ITR filing : The deadline for residents to submit their amended or late Income Tax Returns (ITR) for the Assessment Year (AY) 2024-2025 has been extended by the Central Board of Direct Taxes (CBDT).
The deadline has been moved from December 31, 2024, to January 15, 2025. Taxpayers now have two more weeks to finish or amend their forms thanks to this extension.
“CBDT extends the last date for furnishing a dated or revised return of income for AY 2024-25 in the case of resident individuals from December 31, 2024, to January 15, 2025,” the CBDT announced on X. The board’s authority under Section 119 of the Income-tax Act of 1961 was used to make the modification.
Two particular situations are covered by this expansion. First of all, it helps those who were unable to file their ITR by the original deadline of July 31, 2024, and who had until December 31 to make a late return. Second, it gives taxpayers more time to file their updated returns if they need to make revisions to previously filed forms.
Currently, there is a late fine for taxpayers who file their returns after the deadline. The cost is Rs 1,000 if the taxable income is less than Rs 5 lakh. The late cost rises to Rs 5,000 for people whose taxable income exceeds Rs 5 lakh.
When submitting their ITR, taxpayers frequently make mistakes or omit information, such as missing income data or making inaccurate deduction claims. People can fix these errors with a corrected return. In addition to ensuring respect to tax laws, filing a revised ITR might help evade fines or further investigation.
Only a small percentage of Indians file income tax returns, despite repeated efforts to promote tax compliance. Only 6.68% of Indians submitted ITRs for the fiscal year 2023-2024, according to a recent revelation made in Parliament by State Finance Minister Pankaj Chaudhary.
“6.68% of the population submitted an income tax return in FY 2023–2024. He told the Rajya Sabha on December 17 that 8,09,03,315 people were filing income tax forms overall.
Taxpayers who might have had trouble making the December 31 deadline are intended to benefit from the new deadline. Additionally, it guarantees that people who need to update or rectify their returns have enough time to do so without needless hurry.
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