How to File Revised Returns Under Section 139(5) for Missing Income or Deductions and Avoid Scrutiny Notices?
- Bhavika Rajput
- Jun 2
- 8 min read
Filing accurate income tax returns (ITR) is crucial for taxpayers to maintain compliance with the Income Tax Department. However, mistakes can happen, and missing income or deductions might go unnoticed in the original return. Section 139(5) of the Income Tax Act provides a mechanism to correct such errors by filing a revised return. A revised return allows taxpayers to update their filings and ensure their tax records reflect accurate information. Let us explore how to file a revised return for missing income or deductions, the deadlines involved, and how this process can help you avoid scrutiny notices from the tax authorities.
Table of Contents
What Is a Revised Return Under Section 139(5)?
A revised return under Section 139(5) allows taxpayers to rectify mistakes or omissions in the originally filed ITR. These mistakes could include missing income, unclaimed deductions, or incorrect personal details. When you file a revised return, it replaces the original return, and only the revised return is considered by the tax authorities for that assessment year. The Income Tax Department treats the revised return as the final and accurate return for the assessment year, ensuring that discrepancies are corrected before they lead to any penalties or scrutiny.
It is essential to understand that filing a revised return under Section 139(5) can be done at any time before the completion of the assessment, or before the end of the relevant assessment year, whichever is earlier. This flexibility allows taxpayers to correct errors and avoid any negative implications, like scrutiny notices or penalties.
Step-by-Step Guide to Filing a Revised Return
Here’s a step-by-step guide to filing a revised return under Section 139(5):
Log in to the Income Tax Portal: Go to the official Income Tax e-filing website and log in using your PAN and password.
Select the Assessment Year: Choose the assessment year for which you want to revise the return. This should match the year of the original return.
Choose Filing Type: In the 'e-File' section, select ‘File Income Tax Return’. Choose the option ‘Revised u/s 139(5)’ from the available filing types.
Enter Original Return Details: Enter the acknowledgment number and the date when you filed the original return. This information is crucial for identifying the return that needs to be revised.
Correct the Errors: Review the original return for any missed income, deductions, or errors in the data. Update the return by including the missing information and correcting any mistakes, such as unclaimed deductions (e.g., HRA, 80C deductions, etc.).
Submit and Verify: After making the necessary corrections, preview the revised return and submit it. You will then need to verify the return using one of the following methods: Aadhaar OTP, Digital Signature Certificate (DSC), or Electronic Verification Code (EVC).
Track Status:After submitting, track the status of your revised return by logging into your e-filing account. Keep checking for any further communication from the tax department.
By following these steps, you can ensure that your ITR is updated correctly and on time.
Key Points and Timelines for Filing a Revised Return
Deadline for Filing: A revised return must be filed by December 31 of the relevant assessment year, or before the completion of the assessment, whichever is earlier. This means you have a limited window to file corrections after the original return is submitted.
Multiple Revisions: You are allowed to file a revised return multiple times within the permitted timeframe. However, only the most recent revision will be considered by the Income Tax Department.
Revised Return Supersedes Original: Once you submit a revised return, it replaces the original return. The latest revised return is the one that will be used for assessment. Any previous revisions are disregarded, ensuring that your final return is accurate.
No Additional Penalty for Revisions: Filing a revised return does not attract penalties for the revisions themselves. However, if the original return was filed late, late filing fees might apply. This is important to keep in mind if you miss the original filing deadline.
Time-Sensitive Corrections: As time is limited for filing a revised return, it is important to promptly identify and correct errors in your return before the deadline.
How Filing a Revised Return Helps Avoid Scrutiny Notices
Filing a revised return helps in several ways to avoid scrutiny notices from the Income Tax Department:
Accurate Reporting: By correcting missed income or unclaimed deductions promptly, you ensure that the tax return accurately reflects your financial situation. This minimizes discrepancies that could trigger scrutiny by the tax authorities.
Transparency: Voluntarily revising your return demonstrates good faith and compliance with tax regulations. This can help you avoid any complications in case of future audits or scrutiny notices.
Clear and Updated Tax Records: Filing a revised return ensures that your tax records are updated and complete. This minimizes the chances of receiving notices for mismatched or missing data in the future.
Prevention of Penalties and Legal Issues: By ensuring the return is correct and compliant, you reduce the risk of facing penalties or legal consequences due to inaccurate or incomplete filings.
In summary, filing a revised return proactively can save you from unwanted notices, penalties, and the stress of dealing with scrutiny from the tax department.
How TaxBuddy Can Assist in Filing Revised Returns
TaxBuddy is a user-friendly platform that simplifies the process of filing revised returns. It offers:
Expert Assistance: TaxBuddy provides expert guidance to ensure your revised return is filed accurately, without any errors or omissions.
Ease of Use: With its intuitive interface, TaxBuddy makes it easy for users to correct their ITR details, whether it’s for missing income, unclaimed deductions, or any other errors.
Track and Reminders: TaxBuddy helps track the status of your revised return and sends reminders for filing, ensuring you stay within the deadlines.
Avoid Penalties: TaxBuddy ensures all required corrections are made properly, helping you avoid penalties or scrutiny notices.
For anyone looking for assistance in tax filing, TaxBuddy’s mobile app is a great tool to ensure a simplified, secure, and hassle-free experience.
Conclusion
Filing a revised return under Section 139(5) is an important tool for taxpayers to correct any errors or omissions in their originally filed returns. It ensures that your tax records are accurate and up-to-date, helping you avoid scrutiny notices from the tax authorities. For anyone looking for assistance in tax filing, it is highly recommended to download the TaxBuddy mobile app for a simplified, secure, and hassle-free experience.
FAQs
Who can file a revised return under Section 139(5)?
Any taxpayer who has filed an original return and later discovers that certain information was omitted or incorrectly reported can file a revised return under Section 139(5). This includes individuals, businesses, and entities who need to correct errors such as missing income, unclaimed deductions, or incorrect personal details. As long as the original return has been filed, taxpayers have the option to amend their filings to ensure accuracy and compliance with tax laws.
What is the deadline for filing a revised return?
A revised return must be filed on or before December 31 of the relevant assessment year, or before the completion of the assessment by the Income Tax Department—whichever comes first. This deadline is critical because if the assessment is completed before the revised return is filed, taxpayers lose the opportunity to correct the errors. Therefore, it is essential to keep track of this deadline to avoid missing the chance to amend the return and ensure compliance.
Can I revise my return multiple times?
Yes, taxpayers can revise their return multiple times within the allowed timeframe, as long as they do so before the assessment is completed and by the deadline specified. However, only the latest version of the revised return will be considered by the Income Tax Department. This flexibility allows taxpayers to correct any mistakes discovered after the initial revision, provided that it is done before the assessment process is finalized.
Will filing a revised return attract penalties?
Filing a revised return itself does not attract any penalties. It is a corrective measure designed to ensure that taxpayers’ filings are accurate and complete. However, if the original return was filed late, the taxpayer may be subject to late filing fees, as specified under Section 234F. It’s important to note that while filing a revised return does not carry a penalty, any previous delays or discrepancies may result in additional charges.
What if I discover an error after the assessment is completed?
Once the assessment has been completed, you are no longer allowed to file a revised return under Section 139(5). The assessment process marks the finalization of the return, and no further revisions can be made. Therefore, it’s essential to file the revised return before the assessment is concluded to avoid missing the opportunity to correct any errors. After the assessment, the only option left is to file an appeal, if applicable.
Do I need to submit any additional documents when filing a revised return?
When filing a revised return, you need to submit the updated Income Tax Return (ITR) along with any necessary supporting documents that back up the corrections made. For example, if you missed reporting income or claiming deductions, you should have the relevant documents ready—such as proof of income, receipts for deductions, or other forms of evidence—to validate your updated claim. Ensure that all new information is properly documented to avoid any further issues.
Can I revise my return if I missed deductions for home loan or HRA?
Yes, if you missed claiming deductions like those for home loan interest (Section 24) or House Rent Allowance (HRA) in your original return, you can revise your return to include them. You must correct your filing by entering the accurate amounts in the respective sections of the ITR and providing any supporting documentation (e.g., rent receipts, home loan interest certificate). Doing so ensures that your deductions are properly accounted for and can help reduce your overall tax liability.
Is it mandatory to file a revised return for minor errors?
While filing a revised return for minor errors is not mandatory, it is highly recommended. Correcting small mistakes helps ensure that your tax records are accurate and prevents any issues with the Income Tax Department later on. Even if the error is minor, filing a revised return demonstrates a proactive approach to tax compliance and can help you avoid scrutiny, penalties, or discrepancies in your financial records.
How does TaxBuddy help in filing revised returns?
TaxBuddy provides expert assistance and user-friendly tools to help taxpayers file revised returns accurately. With TaxBuddy, you can easily identify errors in your original return, correct them, and file the revised return without hassle. The platform also provides step-by-step guidance, ensuring that all the necessary information and documentation are properly included, reducing the chances of errors and ensuring compliance with tax laws. TaxBuddy simplifies the revision process and ensures timely filing.
Can I get assistance for filing a revised return through TaxBuddy’s mobile app?
Yes, TaxBuddy’s mobile app offers step-by-step guidance and support for filing revised returns. The app makes it easy to access your tax information, update your return, and submit it directly to the Income Tax Department. Whether you're revising for missed income or unclaimed deductions, TaxBuddy’s mobile app ensures a smooth process, helping you stay on top of deadlines and compliance.
Is it possible to revise a return after receiving a notice from the tax department?
Yes, you can still file a revised return after receiving a notice from the tax department, provided that it is done before the completion of the assessment. If the notice is related to discrepancies or missing information in your original return, filing a revised return gives you the opportunity to correct those issues and provide the correct information. However, it’s important to respond promptly to the notice and submit the revised return to avoid further complications.
What should I do if I realize I missed income after filing my return?
If you realize that you missed reporting some income after filing your return, you should immediately file a revised return under Section 139(5). Include the missed income in the updated return and make any necessary adjustments to your tax liability. This will help ensure that your records are accurate and that you are in full compliance with the Income Tax Department, preventing any future scrutiny or penalties.
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