With the extended Income Tax Return (ITR) filing deadline of September 15, 2025, for non-audit taxpayers fast approaching, tax experts say there’s little possibility of another extension. According to Avinash Polepally, Business Head at ClearTax, most taxpayers are expected to file their returns within the stipulated time, reducing the need for an additional extension.
Why a Further Extension is Unlikely
The due date for filing ITR for non-audit taxpayers was already extended by the Central Board of Direct Taxes (CBDT) from the usual July 31 to September 15. This initial extension was granted to provide taxpayers more time, particularly due to delays in the release of ITR forms and utilities. With the department having already provided this additional window, it’s highly unlikely that another extension will be announced. So far, the Income Tax Department has not issued any notification regarding a further extension.
Key Reasons to File on Time
Filing your ITR before the due date is critical to avoid unnecessary penalties and ensure a smooth process.
- Avoid Penalties: Failing to file by the deadline will lead to a late fee under Section 234F. The penalty is ₹5,000 if your total income is over ₹5 lakh, and a reduced penalty of ₹1,000 if your total income is up to ₹5 lakh.
- Tax Regime Choice: The new tax regime is the default option. If you wish to switch to the old tax regime to claim deductions and exemptions, you must file your return by the September 15 deadline. You cannot switch to the old regime while filing a belated return.
- Loss of Benefits: You will not be able to carry forward capital losses from the current year to offset against future gains if you miss the deadline.
- Smooth Processing of Refunds: Timely filing ensures that any tax refund you are due is processed and disbursed without delay.
- Financial Records: A filed ITR is a crucial document for loan or visa applications and serves as proof of income and tax compliance.
What Taxpayers Should Do
Tax experts advise individuals and businesses not to wait until the last minute. The e-filing portal often experiences technical slowdowns and crashes due to a sudden surge in traffic closer to the deadline. To ensure a seamless process, gather all necessary documents in advance, including Form 16, bank statements, and investment proofs. If you’ve already missed the deadline, you can still file a belated return until December 31, 2025, but you will have to pay the applicable penalty.
Final Word
With no expectation of an ITR filing deadline extension in 2025, taxpayers are urged to complete their returns by September 15. Procrastination could lead to penalties, loss of tax benefits, and missed refund opportunities. Don’t take a chance; file today to avoid the last-minute rush.
Disclaimer: The information provided in this article is for general informational purposes only and does not constitute financial or legal advice. Readers are strongly advised to consult with a qualified tax professional for personalized guidance regarding their specific financial situation.