Form ITR – U & How to File ITR – U Form

Form ITR - U & How to File ITR - U Form

Tax filing season can be stressful for many eligible people, but it doesn’t have to be anymore. Introducing the newly released ITR U form, filing taxes has become simpler and easier. But before you start filing your taxes with ITR U, it’s important to understand this new form and how it works.

In this article, we’ll dive deep into all ITR U – New Form details. We’ll provide all the essential information you need to know, from who is eligible to file ITR-U to the time limit for filing your taxes with this new form. We’ll also help you understand why you should opt for the ITR-U form over other forms of tax filing available and how this will benefit you in the long run.

What Is ITR-U Form?

If you have forgotten to file an income tax return or made mistakes in filing your ITR, now you need not worry about it anymore. You have a chance to update your income tax return within two years, computed from the year-end in which you filed your original return, as mentioned in section 139 (8A) under the Income Tax Act. Under the ITR-U, individuals’ or companies’ tax charges will be reduced to a minimum without prohibiting the tax laws.

Who Can File ITR-U?

Any taxpayer can file an updated return that has committed an error or omission in certain income details in filing an original return of income, a belated return, or a revised return can file an updated return of income tax. In the following cases, an updated return can be filed:

  • When missed the deadline of filing return and belated return deadline and omitted to file the return.
  • When income is mentioned under the wrong head
  • When incorrect income is declared
  • Tax to be paid at the wrong rate of return
  • The carried forward loss reduced
  • The unabsorbed depreciation reduced
  • When the tax credit under section 115JB/ 115JC reduced

A taxpayer can be eligible to file any one updated return applied for each assessment year.

Who Is Not Eligible to File ITR-U?

A taxpayer cannot file or is not eligible to file ITR-U in the following circumstances:

  • If a taxpayer is already filed an updated return
  • In case of filing nil/loss return
  • In case of claiming the refund or increasing the amount of the refund
  • When updated return results in reducing tax liability.
  • When a search of a building or a place proceeding by an income tax officer under section 132 against the taxpayer.
  • When a survey is conducted on business premises under section 133A
  • The income tax officers u/s 132A seized the assets, books of accounts, or any document belonging to the search person.
  • If the assessment/reassessment/revision/re-computation is pending or completed for the relevant assessment year.
  • When the tax liability adjustment is done with TDS credit/losses, there is no additional tax liability.

What is the Limited Time to File ITR-U?

The due date to file an ITR-U is 24 months from the end of the applicable assessment year. Thus in the current financial year 2023-24, updated returns for AY 2021-22 and AY 2022-23 can be filed. The last date for filing an updated ITR is March 31.

For example, if an updated return is filed between the date April 1, 2023, and March 31, 2024, a penalty applicable is 25% of additional tax, interest, and late filing fees.

If an updated return is filed between April 1, 2024, and March 31, 2025, the penalty charged is 50% of additional tax and interest, along with late filing fees.

How to File Form ITR-U?

To file Form ITR-U is required the following details of the taxpayers are required:

General Information (Part A)

  • PAN
  • NAME
  • Select yes if you furnished the previous return for the assessment year.
  • If yes, consider the file u/s of the ITR, whether it was filed u/s 139(1) or any other.
  • After that, enter form no. u/s no. or receipt no. and date of filing the original return.
  • Consider eligibility conditions and the option appropriate accordingly.
  • Now select the ITR form no.
  • As mentioned earlier, you should select at least one of the reasons for updating the ITR-U.
  • If the updated return is reduced by the amount of carried forward loss or unabsorbed depreciation, you should fill in the affected assessment year for the updated return.

How to Compute the ITR-U?

The formula for calculating income tax liability is as follows:

Total Income Tax Payable = Tax Payable + Interest charged +Late filing fee +

Additional Tax

Net Tax Payable = Total Income Tax

Liability – TDS/TCS/Advance Tax/Tax Relief

What are the benefits of filing an ITR-U Form?

It is a huge relaxation for the taxpayers now as they get a further 24 months to record income tax returns even after the time limit ends for filing the original Income Tax Return, Belated Income Tax Return, and revised ITR passed. Taxpayers have the advantage of reporting their missed out income and can pay applicable taxes on it. Hence, ITR-U saves taxpayers from future tax notices and litigation.


The ITR U form is a great way to stay updated with the latest income tax regulations and ensure you file your taxes correctly and on time. This new form is designed to make filing your taxes easier, and with its larger number of eligible taxpayers, it’s sure to be a popular and welcome addition to the tax filing process.

With the ITR U form, managing your income and filing your taxes has never been easier. So if you’re a taxpayer looking to ensure you’re coming by the most out of your tax filing experience, ITR U is the form for you!

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