Section 234I of the Income Tax Act – Fee on Late Filing of Revised Return

Budget 2026 extended the due date to file revised returns. Thus, allowing taxpayers to file revised returns before 31st March of the following tax year (assessment year), but by paying an additional late fee for revisions happening between 31st December and 31st March. 

What is Section 234I?

Section 234I of the Income Tax Act relates to the provision of late fees for revised returns filed between 31st December and 31st March of the following tax year. For FY 2025-26, taxpayers can file revised returns up to 31st December 2026 without any fees. 

However, an additional fee will be required if revised returns are filed between 31st December 2026 and 31st March 2027.

When Does Section 234I Apply?

The provisions of Section 234I apply only when the taxpayer files a revised return between 31st December and 31st March of the following tax year. However, taxpayers filing a revised return before 31st December do not have to pay any additional late fees under section 234I.

Fee Structure Under Section 234I

Section 234I imposes a similar late fee structure as that of Section 234F. For taxpayers with total income up to Rs. 5 lakh, the late fee is Rs. 1,000, and Rs. 5,000 for taxpayers with total income exceeding Rs. 5 lakh as per Section 234I. 

Section 234I Examples 

Case 1: Mr Ayush filed his ITR before 31st July 2026. However, in August, he realised he had made a mistake and needed to file a revised return, which he filed in September. As the revised return was filed before 31st December 2026, no late fee is applicable for Mr Ayush. 

Case 2: Mr Prem filed his ITR in June 2026, way before the due date. In December 2026, he realised an error in his ITR which required rectification. Accordingly, he filed his revised return in January 2027, i.e., after the initial deadline of 31st December 2026. 

His total income was Rs. 18 lakh. As he filed a revised return after the initial deadline and with an income of above Rs. 5 lakh, Mr Prem was required to pay Rs. 5,000 late fees. 

Case 3: Mrs Priya also filed her ITR before the due date, but realised that she had filed her ITR with an error. She filed a revised return in February 2027, and her total income was Rs. 4.5 lakh. As she filed revised returns late and her total income was below Rs. 5 lakh, she was required to pay Rs. 1,000 in late fees. 

Case 4: Mr Mayur filed his ITR in August, which is after the due date. This required him to pay late fees of Rs. 5,000 under Section 234F as his total income was above Rs. 5 lakh. However, in January 2027, he realised potential errors in his ITR, which he rectified by filing a revised return by paying an additional late fee of Rs. 5,000 under Section 234I for late filing of revised returns. 

The late fees charged under Sections 234F and 234I are not related to each other, which resulted in a combined late fee of Rs. 10,000 to Mr Mayur. 

Section 234I vs Section 234F – Key Differences

Section 234F imposes a late filing fee for delay in filing ITR, whereas Section 234I deals with penalties for furnishing incorrect or inaccurate information in the return. Both provisions aim to ensure timely and accurate tax compliance.

How to Avoid Fee Under Section 234I?

Taxpayers can avoid late fees under Section 234I by filing a revised ITR before 31st December of the following tax year. Late fee under Section 234I is only applicable when a revised return is filed between 31st December and 31st March of the following tax year. 

Important Dates for FY 2025-26 (AY 2026-27)