Taxpayers can still file the income tax return after missing the deadline on July 31, 2026. Belated returns can be filed by December 31, 2026, for the Assessment Year 2026-2027. However, filing late returns can have consequences
Penalties on belated ITR filing
— In case a taxpayer forgets to file the income tax return, the late fee is Rs 5,000.
— For those with total income below Rs 5 lakh, the penalty incurred is Rs 1,000.
— There will be an interest of 1 percent a month on unpaid taxes as per Section 234A.
— The ability to carry forward losses such as capital losses, business losses, and Futures and Options losses will be lost.
As per available reports, roughly one in six people file the ITR late. The difference between the total ITRs filed by the end of the Assessment Year 2025-2026 and those filed by the deadline is approximately 1.5 crore.
Revised or Belated ITR Filing Provision
If a taxpayer files the return on time but finds an error later, a revised ITR can be filed. The error may include miscalculation of taxes, omitted deductions, and wrong income details. The deadline for submitting a revised return is March 31 or the completion of assessment, whichever comes first.
The provision to file a revised return is for those who filed the ITR on time or belatedly by December 31. According to a new provision under Section 234I, a taxpayer has to pay a penalty if the revised returns are filed after December 31 and on or before March 31 of the Assessment Year. Otherwise, no penalty is incurred for other revisions. Taxpayers must note that if the ITR was originally filed manually, it cannot be revised online.
The discard facility is available for those who have filed the return but have not completed the verification yet. The taxpayer can discard the ITR and file it afresh.
Income Tax Return – Updated
Under Section 139(8A), the ITR-U form can be used to file if no return was submitted earlier and to rectify the errors made in the original as well as the revised Income Tax Return. Income Tax Return-Updated (ITR-U) can be filed within 12 months from the end of the assessment year with an additional tax of 25 per cent, after 12 months but within 24 months with an additional tax of 50 per cent, and after 24 months but within the 4-year window with an additional tax of 75 per cent.
