ITR-U or Updated Income Tax Return is the form that allows you to rectify errors or omissions and update your previous ITR. It can be filed within four years from the end of the relevant assessment year. For FY 2024-25, ITR-U can be filed from 1st April 2026 to 31st March 2030. In this article, we explain ITR-U in detail, including when it can be filed, the conditions under which it is allowed, and how additional tax liabilities are calculated.
Any person who has made an error or omitted certain income details in any of the following returns is eligible to file an updated return:
An Updated Return can be filed in the following cases:
A taxpayer can file only one updated return for each assessment year(AY).
ITR-U cannot be filed in the following cases:
Note: If the loss or any part thereof carried forward or unabsorbed depreciation carried forward or tax credit carried forward is to be reduced for any subsequent previous year as a result of furnishing an updated return of income for a previous year, an updated return is required to be furnished for each of the affected subsequent years as well.
The time limit for filing ITR-U is 48 months from the end of the relevant assessment year. You should note that for the AY 2025-26, the last date to file ITR-U is 31st March 2030. However, for the return that your file for AY 2024-25, the last date to file ITR-U is 31st March 2029.
The table for the previous four years have been shown in the table;
Financial & Assessment Year | Last date to file ITR-U |
FY 20-21 (AY 2021-22) | 31st March 2026 |
FY 21-22 (AY 2022-23) | 31st March 2027 |
FY 22-23 (AY 2023-24) | 31st March 2028 |
FY 23-24 (AY 2024-25) | 31st March 2029 |
FY 24-25 (AY 2025-26) | 31st March 2030 |
ITR-U Filed Within | Additional Tax |
12 months from the end of the relevant AY | 25% of additional tax (tax + interest ) |
24 months from the end of the relevant AY | 50% of additional tax (tax + interest ) |
36 months from the end of the relevant AY | 60% of additional tax (tax + interest ) |
48 months from the end of the relevant AY | 70% of additional tax (tax + interest ) |
As per the Income tax rules, the updated return (ITR-U) has to be furnished along with an updated version of the applicable ITR form (ITR 1 – 7).
There are two parts to the form- Part A & B. Follow the below-mentioned instructions for filling up the form:
Part A: General information
A1 PAN
A2 Name
A3 Aadhhar Card Number
A4 Assessment Year
A5 Select yes if you filed the return previously for the assessment year.
A6 If yes, look at the ITR acknowledgement (“Filed u/s”) to figure out if it was filed u/s 139(1) or others
A7 Next, enter the form no., acknowledgement no. or receipt no. and date of filing the original return (DD/MM/YYYY). You will find all these details in the ITR acknowledgement.
A8 Check the eligibility conditions mentioned above and select the appropriate option.
A9 Select the ITR form number.
A10 You must now select at least one reason for updating the ITR-U. (multiple selections are allowed)
A11 Depending on the months elapsed, choose whether return is filed within 12 to 48 months.
A12 In case the updated return reduces the balance of carried forward loss or unabsorbed depreciation, enter the assessment year in which they were affected because of the updated return. Also, mention if a revised or updated return was filed earlier.
Part B: ATI Computation Of Total Updated Income And Tax Payable
ITR-U can be verified in the following manner:
Your total income tax liability while filing ITR-U would be as under:
Total Income Tax Liability = Tax Payable + Interest + Late-filing fees + Additional Tax
Net Tax Liability = Total Income Tax Liability (as above) – TDS/TCS/Advance Tax/Tax Relief
Sr. No. | Particulars | Match figure from | Amount (in Rs) |
A | Tax payable on additional income as per modified ITR (as per Part B-TTI of modified ITR) | Modified ITR (submitted along with ITR-U) | XXXX |
B | Interest levied, if any, on additional income under Section 234A/234B/234C (as per Part B-TTI of modified ITR) | Modified ITR (submitted along with ITR-U) | XXXX |
C | Late fee, if any, under Section 234F (as per Part B-TTI of modified ITR) | Modified ITR (submitted along with ITR-U) | XXXX |
D | Taxes paid or relief TDS/TCS/Advance Tax/regular assessment tax/Relief | XXXX | |
E | Aggregate tax liability on additional income | A+B+C-D | XXXX |
F | Additional tax 25% or 50% or 60% or 70% on (E-C) | XXXX | |
G | Net Amount Payable | F+G | XXXX |
Try the fastest Tax Filing Software for ITR-U: TaxCloudIndia.
Before we dive into the step-by-step guide, here’s a quick overview of the entire process:
To prepare an ITR-U on TaxCloudIndia, follow the below-mentioned steps:
Step 1: Select the Client/Add the Client
If you have used TaxCloud for filing the ITR, select the return from the home page and then click on the ‘work on client’ button.
If you have filed the ITR through any other platform, click on the ‘import client button’ and upload the JSON file used for filing the ITR. This will recreate the return and help autofill the ITR-U on TaxCloud.
Step 2: Enable ITR-U
Once the return is selected or recreated, please ensure the return is marked as ‘Filed’. If not, go to the ‘Advanced Options’ and mark the return as ‘filed’.
On the next screen, you will see the status message. Click the ‘ITR-U 139(8A)’ button at the bottom right to enable ITR-U.
If your client has not filed an ITR for the selected period, go to the ‘Tax Filing’ tab > Click on the ‘Special Options’ tab > ITR-U Enabled.
Step 3: Instructions for filling out the ITR-U Schedules
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