ITR Filing: This year, the tax department extended the deadline for filing income tax returns (ITRs) twice. This was due to technical issues, changes to forms, and delays in audit reports. For taxpayers who did not require an audit, the ITR filing deadline was September 16, 2025.

The Central Board of Direct Taxes (CBDT) has extended the tax audit report filing deadline from September 30 to October 31, 2025. However, for taxpayers who are required to have their ITR audited, there is no additional extension in the ITR filing deadline. The ITR filing deadline remains the same as the audit report.

For whom is ITR necessary?

In India, every individual whose annual income exceeds the taxable limit is required to file an ITR. For FY 2024-25, these limits are Rs 2.5 lakh for general taxpayers, Rs 3 lakh for senior citizens over 60, and Rs 5 lakh for super senior citizens over 80.

Even if your income is below these limits, filing an ITR may be necessary in certain cases: for example, if you have more than Rs 1 crore in your bank account, you spent more than Rs 2 lakh on foreign travel, or your electricity bill exceeds Rs 1 lakh.

Two categories of taxpayers

Taxpayers are divided into two categories: the non-audit category and the audit category. Let’s learn about these as well.

Non-Audit Category: This includes salaried individuals, pensioners, small businesses, or freelancers who do not require an audit of their accounts. The ITR filing deadline for this category was September 16, 2025.

Audit Category: This category covers businesses and professionals with an annual turnover of more than Rs 1 crore or professional income of more than Rs 50 lakh. They are required to submit account audit reports. This year, the audit report deadline has been extended to October 31, 2025, but the ITR filing date remains unchanged.

What to do if ITR is not filed on time?

If you fall into the non-audit category and haven’t filed your ITR by September 16th, you’re still not done. You can file a belated ITR until December 31, 2025. However, you will incur some penalties and interest.

If your income is more than Rs 5 lakh, you will have to pay a fine of Rs 5,000.

If the income is less than Rs 5 lakh, the penalty will be up to Rs 1,000.

Also, if tax is due, interest at the rate of 1% per month (under Section 234A) will have to be paid.

Income Tax Return: If you don’t understand the difference between tax rebate, deduction, and exemption, you could make a mistake while filing your return.

Even if you haven’t filed a belated ITR, the Income Tax Department can track your income through bank transactions, TDS, AIS, and SIS reports. If any discrepancies are found, you may receive a notice. Furthermore, you will not be able to file an ITR after December 31, 2025.

In some special cases, you can seek approval for filing late ITR through Condonation Request, but it will completely depend on the approval of the department. If the tax department discovers your undeclared income, you could face penalties ranging from 100% to 300%. In serious cases, a tax evasion charge and legal action are also possible.

Your ITR isn’t just a tax return, it’s proof of your financial standing. Failing to file your ITR can create difficulties when applying for bank loans, business loans, education loans, or visas for foreign travel. Banks and embassies alike view your ITR as a financial record.