Daijiworld Media Network - New Delhi

New Delhi, May 27: The Central Board of Direct Taxes (CBDT) announced on Tuesday that the deadline to file income tax returns for FY 2024-25 (Assessment Year 2025-26) has been extended from July 31 to September 15. This move aims to give taxpayers additional time to adapt to significant structural and content changes in the newly notified ITR forms.

In an official statement, the CBDT explained that extensive revisions to ITR-1 and ITR-4 — designed to simplify compliance, boost transparency, and ensure more accurate reporting — have required extra time for system upgrades and the rollout of corresponding e-filing utilities. With TDS credits from May-end filings only reflecting in early June, taxpayers faced a squeezed window to prepare and submit returns under the old deadline.

Key updates in the FY 2024-25 forms include:

• Inclusion of Long-Term Capital Gains (LTCG) in ITR-1: Taxpayers with LTCG up to ?1.25 lakh (and no carry-forward losses under the capital gains head) on the sale of listed equity shares or equity-oriented mutual funds can now file via the simplified ITR-1 (SAHAJ) form.

• Opt-in/Opt-out Clarifications for New Tax Regime: Those who switched out of the new income tax regime in AY 2024-25 must declare whether they wish to continue or revert their choice. First-time opt-outs in AY 2025-26 are required to submit Form 10-IEA acknowledgement details.

• Late Filing Guidance: The notification also addresses penalties and procedures for the belated submission of Form 10-IEA.

By stretching the due date to September 15, the CBDT expects taxpayers to experience a smoother, more accurate e-filing process. A formal notification will follow shortly. Taxpayers should use the revised ITR-1 and ITR-4 forms—effective for income earned between April 1, 2024, and March 31, 2025—and keep an eye on their TDS credit status when planning their returns.