Navigating ITR Filing for AY 2025-26: Extended Deadline & Expert Tips for Salaried Individuals
Sikar, Rajasthan, India – The Central Board of Direct Taxes (CBDT) has announced a welcome extension for Income Tax Return (ITR) filing for Assessment Year (AY) 2025-26, pushing the deadline from July 31st to September 15, 2025. This extension acknowledges the “extensive changes introduced in the notified ITRs” and the time needed for system readiness. While employers were still required to issue Form 16 by June 15th, salaried individuals now have more breathing room to adapt to the new reporting requirements.
Deepak Jain, Founder and CEO of TaxManager.in, provides crucial insights for a seamless filing experience, particularly for salaried employees facing these updates.
Key Changes and New Reporting Requirements:
- Updated Form 16 and Form 12BAA: Form 16, the cornerstone for salaried individuals, now includes additional fields for declaring “other income” such as interest or dividends. This information must be submitted to employers via the newly introduced Form 12BAA. This aims to enhance accuracy and ensure better compliance, especially with the reporting of large expenses like foreign travel or high-value purchases captured under Tax Collected at Source (TCS).
- Revised Standard Deduction: The standard deduction under the old tax regime remains at ₹50,000, while the new regime sees an increase to ₹75,000.
- Detailed Disclosures for Allowances: Expect more detailed disclosures for deductions claimed under salary heads like House Rent Allowance (HRA) and Leave Travel Allowance (LTA), ensuring precise exemption and deduction claims.
- New Column 388A: A significant addition is Column 388A, designed to capture TDS and TCS from non-salary sources. This alignment between employer records and government data is intended to reduce discrepancies and enhance transparency.
Expert Tips for a Stress-Free Filing:
Jain emphasizes the importance of proactive preparation to avoid common errors and potential penalties:
- Gather Essential Documents: Have your Form 16, Form 12BAA (if applicable), bank interest certificates, rent receipts, and donation receipts readily available.
- Verify Your Information: Crucially, cross-check your Annual Information Statement (AIS) and Taxpayer Information Summary (TIS) on the Income Tax portal. This step ensures that all your income sources and transactions are correctly recorded, minimizing the risk of mismatches or missing data that could trigger tax notices.
- Choose Your Tax Regime Wisely: Carefully consider whether to opt for the old or new tax regime, as an incorrect choice could lead to overpayment or missed deductions.
- Understand Complex Income: For those with additional income sources like rental income, capital gains, or freelance earnings, a deeper understanding of specific tax rules and accurate reporting is paramount.
While the complexities of tax filing might seem daunting, the introduction of pre-filled forms has made the overall process more manageable. By staying informed, organized, and utilizing available resources, taxpayers can transform the annual task of tax compliance into a smoother and less stressful experience.