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Calculating taxes under the old and new income tax regimes in India involves understanding slab rates, available deductions, and rebates to see which option reduces liability for FY 2025-26. The old regime allows multiple deductions and exemptions, while the new regime offers simplified slabs with limited reliefs but higher thresholds. For accuracy, both must be compared before making a choice. TaxBuddy simplifies this process through automated comparisons and expert-assisted

Section 234F of the Income Tax Act imposes a penalty on taxpayers who miss the due date for filing Income Tax Returns . This fee depends on the taxpayer’s total income and the timing of filing. For Assessment Year 2025-26, the penalty can be as high as Rs. 5,000 for incomes exceeding Rs. 5 lakh, while smaller incomes face reduced or no penalty. The provision is designed to ensure timely compliance, discourage delays, and streamline the return filing process. Table of Content

Missing the due date for filing an Income Tax Return often raises a critical question: can a refund still be claimed? For Assessment Year 2025-26 (Financial Year 2024-25), the answer is yes, but only under specific timelines and conditions laid out in the Income Tax Act, 1961. Refunds can be claimed if the return is filed as a belated return before the extended due date of December 31, 2025. However, once this date passes, taxpayers lose the right to claim any refund if the

The last date to file Income Tax Returns (ITR) for Financial Year (FY) 2024-25 and Assessment Year (AY) 2025-26 has been extended beyond its original deadline due to significant updates in tax forms and portal readiness. The Central Board of Direct Taxes (CBDT) finalized September 16, 2025, as the cut-off date for individuals, HUFs, and non-audit taxpayers. For audit cases, businesses with transfer pricing requirements, and those needing additional compliance, the deadlines

Correcting errors in filed Income Tax Returns is now easier with ITR-U under Section 139(8A) of the Income Tax Act, 1961. Taxpayers can update missed income, omitted deductions, or incorrect reporting even after the standard revised return deadline. ITR-U ensures compliance, avoids scrutiny, and prevents penalties while streamlining the correction process. Tools like TaxBuddy make it simple to detect discrepancies across income sources, calculate additional tax, and submit

Excess TDS occurs when the total tax deducted at source during a financial year exceeds the actual tax liability of a taxpayer. This often arises due to multiple employers, higher TDS on fixed deposits, or errors in calculation. Claiming a refund for excess TDS is straightforward once the correct procedure is followed, including filing an accurate Income Tax Return (ITR), verifying bank details, and monitoring the refund status. Understanding the step-by-step process helps en

Accurate tax filing is crucial for compliance with the Income Tax Act, 1961. Mistakes in your original income tax return can happen, and understanding whether a revised return can be filed after the deadline is essential for all taxpayers. Indian tax law provides structured provisions to correct errors, including revised returns under Section 139(5) and Updated Returns (ITR-U) under Section 139(8A), ensuring taxpayers have options to disclose missed income or rectify mistak

Revised returns under Section 139(5) of the Income Tax Act, 1961, give taxpayers a vital opportunity to correct errors in their originally filed ITRs. Common mistakes, such as incorrect bank account information, unreported income, missed deductions, or filing the wrong ITR form, can all be addressed through this process. Filing a revised return ensures compliance, avoids penalties, and helps taxpayers secure timely refunds. Platforms like TaxBuddy streamline this process, of

NRIs earning income in India must carefully select the correct ITR form to ensure compliance and avoid penalties. Choosing the wrong form can lead to processing delays, scrutiny, or fines. Income from property, capital gains, salary, business, or professional activity determines which ITR form is suitable. Recent updates for AY 2025-26 emphasize filing deadlines, e-verification, and DTAA applicability for NRIs. Proper reporting of Indian income and bank account details is ess

Employee Stock Option Plans (ESOPs) and Restricted Stock Units (RSUs) are popular forms of employee compensation in India, offering potential wealth creation alongside salary. Filing Income Tax Returns (ITR) for individuals holding ESOPs or RSUs requires careful reporting of perquisites, capital gains, and foreign assets to comply with the Income Tax Act, 1961. Choosing the correct ITR form is crucial to ensure accuracy, avoid penalties, and prevent delays in processing. Ac