What is an updated return (ITR-U)?

Income Tax ITR Filing
21

Hi - First of all this post is amazing. So thank you!
I had income in India between Jan-Mar 2023 and I forgot to file since I am in the US (and was assuming US tax cycle). The income is based on consulting so tds has been deducted. I don’t think I owe anything.
Do I still need to file for ITRU for FY 2022-23? If yes, I would like for your company to help.
If not, when do I file taxes for this? Note, I don’t expect to make any India income in FY 2023-24.

Thanks much!

1 Like
22

Hey @ammo,

It is recommended to file the ITR since you had income and TDS was deducted on the same.

You can book a MEET, where one of our tax experts can help you file the ITR.

Hope it helps!

23

How do I file ITR3 for AY 21-22?

24

Hey @Shailesh_Tupe,

If you have any tax liability for AY 21-22, you can file an updated return, i.e. ITR- U. You can navigate to the Income Tax Portal and use the utilities to file the same.

25

previous years TDS can be claimed in present year ITR? I have not any other income. but last year TDS deducted for dividend income.this year I have to file ITR for capital gain

26

Hey @sara74,

You can file an updated return, ITR-U, for the previous FY and carry forward the TDS credits. You can then claim these credits in the current FY while filing the ITR.

27

Hello @TeamQuicko

I filed ITR-U for FY 21-22 sometime back and it got processed recently but I received a demand notice for additional interest under 234B.

This interest amount looks like is for the time taken by ITD to process the ITR.

Shall I pay this extra demand? Or need to file a rectification to avoid this demand which lacks common sense?

Thank you!!!

28

Hello @Nyk

In the case of ITR-U, the department levies interest under Section 234B until the date of processing by the ITD. Since this issue cannot be resolved through rectification, the best approach is to connect with your jurisdictional AO to get it corrected.

Hope this helps!

29

For example if my Total income itself is around 2.5 lakhs (new tax regime) and interest income is reported less by 5000 in ITR of last year

Is it really necessary to file updated return and pay additional tax?

Or Is it ok to just leave it without changes,

  1. Bcz the ITR is already processed by department mentioning “No Payment or Refund due”. And
  2. The total income even after I add unreported income won’t cross the basic exemption limit of 3lakhs.

Kindly suggest if any notice might be issued even if the income is less than basic exemption limit.

30

@Harish_Shenoy_R

Since your income is below the basic exemption limit, it is not mandatory for you to file the income tax return. In case any notice is issued from the income tax department, then you can report the correct value and explain the reasons in the response section.

1 Like
31

Hi, I have not filed ITR return for A.Y 2024-25 and his income is below 5 lakh. Should I file ITR U return. Im confused because my tax liability is Nil .

32

Hello @Danny

Since your income has exceeded the basic exemption limit, you are required to file your Income Tax Return. Even though your tax liability is NIL, it is still recommended to file the return.

33

An Updated Return (ITR-U) allows taxpayers to voluntarily correct or update their income tax return within 24 months of the end of the relevant assessment year.