ITR Filing 2025: Deadlines, Extensions, and Compliance for Salaried Taxpayers
As a salaried professional in India, keeping track of Income
Tax Return (ITR) filing deadlines is crucial to staying compliant and
avoiding penalties. The Central Board of Direct Taxes (CBDT) has made some
significant updates for the Financial Year (FY) 2024-25 (Assessment Year, AY
2025-26), including an ITR filing last date 2025 extended for certain
taxpayers. In this blog, I’ll walk you through everything you need to know
about ITR filing for 2025, from ITR filing start date to
deadlines, penalties, and why the extension was granted.
When is the start date for ITR filing 2025 (AY 2025-26)?
The ITR filing start
date for FY 2024-25 (AY 2025-26) officially kicks off on April 1, 2025.
This is when the Income Tax Department typically opens the e-filing portal for
taxpayers to submit their returns. However, this year, the release of ITR forms
was delayed by about a month, with ITR-1 and ITR-4 forms notified on April
29, 2025, and ITR-7 on May 11, 2025. The Excel utilities for ITR-1
and ITR-4 were made available on May 30, 2025, marking the practical
start of the filing season for salaried individuals and small taxpayers.
Salaried individuals usually require Form 16 from their
employer, as it contains details of their income and TDS. Since TDS statements
are due by May 31, 2025, and start reflecting in Form 26AS by early
June, it’s wise to wait until mid-June to ensure all your income and TDS
details are accurately reflected. That said, you can start preparing your
documents as early as April to avoid the last-minute rush.
ITR Filing Deadline for 2025: Who Gets the Extension?
For FY 2024-25 (AY 2025-26), the CBDT has extended the ITR
filing deadline for certain taxpayers, giving them extra time to comply without
penalties. Here’s the breakdown:
Non-Audit Taxpayers (Including Salaried Individuals):
The original deadline of July 31, 2025, has been extended to September
15, 2025. This applies to salaried employees, pensioners, and other individuals
or entities (like Hindu Undivided Families or HUFs) whose accounts don’t
require an audit under the Income Tax Act, 1961. This extension provides an
additional 46 days, making it easier for salaried taxpayers to file accurately.
Taxpayers Requiring Audit: If your accounts need to
be audited (e.g., businesses or professionals exceeding the audit threshold
under Section 44AB), the deadline remains October 31, 2025. The tax
audit report must be submitted by September 30, 2025.
Taxpayers with Transfer Pricing Reports: For those
required to submit a report under Section 92E (e.g., entities with
international or specified domestic transactions), the deadline is November
30, 2025.
Belated or Revised Returns: If you miss the September
15 deadline, you can file a belated return by December 31, 2025,
but you’ll face penalties and interest. Revised returns for correcting errors
can also be filed by December 31, 2025, under Section 139(5).
Updated Returns (ITR-U): If you miss all deadlines,
you can file an updated return under Section 139(8A) within 24 months
from the end of the assessment year, i.e., by March 31, 2028, but this
comes with additional penalties.
Why Was the Deadline Extended?
The extension from July 31 to September 15, 2025, for
non-audit taxpayers was announced by the CBDT on May 27, 2025, due to
several practical challenges:
- Delayed
Release of ITR Forms: Unlike previous years, when forms were released
in February or March, this year’s forms were notified in late April and
early May. This delay impacted the availability of e-filing utilities and
schemas needed for online submission.
- Significant
Form Updates: The ITR forms for AY 2025-26 have undergone structural
and content revisions to simplify compliance, enhance transparency, and
ensure accurate reporting. For example, salaried individuals with
long-term capital gains (LTCG) up to ₹1.25 lakh can now use ITR-1 or ITR-4
instead of ITR-2, thanks to changes in the Finance Act 2024. These updates
required additional time for system development and testing.
- TDS
Credit Delays: TDS statements, due by May 31, 2025, typically start
reflecting in Form 26AS by early June, leaving a tight window for accurate
filing under the original July 31 deadline. The extension ensures
taxpayers have enough time to verify TDS details and avoid mismatches.
- Stakeholder
Feedback: Tax professionals and associations, like the Karnataka State
Chartered Accountants Association, highlighted the challenges of meeting
the original deadline without updated utilities. This move by the CBDT is
in line with previous court decisions, including a 2021 ruling by the
Gujarat High Court, which stressed the importance of making filing
utilities available on time.
This extension is a welcome relief, especially for salaried
taxpayers who often scramble to gather documents like Form 16, which employers
typically issue in mid-June.
Penalties for Missing the Deadline
Timely filing of your ITR is important to steer clear of
penalties and legal issues. Here's what could happen if you miss the September
15, 2025 deadline:
- As
per Section 234F, a late
filing fee of ₹5,000 is charged if your income is above ₹5 lakh. If
it's below ₹5 lakh, the penalty is limited to ₹1,000.
- Interest
on Unpaid Taxes (Section 234A): You’ll be charged 1% per month
(or part of a month) on any unpaid tax amount from the original due date
until the filing date.
- Loss
of Benefits: Late filing disqualifies you from carrying forward certain
losses (e.g., from stock market investments or businesses) to offset
future income. You’ll also lose the option to choose the old tax regime
and will automatically fall under the new one.
- Refund
Delays: Filing after the deadline can delay your tax refund, and you
may lose interest on the refund for the delayed period.
- Legal
Notices and Scrutiny: Late filings increase the risk of notices from
the Income Tax Department, especially for high-value transactions, and
could lead to penalties up to ₹10,000 or prosecution in severe
cases.
Tips for Salaried Taxpayers to File ITR on Time
As a salaried individual, here’s how you can make the ITR
filing process smooth and stress-free:
- Choose
the Right ITR Form: Most salaried taxpayers with income up to ₹50 lakh
from salary, one house property, interest, or agricultural income (up to
₹5,000) can use ITR-1 (Sahaj). If you have capital gains, ITR-2
may apply unless your LTCG is within ₹1.25 lakh, in which case ITR-1 is
now allowed.
- Start
early by gathering key documents like Form 16, Form 26AS, and the AIS to cross-check your income and
TDS. Cross-check these with your bank statements and investment
proofs.
- File
Early to Avoid Penalties: With the extended deadline of September 15,
start preparing in June once you have Form 16. Early filing ensures faster
refund processing and reduces the risk of errors.
- Use
the E-Filing Portal: The Income Tax Department’s e-filing portal (www.incometax.gov.in) simplifies
the process with pre-filled data from Form 26AS and AIS. Sign in using
your PAN or Aadhaar number, select the right ITR form, and verify it
online.
- Consult
a Professional if Needed: If you have complex income sources (e.g.,
capital gains or foreign assets), consider consulting a chartered
accountant to avoid mistakes.
- Plan
for Tax Savings: Use deductions under Section 80C (e.g., PPF,
ELSS) or home loan interest to reduce your tax liability. File early to
plan your finances for the next year.
Why Timely Filing Matters
Filing your ITR on time isn’t just about avoiding penalties, it’s about financial discipline. A timely ITR strengthens your creditworthiness for loans, ensures faster refunds, and keeps you compliant with tax laws.
Use our Free Income Tax Calculator (FY 2024-2025 and FY 2025-2026)
Summary : ITR Filing Last Date 2025 Extended
The extension to September 15, 2025, for salaried and
non-audit taxpayers is a golden opportunity to file your ITR accurately without
the pressure of the usual July 31 deadline. Start preparing in April, gather
your documents by June, and aim to file by August to avoid any last-minute
hiccups. If you miss the deadline, you can still file a belated return by December
31, 2025, but why deal with penalties when you have extra time?
Stay proactive, double-check your details, and make the most of the e-filing portal’s user-friendly features. Got questions about ITR filing or need help choosing the right form? Drop a comment below, and I’ll do my best to guide you through it. Let’s make tax season 2025 a breeze!
