Missed the ITR Deadline? File Your Belated Return for AY26 Now
Thank you for reading this post, don't forget to subscribe!If you missed the September 16, 2025, deadline for filing your Income Tax Return (ITR) for the Assessment Year 2025-26 (AY26), don’t panic. You still have a chance to comply with the law by filing a Belated Return under Section 139(4).
However, this extension comes with costs and consequences. Here is what you need to know to file correctly and minimize penalties.
Key Deadline and Penalties
The final opportunity to file your Belated Return is December 31, 2025.
Late Fees (Section 234F)
A mandatory late filing fee will be applied based on your total income:
- Income above ₹5 Lakh: A penalty of ₹5,000.
- Income up to ₹5 Lakh: A reduced penalty of ₹1,000.
Interest on Unpaid Tax
If you still have tax due, you will be charged 1% interest per month (or part thereof) on the outstanding amount until it is paid. The sooner you file, the less interest you pay.
Critical Tax Benefits You Will Lose
Filing late restricts your ability to fully leverage tax planning. If you file a belated return, you cannot benefit from the following:
- Loss Carry-Forward: You cannot carry forward most business or capital losses to offset future income. (The only exception is loss from house property).
- Tax Regime Switch: You are locked into the tax regime (Old or New) you selected (or defaulted to) before the deadline. You cannot switch your choice now.
- Key Deductions: Deductions and exemptions under certain crucial Sections, including 10A, 10B, 80-IA, 80-IB, and others, become unavailable.
Note: You can still claim a refund for any excess tax already paid.
Risk of Prosecution
Failure to comply and pay your taxes can lead to serious legal action:
| Situation | Punishment |
| Non-payment of tax | Rigorous imprisonment for 3 months to 2 years. |
| Evasion exceeding ₹25 Lakh | Rigorous imprisonment for 6 months to 7 years. |
How to File Your Belated Return
To file before the December 31 deadline, follow these steps on the official income tax portal:
- Log in and navigate to e-File → Income Tax Returns → File Income Tax Return.
- Select the Assessment Year AY26 and the online filing mode.
- Choose your taxpayer category and the applicable ITR form.
- Crucially, under the filing section, select Section 139(4) (Belated Return).
- Complete the return, compute your final tax liability, and pay any outstanding dues (including the late fees).
Don’t wait—file your return now to stop interest accumulation and avoid legal notices.
