The Income Tax Department has recently rolled out two important updates for taxpayers. These changes are relevant for individuals, professionals, and companies filing their returns for previous and current assessment years. Let’s break them down.
1. Updated Return Filing for AY 2021-22 and AY 2022-23 Expanded
What’s New?
The facility to file Updated Returns under Section 139(8A) for Assessment Years 2021-22 and 2022-23 has now been extended to ITR-3 and ITR-4 forms.
Earlier, this option was already available for ITR-1 and ITR-2.
Why It Matters?
If you missed reporting any income, made an error, or want to rectify your previously filed return, you can now use the Updated Return (ITR-U) option for these assessment years — even if you have business or professional income (ITR-3) or presumptive income (ITR-4).
Important Points About Updated Returns (New Rules):
- Can now be filed within 48 months from the end of the relevant Assessment Year (earlier limit was 24 months).
- Additional tax is payable based on the time of filing:
- Within 12 months: 25% of the aggregate of tax + interest.
- After 12 months but within 24 months: 50% of the aggregate of tax + interest.
- After 24 months but within 36 months: 75% of the aggregate of tax + interest.
- After 36 months but within 48 months: 100% of the aggregate of tax + interest.
- Helps in correcting past mistakes and avoiding future notices.
Example:
If you forgot to include capital gains in your ITR for AY 2021-22, you now have more time — up to 48 months — to file an Updated Return, though the additional tax payable will be higher for later filings.
2. ITR-6 Excel Utility Now Available for FY 2024-25 (AY 2025-26)
What’s New?
The Excel Utility for ITR-6 (used by companies other than those claiming exemption under section 11) is now live on the Income Tax e-Filing portal for Financial Year 2024-25.
Who Uses ITR-6?
- Private Limited Companies
- Public Limited Companies
(excluding companies whose income is exempt under Section 11 — i.e., charitable/religious trusts)
Why It Matters?
- Enables companies to prepare their return offline using Excel and then upload it to the portal.
- A helpful option for professionals who prefer working in offline mode rather than the online interface.
Where to Access These Updates
Both facilities are available on the official Income Tax e-Filing portal:
🔗 https://incometax.gov.in/iec/foportal/
Quick Summary Table
| Update | Applicable To | Assessment Year(s) | Key Benefit |
|---|---|---|---|
| Updated Return Filing (ITR-3 & ITR-4 added) | Individuals, Professionals, Businesses | 2021-22 & 2022-23 | Rectify errors or missed income in old returns — now with 48-month limit |
| ITR-6 Excel Utility | Companies (except sec. 11 exempt) | 2025-26 | Prepare & file return offline |
You can contact team of Tax Experts to file Your ITR at 9150010300 or visit www.legalsahayak.com
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