ITR filing last date for FY 2019-20: The deadline to file an updated income tax return (ITR-U) for FY 2019-20 is 31 March 2023. The Finance Act of 2022 introduced the concept of updated returns to allow a longer duration for an assessee to file the return of income. Taxpayers who have missed reporting any income can file an ITR-U. “In the Union Budget 2022, the government introduced the ITR U form for updating income tax returns. The ITR-U form is a rescue for those who have not filed their ITR or made inaccurate and false entries while filing their income tax returns. For instance, for FY 2019-20 (AY 2020-21), an updated return can be filed by 31 March 2023," said Abhishek Soni, Co-founder & CEO of Tax2win.
What is ITR-U?
An updated income tax return or ITR-U is a form that allows taxpayers to file the ITR or to correct errors or omissions on their ITRs up to two years from the end of the relevant assessment year to update their return. A taxpayer could file only one updated return for each assessment year(AY).
What is the time limit to file ITR-U?
The time limit for filing ITR-U is 24 months from the end of the relevant assessment year.
Who can file ITR-U?
Any person who has made an error or omitted certain income details in original, belated, or revised returns can file an updated return.
Filing updated ITR? How much additional tax do you need to pay?
However, late filing is always associated with penalties. Abhishek Soni said one would need to pay an additional 25% of the tax and interest due on the income missed to be reported if the return is filed within one year from the end of the relevant assessment year.
He added that the penalty gets enhanced to 50 percent of additional tax and interest due if the return is filed after one year and within two years of the relevant assessment year.
Additional tax for filing ITR
The total tax liability a taxpayer must pay will be Tax payable + 50% of additional tax + interest + Late filing Fees ( if applicable).
