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Income Tax Deadline Clarification Issued

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In response to a barrage of misinformation circulating on social media, the Income Tax Department has officially clarified that the deadline for filing Income Tax Returns (ITR) for the Financial Year 2024-25 (Assessment Year 2025-26) has not been extended beyond 15 September. A fake notice, which falsely claimed an extension until 30 September, has been widely debunked by the department, which is urging all taxpayers to file their returns promptly to avoid penalties.

The deadline for non-audited cases, which includes the majority of individual taxpayers, was previously extended from 31 July to 15 September by the Central Board of Direct Taxes (CBDT). This initial extension was granted to provide taxpayers with more time due to structural and content revisions in the ITR forms. However, despite this extension, a fake notice began to circulate on social media platforms, leading to confusion and a last-minute rush on the e-filing portal. The Income Tax Department took to its official social media channels to issue a firm statement, advising taxpayers to rely exclusively on official communication from the department.

Tax professionals and a number of professional associations, including the Advocates Tax Bar Association (ATBA), had been lobbying the Finance Ministry for a further extension. Their requests were based on a number of key challenges, including technical glitches on the e-filing portal, delays in the release of certain ITR forms and utilities, and discrepancies in data provided in the Annual Information Statement (AIS) and Form 26AS. Some professionals also highlighted the additional burden on taxpayers and professionals in states affected by natural disasters, which had disrupted work and connectivity. Despite these concerns, the government has maintained its position, signalling its determination to adhere to the revised deadline.

The e-filing portal has been under immense strain as the deadline looms, with tax professionals and individuals alike reporting a number of issues. These include website slowdowns, intermittent server outages, and validation errors. The Income Tax Department has responded by making its help desk available 24/7 to assist taxpayers with filing, payments, and other related services. Support is being offered through various channels, including phone calls, live chats, and dedicated sessions.

The consequences of missing the 15 September deadline are significant. According to the Income Tax Act, a late filing fee of up to ₹5,000 will be imposed on those with an annual income exceeding ₹5 lakh. For individuals with a total income below ₹5 lakh, a reduced fee of ₹1,000 is applicable. In addition to these financial penalties, taxpayers who file late may also lose certain benefits, such as the ability to carry forward business and capital losses. Furthermore, the option to switch between the old and new tax regimes is only available if the return is filed before the original deadline, meaning those who file a belated return will be unable to make this crucial choice.

As the deadline approaches, the Income Tax Department is urging all taxpayers to complete their filings as a matter of urgency. The department’s data from previous years shows a consistent rise in ITR submissions, indicating a wider tax base and increased digital adoption. This year, the department has already received over six crore ITRs, with a significant number still pending. The message from the authorities is clear: the deadline is final, and taxpayers must complete their compliance obligations to avoid any adverse consequences.

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VUK Business Bureau
VUK Business Bureauhttps://voiceofuk.in
The VUK Business Bureau covers economic developments, policy updates, and market trends with clarity and precision. Focused on delivering in-depth analysis of finance, trade, taxation, and entrepreneurship, the bureau provides readers with reliable insights into how business and economic decisions impact everyday life in Uttarakhand and across India.
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