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News INCOME TAX

  • Feb 02, 2026
  • Extended ITR revision window, loss related updated return & more; 6 ways how revised ITR filing timelines in Budget 2026 will impact you

    The Union Budget 2026 marks a decisive shift in how individual taxpayers engage with the income-tax return (ITR) framework. Moving beyond rate-centric reforms, the government has focused on re-designing the compliance lifecycle spanning original filing, revision, updated return, and post-assessment corrections so that the tax compliance framework becomes more adaptive, less adversarial, and aligned with modern data flows. These changes, applicable largely from FY 2025-26 onwards, materially alter how taxpayers should plan timelines, documentation, and error-management strategies.

    1. Extended revision window: correcting returns with certainty
    A key reform is the extension of the time limit for filing revised returns. Until now, revised and belated returns shared a common deadline of 31 December following the end of the financial year. This effectively denied the opportunity of filing a revised tax return by those taxpayers filing belatedly, especially on or closer to 31st December.