your ITR form choice becomes more complex. For example, another client, Neha, faced a notice for not disclosing her capital gains from mutual funds. The absence of this information created a mismatch with her AIS and led to unnecessary scrutiny.

To avoid these pitfalls, consider the following before filing:

• Review your income sources: Salary, rental income, capital gains, etc.
• Cross-check your Form 26AS against your declared income.
• Consult with a tax advisor if your income profile is mixed or complicated.

In conclusion, while being a salaried employee might seem straightforward, multiple house properties and additional income streams necessitate careful consideration of the correct ITR form. Don’t hesitate to seek professional help to ensure compliance and avoid future notices from the tax department.