Revised Return

As a taxpayer, it is important to know the details about filing the revised return. It becomes very important in case you made mistakes in tax calculations or misreported the tax deductions. You can avoid the penalties for the incorrect filing by submitting a revised return. You can maintain an accurate financial record by filing the revised income tax return.

What is Revised Return?

The revised return is a corrected version of an Income Tax Return, which is filed again due to some changes in the old ITR. These changes could be due to some mistakes, to correct errors, to update the missing details, or because of the misclassification of taxes. Here are the key aspects of the revised return:

• It is considered a legal provision under Section 139(5).
• Taxpayers are allowed to correct their ITR if there are any mistakes or errors found.
• There is a time limit for filing the revised return.
• There should be proper reasons for filing again.
• You can consider the end of the assessment year as the revised return time limit.
• The reasons could be incorrect income details, errors in personal information, or unclaimed tax deductions.

How to file a Revised Return?

The process of filing the ITR revised return is a very simple process, and it can be done online by using the e-tax filing portal of the Income Tax Department. Here are a few steps that you should follow:

• Log in to the portal of tax filing and go to the revised return section.
• Select the correct year of the assessment and under section 139 (5), choose the revised return option.
• Enter the acknowledgment number and the other details of the original return.
• Make all the necessary corrections and make sure to fill in the correct information about the income, tax liabilities, and tax calculations.
• Verify the filled revised return and then submit it on the website by using the digital signature certificate (DSC) or Electronic verification code (EVC).
• Make sure to keep the receipt for your future reference.

Reasons for Filing a Revised Return

There could be several reasons for filing the tax return again. It can be from correcting errors to changes in taxes. Here are the possible reasons why you need to file a revised return:

1. Missed Reporting

If you have failed to report certain sources of income or forgot to claim the tax deductions, then you need to file a revised ITR.

• Forgot to mention the interest income that comes from the savings accounts and fixed deposits in banks.
• You have not reported the income from rental properties and profits from asset sales.
• You have forgotten to claim the tax deductions under sections 80C, 80D, or 24(b).

2. Changes in Tax Calculations

If there is an error in calculating the taxes, then revising a return becomes important. This can result in wrong tax liability.

• Due to a calculation mistake in the refund amounts or payable income tax.
• If you have claimed tax credits and exemptions incorrectly.
• If there is some adjustment needed after you receive a notice from the IT department.

3. Error correction

If the errors of the original ITR are affecting the tax liability, it is important to correct them.

• If you wrote any incorrect personal details, like bank account number, PAN number, or address.
• If there are some mismatches in tax deductions that are claimed.
• If you have filled in the wrong Form 26AS details.
• If you have mistakenly filed under the wrong tax slab.

4. Other Situations

There could be some other circumstances due to which you have to submit a revised return:

• If there are any modifications in tax laws.
• If there is a mismatch by the Income Tax Department.
• If you submit late receipts for the documents.
• If important documents, such as the TDS certificate, are received after the original ITR is filed.
• If the department asks for clarification and changes.

Important points to consider

To make sure that the process is smooth, the taxpayers must consider some of the important points while filing the revised return:

• File within the revised return time limit.
• Mention the details correctly and originally.
• It should be filed before the assessment is completed or the relevant AY ends.
• Maintain accuracy while doing corrections.
• Make sure to enter the filing date of the original ITR and the acknowledgement number for future reference.
• Don't forget to verify the corrections done in tax calculations, deductions, and income before submitting them.
• Use the correct form to file a revised return.
• Make sure to e-verify the revised return once.
• You must use the same ITR form for filing the revised return section that you have used for the original ITR.
• You should avoid making multiple revisions.
• You should complete your submissions by using the Aadhaar OTP or net banking for validation.
• Make sure to revise the return only when it is necessary. Frequent and various changes may trigger the tax department.
• You should keep a copy of the acknowledgement of the revised return for audit or assessment purposes.