How to Rectify a Rejected ITR and Refile Successfully
- Rajesh Kumar Kar
- 2 days ago
- 9 min read
A rejected Income Tax Return (ITR) can disrupt the entire filing process and delay refunds. Rejections typically occur due to errors in personal details, TDS mismatches, or validation issues during e-filing. However, the Income Tax Act, 1961, provides clear mechanisms to correct these errors through rectification under Section 154 or revision under Section 139(5). Understanding the nature of rejection and choosing the correct rectification method ensures smooth compliance and successful processing of your return.
Table of Contents
Understanding the Common Reasons for ITR Rejection
An Income Tax Return (ITR) may be rejected for several reasons, often stemming from technical or data-related inconsistencies. One of the most common causes is incorrect or mismatched personal details, such as discrepancies in PAN, Aadhaar, or name spelling between documents. Another frequent issue involves errors in bank account information, which can lead to refund failures or rejection due to validation issues during e-verification.
Rejections also occur when the data provided in the ITR does not match with Form 26AS, AIS, or TIS—especially in cases where TDS credits or income entries differ from what is reflected in the department’s records. Invalid digital signatures, non-submission of ITR-V within the stipulated time, or failure to e-verify the return are additional causes of rejection. Identifying the exact reason through the rejection notice on the e-filing portal is crucial, as it determines whether a rectification or revision is required.
How to Rectify and Refile a Rejected ITR
The rectification and refiling process begins with understanding the cause of rejection as mentioned in the e-filing portal notification. Once identified, taxpayers should cross-verify all entries in the ITR with their Form 16, Form 26AS, TDS certificates, and bank statements. If the issue is due to incorrect figures, missing income details, or mismatched TDS claims, these should be corrected before refiling.
After correcting the data, taxpayers must decide between two actions—filing a rectification request under Section 154 or submitting a revised return under Section 139(5). The choice depends on the nature of the error. Minor mistakes like arithmetic miscalculations or mismatched TDS entries can be fixed via rectification, while substantial errors such as omitted income or incorrect deductions require a revised return. Once corrected, the ITR must be resubmitted online and verified electronically or via physical ITR-V submission.
Step-by-Step Guide to Filing a Rectification under Section 154
Section 154 of the Income Tax Act allows rectification of mistakes apparent from records. It is best suited for small corrections, such as clerical or computational errors, or misreported TDS details.
Log in to the official Income Tax e-filing portal.
Go to ‘Services’ and select ‘Rectification’.
Choose the relevant assessment year and the specific order or intimation number for which rectification is required.
Select the type of rectification—data correction in the return, reprocessing, or status update.
Make the necessary corrections or upload a corrected XML/JSON file if required.
Submit the request and note the acknowledgment number for future reference.
Once submitted, the Income Tax Department reviews the rectification and issues an intimation. Taxpayers should track the status regularly to ensure successful processing.
How to File a Revised Return under Section 139(5)
A revised return is filed when the original ITR has substantive errors that impact income computation, deductions, or reporting accuracy. Section 139(5) permits taxpayers to correct such mistakes before the end of the assessment year or by December 31, 2025, for AY 2025–26.
Log in to the e-filing portal using your PAN credentials.
Choose the same ITR form type as used earlier.
Enter the acknowledgment number of the original ITR.
Make the required corrections in income, deductions, or tax payment details.
Recalculate tax liability and ensure all sections are validated.
Submit the revised return and complete e-verification.
The revised return replaces the original one entirely, and only the latest version will be considered for assessment. It is essential to verify the revised return promptly to avoid rejection or delays in processing.
What to Do If Rectification Request Is Rejected Again
A rectification request can be rejected if errors remain unresolved or if incorrect options are selected during submission. When such a rejection occurs, carefully review the rejection notice to identify the unresolved issue. For instance, the system might reject a rectification if the error isn’t apparent from records or if supporting documents don’t match.
In such cases, taxpayers can either reapply after correcting the issue or opt for filing a revised return under Section 139(5) if the error is more substantial. Repeated rejection due to system or validation errors can also be addressed by contacting the Income Tax Department’s helpdesk or by seeking expert assistance from professionals or platforms like TaxBuddy for guided refiling.
Recent Updates from Budget 2025 and CBDT Notifications
The Union Budget 2025 introduced several updates that indirectly affect the ITR rectification process. The deadline for filing revised returns has been extended to December 31, 2025, for Assessment Year 2025–26, allowing taxpayers more time to correct errors. The CBDT has also released notifications improving the functionality of the rectification and revision process on the e-filing portal, streamlining data validation and processing timelines.
Additionally, the integration of AIS and TIS data into rectification workflows ensures that taxpayers can identify mismatches quickly and fix them before refiling. The new user interface also enables easier submission of correction requests, minimizing rejections due to technical reasons. These updates aim to make the rectification and refiling process smoother, faster, and more transparent for all taxpayers.
How TaxBuddy Simplifies ITR Rectification and Refiling
TaxBuddy simplifies the ITR correction process through its AI-driven platform that automatically detects mismatches between your ITR, Form 16, and Form 26AS. The app guides users step-by-step to identify the cause of rejection and suggests whether rectification or revision is required. For complex cases, TaxBuddy’s expert-assisted plans provide professional review before submission, ensuring that the revised or rectified return is error-free.
By combining automation with expert oversight, TaxBuddy helps minimize rejection risks and ensures accurate filing in compliance with the Income Tax Act. Its user-friendly interface allows taxpayers to track the status of their correction requests in real time, making the entire experience seamless and stress-free.
Conclusion
Rectifying a rejected ITR requires understanding the reason for rejection, choosing the right method of correction, and ensuring all data is accurate before resubmission. Whether the issue is minor or involves major discrepancies, timely action is key to avoiding penalties or delayed refunds.
Using trusted platforms like TaxBuddy helps taxpayers navigate this process efficiently with minimal effort. For anyone looking for assistance in tax filing, it is highly recommended toTaxBuddy 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 flexibility by offering both self-filing and expert-assisted ITR filing plans. The self-filing option is designed for users who prefer to file independently but want AI-driven guidance to ensure accuracy. It auto-fetches data from Form 16, Form 26AS, and AIS/TIS to minimize manual errors. The expert-assisted plan, on the other hand, connects users with qualified tax professionals who review the computation, verify deductions, and file the return on the user’s behalf. This dual approach ensures convenience for all types of taxpayers—those who want automation and those who prefer human expertise.
Q2. Which is the best site to file ITR? While the official Income Tax Department e-filing portal remains the primary government-authorized platform, many taxpayers prefer user-friendly third-party platforms for smoother experiences. Among them, TaxBuddy stands out as one of the most reliable and efficient tax filing platforms in India. It simplifies the process through automation, data validation, and guided filing options. TaxBuddy’s AI-driven system ensures error-free computations, while expert review options add an additional layer of accuracy—making it one of the best sites for filing ITR in 2025.
Q3. Where to file an income tax return? An income tax return can be filed online through the government’s e-filing portal at www.incometax.gov.in or through credible private platforms like TaxBuddy. For individuals seeking convenience, AI integration, and professional guidance, TaxBuddy offers a more comprehensive approach by combining automation with expert validation. Users can file directly through the TaxBuddy website or mobile app, which ensures that all entries are verified before submission to the government portal.
Q4. Can I revise my ITR after it has been processed? Yes, an ITR can be revised under Section 139(5) of the Income Tax Act if any error or omission is noticed after filing. Even if the return has been processed, revisions are permitted within the statutory deadline—generally up to December 31 of the assessment year. A revised return must include the acknowledgment number of the original ITR, and the updated information replaces the earlier submission. Once revised, the new return is treated as the final version for assessment purposes.
Q5. What should I do if my rectification request is rejected? If a rectification request under Section 154 is rejected, it typically indicates that the correction requested does not qualify as a “mistake apparent from record.” Start by reviewing the rejection notice carefully to understand the specific reason. If the issue involves data mismatches or computational errors, correct them and reapply for rectification. However, if the problem is more substantive, such as omitted income or wrong deductions, file a revised return under Section 139(5) instead. Platforms like TaxBuddy provide professional support to interpret rectification rejections and guide users toward the right course of action.
Q6. How long do I have to rectify a rejected ITR? Rectification requests and revised returns must be filed within the statutory timelines set by the Income Tax Department. For Assessment Year 2025–26, the last date to file a revised return or rectification request is December 31, 2025. It’s important to act quickly after receiving a rejection notice to avoid penalties or delays in refund processing. Filing corrections well before the deadline allows time for verification and reprocessing by the department.
Q7. Is there any penalty for late correction? If a taxpayer files a rectification or revised return within the prescribed time, no penalty is imposed. However, delays that lead to underreporting of income, inaccurate claims, or missed deadlines may attract penalties and interest under Sections 234F, 234B, or 234C. It’s advisable to correct and refile immediately upon discovering an error or receiving a rejection notice. Platforms like TaxBuddy help avoid such issues by ensuring timely and accurate filings.
Q8. Can I correct my bank account details after rejection? Yes, bank account details can be updated and corrected in both rectification and revised return filings. Incorrect or non-prevalidated bank accounts are a common reason for ITR rejection or refund failure. After correcting the details, ensure the new account is prevalidated on the e-filing portal and linked to your PAN for refund purposes. TaxBuddy’s guided filing feature assists users in verifying bank details before final submission to prevent such errors.
Q9. What is the difference between rectification and revised return? A rectification request under Section 154 is used to correct minor or clerical mistakes that are evident from the records, such as arithmetic errors, mismatched TDS credits, or incorrect tax computations. A revised return under Section 139(5), on the other hand, is used when substantial changes are needed—such as correcting omitted income, revising deductions, or fixing data inconsistencies. While rectification is limited to errors in processed returns, a revised return replaces the original filing entirely.
Q10. How to check if the corrected ITR is accepted? After submitting a rectification or revised return, taxpayers can check the status by logging into the Income Tax e-filing portal. Navigate to ‘My Account’ → ‘View e-Filed Returns/Forms’ to view the acknowledgment number, date of filing, and processing status. If the ITR shows as “Successfully Verified” or “Processed,” it means the correction has been accepted. TaxBuddy users can track this status directly within the app and receive real-time updates once their return is processed by the department.
Q11. Can I file rectification multiple times? Yes, multiple rectification requests can be filed, provided each request addresses a specific unresolved issue and falls within the permitted time limit. However, repetitive rectifications for the same mistake may lead to rejection. It’s best to ensure that all errors are reviewed thoroughly before filing a new request. TaxBuddy’s system cross-checks all relevant data sources—like Form 26AS and AIS—to ensure that rectification requests are precise and accurate, minimizing the need for repeated corrections.
Q12. How can TaxBuddy help ensure error-free ITR refiling? TaxBuddy simplifies the rectification and refiling process by integrating automation, AI checks, and expert review in one platform. The app identifies mismatches across your Form 16, 26AS, AIS, and ITR, automatically suggesting corrections. Its tax experts review complex filings to ensure compliance with the latest provisions of the Income Tax Act. With real-time tracking and personalized support, TaxBuddy helps taxpayers refile successfully without the fear of rejections or notices. The platform’s focus on accuracy and seamless user experience ensures error-free tax filing every time.
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