The central government introduced the (ITR-U) facility for taxpayers in the year 2022. Under this facility, taxpayers can correct the income tax return and re-file it within 2 years from the relevant assessment year.

New Delhi: The Income Tax Department has issued an advisory for taxpayers filing updated income tax returns. The tax department appealed to the taxpayers and said that the last date for filing updated ITR is near. In such a situation, file it as soon as possible to reduce additional financial responsibility and reduce low penalty. The last date for filing ITR-U or revised income tax return is March 31, 2025. Let us tell you that through updated ITR, taxpayers can disclose any undeclared income. Apart from this, you can also correct the mistakes made in the previous return.

The ITR-U facility was started in the year 2022

The central government started the (ITR-U) facility for taxpayers in the year 2022. Under this facility, taxpayers can correct the income tax return and re-file it within 2 years from the relevant assessment year. News agency PTI reported in its report that Minister of State for Finance Pankaj Chaudhary in the Lok Sabha informed through his written statement that a total of 4.64 lakh updated ITRs have been filed till February 28 for the assessment year 2024-25, while Rs 431.20 crore has been paid. At the same time, in the assessment year 2023-24, 29.79 lakh people had filed ITR-U, and an additional payment of Rs 2947 crore was made.

There will be benefit if you file before 31 March

Let us tell you that except for some special cases, anyone including individuals, businesses or other entities can file updated ITR. The Income Tax Department said on its social media account, on filing ITR-U now = 25% additional tax + interest. On filing after March 31, 2025, 50% additional tax + interest. Please file income tax return under the provision u/s139(8A) of the Income Tax Act 1961.

New rule will come into effect from April 1

It is known that while presenting the budget for the financial year 26, Finance Minister Nirmala Sitharaman had proposed to increase the period for filing revised ITR from 24 months to 48 months, which will come into effect from April 1. In such a situation, taxpayers will get more time to correct the mistakes in their previous returns or disclose any assets.