CA K Sanjay BhargavChartered Accountant
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Missed Schedule FA? You can still fix it with a revised return

CA K Sanjay Bhargav, Chartered Accountant, Bengaluru

Membership No. 250054 · DISA (ICAI)

Published · Last updated

It is a common realisation, usually a few weeks after filing: the return went in, the salary and the TDS were right — and nobody disclosed the vested RSUs or the US brokerage account in Schedule FA.

The good news: it is fixable, and the window is open. The important part: fix it now, voluntarily, rather than after a query.

The deadline for AY 2026-27

Return typeDeadline
Belated return (never filed)31 December 2026
Revised return (filed, needs correcting)31 March 2027

In each case, or before the assessment is completed — whichever comes earlier. So if you have already filed and only need to add Schedule FA, you are in revised return territory and the window runs to 31 March 2027.

That window is longer than it used to be, and it is no longer free throughout. The Finance Act 2026 substituted Section 139(5) with effect from 1 March 2026 so that a revised return may be filed before the end of the relevant assessment year — 31 March 2027 for AY 2026-27, where the old provision cut off three months earlier. In the same breath it inserted Section 234-I, a fee for revising late in that window: ₹1,000 where total income does not exceed ₹5 lakh, and ₹5,000 in any other case.

Practitioners are reading the fee as biting on revisions filed after 31 December 2026. The section's own wording measures the trigger in months from the end of the relevant year, and that phrasing is not free from doubt, so confirm the cut-off before promising a client a free revision in the closing months. The practical point stands either way: revise early in the window and the fee does not arise at all.

A revised return replaces the original entirely — it is not an amendment or an add-on. So the revised return must be complete and correct in every respect, not just in the part you are fixing.

Why this is worth doing immediately

Schedule FA sits under the Black Money (Undisclosed Foreign Income and Assets) Act, not merely the Income-tax Act. Non-disclosure of a foreign asset can attract a penalty of ₹10 lakh per year of default and possible prosecution — independent of any tax actually due. (Foreign assets other than immovable property below ₹20 lakh are now outside that exposure, but disclosure is still the correct course.)

Read that asymmetry carefully. The tax on a handful of vested shares may be small or nil. The consequence of the omission is not scaled to the tax. That is exactly why "there was no income, so it didn't matter" is a bad reason to leave it.

There is also the practical reality: foreign-asset information reaches the department through international exchange of information. An omission is not invisible, and it does not age well. A voluntary correction made before any query is a materially better position than an explanation offered after one.

What "fixing it" actually involves

  1. Pull the right period. Schedule FA is reported for the relevant accounting period — for the US, the calendar year, not the Indian financial year. This trips up most self-filed corrections.
  2. Report the holdings and the account. The vested shares and the brokerage account itself, with initial value (vesting-date FMV), peak value during the period, and closing value.
  3. Check the income side too. If dividends were received, they belong in income — with the DTAA credit claimed via Form 67, which is a separate filing. See how Form 67 actually works.
  4. Check the form. Once Schedule FA applies, ITR-1 is not available — you need ITR-2 (or ITR-3 if you also have business income). If the original went in on ITR-1, the revision fixes that too.
  5. File the revised return complete, not just the missing schedule.

For the field-by-field mapping from your broker statement, see Schedule FA from your broker statement, line by line.

If the window has closed

For an older year where the revised-return window is gone, a revised return is simply not available. An updated return may be possible for certain periods, and there are disclosure routes specific to foreign assets. The most significant of those right now is FAST-DS 2026, a one-time window to settle undisclosed foreign assets at 60% of value rather than the 120% the Black Money Act charges. Those routes are case-specific and time-bound — worth raising early rather than waiting, because the options narrow with time, not widen.

What to send

Your filed return (ITR-V / acknowledgement), your Form 16 (Form 130 from FY 2026-27), and your broker statements — vesting, dividend and sale reports, plus Form 1042-S if issued. The revised return with a complete Schedule FA is prepared from those for your approval before filing.

For the full picture of how foreign RSUs are taxed and disclosed, see RSU, ESOP and foreign stock taxation for resident employees.

Download the Schedule FA peak balance worksheet

The month-by-month working that computes peak value for you, the account and holdings tables with the source for every field, and a pre-filing checklist. CSV — opens in Excel or Google Sheets.

Your number is used to answer questions on the worksheet and on foreign asset reporting. No third-party sharing, and you can ask to be removed at any time.

Frequently asked questions

I already filed. Can I still add Schedule FA?

Yes. For AY 2026-27 a revised return can be filed up to 31 March 2027, or before the assessment is completed — whichever is earlier. A revised return replaces the original.

What is the deadline exactly?

For AY 2026-27: a belated return can be filed up to 31 December 2026, and a revised return up to 31 March 2027 — in each case with the applicable consequences.

Will revising the return trigger scrutiny?

Revising is a normal, provided-for step and is far better than leaving a foreign-asset omission on record. Non-disclosure of foreign assets is treated seriously and independently of the tax; correcting it voluntarily, before any query, is the stronger position.

I had no income from the shares — does it still need fixing?

Yes. Schedule FA is a disclosure of holdings, not of income. Vested shares and the brokerage account are reportable even where you sold nothing and earned nothing.

What if the window has already closed for an older year?

Then a revised return is no longer available and the position needs a different route — an updated return may be possible for certain periods, and there are disclosure mechanisms for foreign assets. That is a case-specific conversation worth having early.

Filed already and realised Schedule FA is missing?

Send your filed return and broker statements. The revised return and Schedule FA are prepared for your review — the sooner it is corrected, the better the position.

Related service: Foreign Income / RSU & ESOP