How to Correct Errors in ITR After Filing
- PRITI SIRDESHMUKH
- Oct 4
- 9 min read
Filing an Income Tax Return (ITR) is crucial for every taxpayer, but mistakes can happen. Errors like incorrect income details, wrong ITR forms, or missed deductions can lead to demand notices, rejected refunds, or processing delays. Indian tax laws provide clear avenues to correct these mistakes post-filing—either through filing a Revised Return under Section 139(5) or submitting a Rectification Request under Section 154. Choosing the right method depends on the type of error and the stage of processing. Efficient correction ensures compliance, smooth tax processing, and timely refunds, safeguarding taxpayers from unnecessary complications.
Correcting errors in a filed ITR involves identifying the mistake, determining whether a Revised Return or Rectification Request is appropriate, and using the Income Tax e-Filing portal to make the changes. A Revised Return is suitable for errors or omissions made by the taxpayer, such as missing income, incorrect deductions, or selecting the wrong ITR form. Rectification Requests are designed to correct mistakes identified in CPC orders or intimation letters, like mismatched TDS or incorrect refund calculations. Properly following these procedures ensures errors are rectified legally and efficiently, without attracting penalties.
Table of Contents
Understanding ITR Errors: Why Correction Is Important
Income Tax Returns (ITR) are critical documents that declare a taxpayer’s income, deductions, and taxes paid. However, errors in filing are common due to misreporting of income, mismatch of TDS, incorrect bank account details, or wrong selection of ITR forms. Correcting these errors is crucial to avoid penalties, interest, and delays in refund processing. Errors can also trigger notices from the Income Tax Department, leading to unnecessary scrutiny. Ensuring accurate returns not only helps in compliance with tax laws but also maintains a clean tax record, which is vital for future loan approvals, visa applications, or financial audits. Timely correction safeguards against prolonged litigation or adjustments by the department.
Filing a Revised Return Under Section 139(5)
Section 139(5) allows taxpayers to file a revised ITR if any mistakes or omissions are discovered after the original filing. A revised return can correct errors related to income, deductions, exemptions, or tax credits. It ensures that the taxpayer remains compliant while accurately reporting income to avoid mismatches or penalties. Filing a revised return is particularly useful when a taxpayer realizes an underreported income, missed deductions, or incorrect claim of exemptions.
Step-by-Step Process to File a Revised Return
The process of filing a revised return begins with logging into the Income Tax e-filing portal using your PAN and registered credentials. Once logged in, navigate to the ‘e-File’ section, where you will find multiple filing options. Choose ‘Income Tax Return’ from the available menu to proceed.
Next, select the relevant Assessment Year, which for the Financial Year 2024-25 is AY 2025-26. It is essential to ensure the correct Assessment Year is chosen, as filing under the wrong year may lead to processing delays or errors. After this, select the option labeled ‘Revised Return.’ Here, you are required to enter the acknowledgement number of your original return. This links the revised return to the original submission and ensures that the Income Tax Department recognizes it as an amendment rather than a new filing.
Once the revised return option is selected, download the latest version of the ITR utility or JSON file provided for the relevant ITR form. Using this utility or file, fill in the corrected details carefully, including updated information on income, eligible deductions, and taxes already paid. It is crucial to double-check all entries to avoid errors that could trigger notices or refund delays.
After completing the corrections, validate the JSON file using the official utility to ensure that all mandatory fields are correctly filled and there are no formatting errors. Once validation is successful, upload the JSON file back to the e-filing portal.
Finally, e-verify the revised return to complete the filing process. Verification can be done using Aadhaar OTP, net banking, or any other method accepted by the Income Tax Department. E-verification confirms the authenticity of the submission and ensures that the revised return is officially recorded and processed by the tax authorities.
Filing a Rectification Request Under Section 154
Section 154 allows taxpayers to request the Income Tax Department to correct mistakes apparent from records after the return has been processed. Unlike a revised return, rectification is filed when the taxpayer identifies minor errors in the processed return, such as computational mistakes, TDS mismatch, or refund miscalculations. This ensures that the final processed ITR is accurate and the refund or demand notice is corrected.
Step-by-Step Process to File a Rectification Request
Log in to the Income Tax e-filing portal.
Navigate to the ‘Rectification’ option under ‘e-File.’
Select the relevant Assessment Year and acknowledgement number of the processed return.
Choose the type of rectification (Refund, Tax Credit, or Demand Adjustment).
Provide details of the error and submit supporting documents if required.
Submit the rectification request and track its status on the portal.
Key Differences Between Revised Return and Rectification
A revised return under Section 139(5) is filed by the taxpayer voluntarily to correct errors before the assessment, whereas a rectification under Section 154 is filed to correct mistakes in an already processed return.
Revised returns can correct errors in income, deductions, or tax payments, while rectification generally addresses computational errors, refund discrepancies, or TDS mismatches.
A revised return must be filed before the end of the relevant deadline (December 31, 2025 for FY 2024-25), while rectification can be filed after processing without any fixed limitation, but subject to assessment rules.
Common Errors Corrected in ITR
Common errors in Income Tax Return (ITR) filing can cause delays in processing, incorrect tax calculations, or even notices from the Income Tax Department. One of the most frequent issues is a mismatch between Tax Deducted at Source (TDS) reported in Form 26AS and the figures entered in the ITR. This can occur when an employer or bank has incorrectly reported TDS, or when taxpayers inadvertently enter incorrect amounts. Ensuring that the TDS in Form 26AS matches the ITR is essential to avoid refund delays and unnecessary scrutiny.
Another common mistake is selecting the wrong ITR form. Different forms are designed for various categories of taxpayers and types of income. For instance, ITR-1 is for salaried individuals with income from salary, pension, or interest, while ITR-2 is for individuals with capital gains or multiple income sources. Choosing the incorrect form can lead to the return being considered invalid.
Incorrect income reporting is also prevalent. Taxpayers sometimes omit certain sources of income, such as salary from a second job, bank interest, rental income, or dividends. Missing these details can result in underreporting, triggering notices or recalculation of tax liabilities.
Missed deductions under sections like 80C, 80D, or 80E are another issue. These sections allow taxpayers to claim benefits for investments, insurance premiums, or education loans, and failing to include them can lead to higher taxable income and unnecessary tax outflow.
Errors in personal information, such as bank account numbers, IFSC codes, or contact details, can also create problems. Incorrect bank details can prevent refunds from being credited to the right account, and errors in PAN or Aadhaar information can lead to rejection of the return.
Finally, refund miscalculations often arise due to incorrect tax credits. Even if income and deductions are reported correctly, a miscalculation in advance tax paid, TDS, or self-assessment tax can lead to incorrect refunds. Reviewing all tax credits, including TDS and advance tax, is crucial for accurate refund claims.
Correcting these errors before submission not only ensures timely processing of returns but also prevents notices, penalties, and delays in receiving refunds. Tools likeTaxBuddy can assist in identifying and rectifying these errors, making the filing process more accurate and hassle-free.
Deadlines and Compliance Tips for FY 2024-25
For the Financial Year 2024-25, taxpayers must be aware of the updated ITR filing deadlines to ensure compliance and avoid penalties. The original deadline for filing Income Tax Returns for individuals and non-audit assessees is September 15, 2025. This extension provides taxpayers additional time to gather relevant documents, verify income sources, and reconcile TDS credits before submitting their returns.
In case a taxpayer misses the initial filing deadline, a revised return can be submitted up to December 31, 2025. Filing a revised return allows correction of any mistakes or inclusion of omitted income, ensuring accurate reporting and preventing future notices from the Income Tax Department.
After a return has been processed, taxpayers may also submit rectification requests under Section 154 to correct errors made by the department during processing. These requests can generally be filed anytime after processing, subject to the guidelines and timelines specified by the Income Tax Department.
Before filing, it is essential to verify all TDS statements,Form 16, and Form 26AS to ensure that all income and tax deductions are accurately reflected. Cross-checking these documents helps avoid mismatches that could delay refund processing or trigger scrutiny.
Additionally, taxpayers should maintain proper documentation for all deductions and exemptions claimed, such as investments under Section 80C, health insurance premiums under Section 80D, and home loan interest under Section 24(b). Accurate records ensure smooth processing of returns, support claims in case of audits, and reduce the chances of errors that could affect refunds.
How TaxBuddy Simplifies Error Corrections
TaxBuddy’s platform automates the detection of mismatches and missing entries while guiding taxpayers through filing revised returns or rectification requests. It integrates TDS data, validates ITR JSON files, and ensures that corrections are accurate and submitted on time. Additionally, TaxBuddy provides step-by-step assistance for both self-filing and expert-assisted plans, making error corrections hassle-free and minimizing the risk of departmental scrutiny.
Latest Updates in ITR Correction Procedures (2025)
For FY 2024-25 (AY 2025-26), the Income Tax Department has improved the ITR utilities and portal functionalities to make correction processes smoother. Taxpayers can now validate JSON files before uploading, e-verify revised returns directly via Aadhaar OTP, and track rectification requests in real-time. These enhancements reduce processing time and ensure faster issuance of refunds.
Conclusion
Correcting ITR errors is essential to maintain compliance, avoid penalties, and ensure timely refund processing. TaxBuddy simplifies this process by guiding taxpayers through revised returns and rectification requests efficiently. 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
Q1. Does TaxBuddy offer both self-filing and expert-assisted plans for ITR filing, or only expert-assisted options?
TaxBuddy provides both options. Users can choose the self-filing plan if they are comfortable filing independently using the platform’s guided interface. Alternatively, the expert-assisted plan offers professional support from tax experts who handle your ITR filing, ensuring accurate and error-free submission.
Q2. Can I file a revised return after receiving a notice from the Income Tax Department?
Yes, filing a revised return is possible even after receiving a notice. A revised return corrects errors or omissions in the original return, which can help address discrepancies before the department proceeds with assessments or penalties.
Q3. What is the difference between a revised return and a rectification request?
A revised return corrects errors or omissions before or after submission of the original ITR. A rectification request, filed under Section 154, is used to correct mistakes identified by the Income Tax Department in an already processed return, such as arithmetic errors or mismatched TDS credits.
Q4. What errors can be corrected using a revised return?
Revised returns can correct multiple errors, including: incorrect income reporting, missing TDS credits, errors in claiming deductions under sections like80Cor 80D, and incorrect bank account details for refunds. Essentially, any mistake in the original filing that affects tax liability or refund can be revised.
Q5. How do I track the status of my rectification request?
The status can be tracked on the Income Tax Department e-filing portal using your PAN, assessment year, and request acknowledgment number. Platforms like TaxBuddy also provide real-time updates and notifications for rectification status.
Q6. Can TDS mismatches be corrected through TaxBuddy?
Yes, TaxBuddy automatically matches TDS entries from Form 26AS with your ITR. In case of mismatches, the platform guides users on required corrections, ensuring accurate reporting before submission and reducing refund delays.
Q7. Is there a penalty for filing a revised return?
No penalty applies solely for filing a revised return within the due date for belated filing. However, if the revised return results in additional tax liability, interest under Section 234A/B/C may apply for delayed payment.
Q8. What is the last date to file a revised return for FY 2024-25?
For FY 2024-25 (AY 2025-26), revised returns can be filed up to December 31, 2025. Filing within this timeline ensures the return is considered valid and avoids late-filing penalties.
Q9. Are JSON files mandatory for revised return filing?
Yes, when filing a revised return offline, uploading the ITR in JSON format generated through the Income Tax utilities is mandatory. JSON files contain structured data for accurate processing and ensure the revised details are correctly captured by the IT Department.
Q10. Can I rectify errors in already processed returns without filing a revised return?
Minor arithmetic or processing errors identified by the Income Tax Department can be corrected using a rectification request under Section 154, without the need for a full revised return.
Q11. Does TaxBuddy validate ITR forms before submission?
Yes, TaxBuddy validates all ITR forms against TDS records, deductions claimed, and other critical data. This automated validation ensures accuracy, reduces errors, and increases the likelihood of faster refund processing.
Q12. How long does it take for corrections to reflect after filing a revised return or rectification request?
Typically, corrections are updated within 15-30 days after submission, depending on the workload and verification process at the Income Tax Department. TaxBuddy monitors the status and notifies users when the corrections are processed successfully.
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