Now, taxpayers can file updated ITR for four years

The Income Tax department has notified ITR-U which will allow taxpayers to file updated returns for four years from the end of relevant assessment year (AY).

The Finance Act, 2025, had extended the time period for filing updated returns (ITR-U) to 48 months from 24 months from the end of relevant AY.

For ITR-U filed within 12 months and 24 months of the end of relevant AY, 25 percent and 50 percent additional tax have to be paid, respectively. For ITR-U filed within 36 months and 48 months, 60 percent and 70 percent additional tax will have to be paid by a taxpayer.

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