Income Tax Portal Update: Facility for filing ITR-U will be provided shortly

The Income Tax Department E-filing Portal has notified an update regarding the filing of income tax returns.

The portal mentioned that “Facility for filing updated returns for the AYs 2021-22 and 2022-23 as per Finance Act, 2025 will be provided shortly.”

The updated return (ITR-U), as the name suggests, under section 139(8A) permits individuals to correct any filing errors and update the preceding income tax return or file a missed return. The notion of ITR U, or updated returns, was introduced in the Union Budget 2022.

Starting in April 2025, the deadline for filing an Updated Income Tax Return (ITR-U) has been increased from two to four years. However, an updated ITR can only be filed to record increased income and increased tax liability; unlike a revised ITR, it cannot be used to claim deductions or lower tax liability. This was announced in the Budget 2025.

For example, if a taxpayer submitted an ITR for the financial year 2023-24 (Assessment Year 2024-25), they may have filed an Updated ITR between January 1, 2025 and March 31, 2027. With this budget amendment, the deadline has been extended until March 31, 2029.

Who is Eligible to File Form ITR-U?

Any taxpayer, whether he has filed an original return, revised return, or belated return, may file an updated return under Section 139 (8A) if there is an omission, inaccuracy, or incorrect statement in his earlier income return.

An Updated Return can be filed if:

• Return previously not filed.
• Income not reported correctly.
• Wrong heads of income chosen.
• Reduction of carried forward loss.
• Reduction of unabsorbed depreciation.
• Reduction of tax credit u/s 115JB/115JC.
• Wrong rate of tax.

ITR-U Filing Deadline: Time Limit and Due Dates

The time limit to file an updated return under Section 139 (8A) has been extended from two to four years beginning April 2025 (as announced in Budget 2025-26), from the end of the relevant assessment year.

For example:

Thus, for FY 23-24 (AY 2024-25), the updated return can be filed till March 31, 2029.